Key Financial Figures (All amounts in ₹ Lakh, unless stated)

Profit & Loss Statement (FY 2025-26):

  • Revenue from Operations: 690.44 (Previous Year: 1,713.96)
  • Total Income: 715.30 (Previous Year: 2,879.79)
  • Total Expenses: 1,518.92 (Previous Year: 1,928.53)
  • Loss Before Tax (after exceptional item): (803.62) (Previous Year: Profit of 951.26)
  • Tax Expense: Nil (Previous Year: Nil)
  • Loss After Tax: (804) (Previous Year: Profit of 951)
  • Basic & Diluted EPS (₹): (12.36) (Previous Year: 14.63)

Balance Sheet (as at 31st March 2026):

  • Paid-up Equity Share Capital: ₹325.19 Lakh (65,03,838 Equity Shares of ₹5 each)
  • Other Equity: ₹37,626.08 Lakh
  • Total Equity: ₹37,951.27 Lakh
  • Non-Current Borrowings (Inter-corporate Loan): ₹900.00 Lakh
  • Other Financial Liabilities (Includes advance against asset sale): ₹4,045.90 Lakh
  • Trade Payables: ₹4,526.37 Lakh (₹1,003.64 Lakh to MSMEs)
  • Total Liabilities: ₹10,312.30 Lakh
  • Total Assets: ₹48,263.57 Lakh

Operational Metrics:

  • Bicycles Produced: 21,838 units (Previous Year: 29,456 units)
  • Bicycles Sold: ₹690 Lakh (Previous Year: ₹1,714 Lakh)
  • Exports: Nil (Previous Year: Not stated)
  • Employee Count: 26 as on 31st March 2026

Dates of Action

  • AGM Date: Wednesday, 12th August 2026
  • AGM Time: 11:30 AM IST
  • AGM Venue: Hotel Sagar, 148-R, Model Town, Atlas Road, Sonepat - 131001, Haryana
  • E-Voting Period: Begins 9:00 AM on Saturday, 8th August 2026; Ends 5:00 PM on Tuesday, 11th August 2026.
  • Record Date for E-Voting: 5th August 2026
  • Financial Year: 1st April 2025 to 31st March 2026

Parties Involved

Board of Directors:

  • Mr. Kartik Roop Rai (Non-Executive Director, DIN:06789287)
  • Mr. Sanjiv Kavaljit Singh (Non-Executive Director, DIN:00015689) - Retiring by rotation, seeking re-appointment at AGM.
  • Ms. Sadhna Syal (Non-Executive Director, DIN:07837529)
  • Mr. Ishwar Das Chugh (Independent Director, DIN:00073257)
  • Dr. Anuj Goyal (Independent Director, DIN:01259762)
  • Mr. Des Raj Dhingra (Independent Director, DIN:01202968)
  • Dr. Praveen Kumar (Independent Director, DIN:08257044) - Appointed w.e.f. 29th May 2025.

Key Managerial Personnel (KMP):

  • Mr. Chander Mohan Dhall (Chief Executive Officer, DIN:01398734) - Resigned as Whole Time Director & CFO on 12th Nov 2025; appointed CEO on 13th Nov 2025.
  • Mr. Satya Prakash Dangwal (Chief Financial Officer) - Appointed on 13th Nov 2025.
  • Mr. Rashpal Singh (Company Secretary & Compliance Officer, ACS 18279)

Auditors:

  • Statutory Auditors: M/s. Dinesh Nangru & Co., Chartered Accountants (FRN: 015003N)
  • Secretarial Auditor: M/s. Mukesh Arora & Co., Company Secretaries (Firm Registration No. S1999HR026200)
  • Scrutinizer for AGM: Mr. Rajiv Bhasin, Chartered Accountant (M/s Mehra Khanna & Co.)

Registrar & Share Transfer Agent (RTA): MAS Services Limited, New Delhi.

Promoters: Key promoter entities include Milton Cycle Industries Ltd. (14.85% holding) and Limrose Engg Works Pvt Ltd (3.31% holding).

Stated Rationale & Impact

Business Performance: The loss is attributed to a drastic reduction in sales volume and turnover. The company states it is "in the process of Business revival." The Sonepat unit is closed, and the Sahibabad unit is operating "much below optimum level."

Capital Structure Impact: There was no change in the share capital during the year. No equity shares were issued. The company did not declare any dividend.

Cash Flow Implications:

  • Net cash from operating activities: ₹189.24 Lakh (Previous Year: used ₹64.47 Lakh)
  • Net cash from investing activities: ₹7.66 Lakh (Previous Year: ₹131.95 Lakh)
  • Net cash from financing activities: (₹1.31) Lakh (Previous Year: (₹11.81) Lakh)
  • Cash and cash equivalents at end of year: ₹277.52 Lakh (Previous Year: ₹81.94 Lakh)

The company has not provided for significant expenses, impacting reported losses (see Audit Qualifications).

Contingent Exposures & Legal Matters:

  • Pending Insolvency Applications: Applications filed against the company at NCLT Chandigarh by Mr. Vikram Kapur (₹8.34 Crores) and Mr. Angad Kapur (₹2.17 Crores).
  • Litigations by Creditors: Claims totaling ₹16.76 Crores (₹15.20 Cr from 54 MSME cases; ₹1.56 Cr from 4 District Court cases) are pending. Interest liability on these claims, estimated at ₹3.02 Crores, is disclosed as a contingent liability but not provided for.
  • Overdue Inter-Corporate Loan: A loan of ₹9 Crores taken from Milton Cycle Industries Ltd. @ 11% p.a. is overdue. Interest accrued but not provided for amounts to ₹5.94 Crores up to 31st March 2026 (₹99 Lakh for FY26).
  • Foreign Exchange Matter: An advance of ₹48.93 Lakh received against export sales remains unreconciled and unadjusted, with exports not executed.

Audit Qualifications (Basis for Qualified Opinion):

The Statutory Auditors issued a qualified opinion highlighting:

1. Non-provision of interest on overdue dues to creditors, including MSMEs, involved in litigation. Exact quantum is unascertainable.

2. Non-provision of deferred tax asset due to uncertainty of future profits.

3. Non-recognition of interest expense on the overdue inter-corporate loan from Milton Cycles (₹99 Lakh for FY26; ₹5.94 Cr accumulated).

4. Non-provision of statutory audit fees for FY26 (₹22.83 Lakh) and previous years (accumulated ₹1.62 Cr).

5. Non-disclosure/adjustment of advance against export sales per FEMA regulations (₹48.93 Lakh).

The management's response to each qualification is noted in the "Statement on Impact of Audit Qualifications."

Secretarial Audit Observation: The Secretarial Audit Report notes the company has not honored the repayment terms of the inter-corporate loan from Milton Cycle Industries Limited.

Corporate Governance & Compliance

  • The Board met 5 times during the year. All Independent Directors confirmed their independence.
  • The company has established requisite committees: Audit, Nomination & Remuneration, and Stakeholders Relationship Committee.
  • No fraud was reported by the auditors.
  • There were no cases filed under the Sexual Harassment at Workplace Act.
  • The company has paid annual listing fees to BSE and NSE for 2026-27.
  • 96.99% of the company's shares are held in dematerialized form.