Board Meeting Outcomes

The Board of Directors meeting, held on 30th May 2026 from 06:30 PM to 9:20 PM via video conferencing/other audio visual means, approved the following:

1. The Audited Financial Results (Standalone & Consolidated) for the Quarter and Year ended 31st March 2026, along with the Independent Audit Report. It was confirmed that the Statutory Auditors provided Audit Reports with a modified opinion on these results.

2. Recommended a Final Dividend of 10% (i.e., ₹0.10 per equity share of face value ₹1/- each) for the financial year 2025-26. This is subject to approval by shareholders at the ensuing Annual General Meeting.

3. Submission of details regarding Outstanding Qualified Borrowings and Incremental Qualified Borrowings in reference to SEBI Circular No. SEBI/HO/DDHS/DDHSRACPOD1/P/CIR/2023/172 dated October 19, 2023. The company confirmed it is not a Large Corporate (LC) as per the criteria in the circular.

Key Financial Figures (Consolidated - FY 2025-26)

All figures are in ₹ Lakhs, audited.

  • Profit before tax: ₹12,354 (FY 2024-25: ₹11,333)
  • Total Comprehensive Income: Not explicitly summarized but derivable from components.
  • Total Assets: ₹2,73,624 (31-Mar-2025: ₹2,55,201)
  • Total Equity: ₹1,54,127 (31-Mar-2025: ₹1,44,834)
  • Borrowings (Non-current + Current): ₹50,246 (₹32,479 + ₹17,767) (31-Mar-2025: ₹52,988)
  • Cash & Cash Equivalents: ₹5,484 (31-Mar-2025: ₹14,725)
  • Earnings Per Share (EPS) - Consolidated: Basic and Diluted EPS are not explicitly stated in the consolidated summary table but are detailed in the standalone results.

Key Financial Figures (Standalone - FY 2025-26)

All figures are in ₹ Lakhs, audited.

  • Profit before tax: ₹11,545 (FY 2024-25: ₹10,030)
  • Profit for the year (PAT): ₹8,633 (FY 2024-25: ₹7,740)
  • Total Comprehensive Income: ₹8,614 (FY 2024-25: ₹7,779)
  • Total Assets: ₹2,17,153 (31-Mar-2025: ₹2,03,968)
  • Total Equity: ₹1,28,641 (31-Mar-2025: ₹1,20,359)
  • Earnings Per Share (EPS): Basic ₹2.60, Diluted ₹2.60 (FY 2024-25: Basic ₹2.36, Diluted ₹2.34)

Cash Flow Statements

  • Consolidated Cash Flow (FY 2025-26): Net Cash from Operating Activities: ₹39,969; Net Cash Used in Investing Activities: (₹33,850); Net Cash Used in Financing Activities: (₹15,360); Net Decrease in Cash: (₹9,241).
  • Standalone Cash Flow (FY 2025-26): Net Cash from Operating Activities: ₹46,584; Net Cash Used in Investing Activities: (₹40,158); Net Cash Used in Financing Activities: (₹15,196); Net Decrease in Cash: (₹8,770).

Notes to Financial Results

1. The results were reviewed by the Audit Committee and approved by the Board on 30-May-2026. Statutory Auditors issued a modified opinion.

2. Results prepared in accordance with Indian Accounting Standards (Ind AS).

3. CFO certificate per Regulation 33 was placed before the Board.

4. Qualified Opinion Matter: A difference of ₹1,288 lakhs exists between the Input Tax Credit (GST) balance in the company's books and the GSTN portal. The company is reconciling this. The management believes no material adjustment will be needed post-reconciliation. Auditors were unable to ascertain the impact, leading to the qualified opinion.

5. An additional liability of ₹149 lakhs was recognized in Q4 FY26 related to a Supreme Court ruling on provident fund contributions.

6. The Middle East conflict in February 2026 caused LPG price volatility, impacting the Auto LPG division's performance due to higher prices and lower availability. Bulk and PCD supplies were prioritized.

7. Q4 figures are balancing figures between audited FY and unaudited 9M figures.

8. An income tax search was conducted in October 2025. No written communication or provision has been made as of the results date.

9. The company now operates as a single reportable segment (Ind AS 108). Comparative figures have been restated.

10. A wholly-owned subsidiary, Confidence Green Energy Private Limited, was incorporated on 16-Jul-2025.

11. Implementation of new Labour Codes effective 21-Nov-2025 resulted in an increased gratuity and leave liability of ₹172 lakhs due to past service cost.

12. Joint Statutory Auditor L N J & Associates resigned on 30-Dec-2025. Kataria & Munot, Chartered Accountants, were appointed as joint statutory auditors on 04-Feb-2026 and approved by shareholders on 02-May-2026.

13. The final dividend recommendation of 10% was made on 30-May-2026.

Auditor's Reports

  • Consolidated & Standalone: Both reports from Singhi & Co. and Katariya and Munot express a Qualified Opinion. The basis for qualification is the inability to ascertain the impact of the unreconciled GST input tax credit difference (Note 4).
  • The reports include extensive details on responsibilities, other matters (including reliance on other auditors for subsidiaries), and key audit matters.
  • The impact of the qualification is stated as unquantified by the auditors. Management's statement in the annexure indicates no adjustment to the reported figures (Turnover, PAT, EPS, Assets, Liabilities, Net Worth remain the same pre and post-qualification) as they are unable to estimate the impact pending reconciliation.

Borrowings Disclosure

A separate communication dated 30-May-2026 provided details as per SEBI circular:

  • Outstanding Qualified Borrowings at FY start (01-Apr-2025): ₹305.21 Crores
  • Outstanding Qualified Borrowings at FY end (31-Mar-2026): ₹174.00 Crores
  • Highest credit rating for unsupported borrowings: 'A' (Single A) by Acuite Ratings & Research
  • Incremental qualified borrowing during FY26: (₹131.21) Crores (indicating a net repayment)
  • Borrowings via debt securities: Nil

Financial Impact

  • The financial impact of the primary issue (GST reconciliation) is not quantified in the disclosure. The management believes it will not be material.
  • Other impacts are quantified: Labour Code implementation (₹172 lakhs), PF provision (₹149 lakhs).
  • Dividend outflow, if approved, will be based on the number of outstanding shares.

Capital Structure Impact

  • The dividend declaration, if approved, will result in a cash outflow but does not affect the share capital.
  • Share capital remained unchanged at ₹3,322 lakhs compared to the previous year.

Governance and Signatories

  • The report is signed by Nitin Khara (Managing Director) and Prity Bhabhra (Company Secretary).
  • The auditor's reports are signed by partners from Singhi & Co. (Sameer Mahajan) and Katariya and Munot (Rohit Gandhi).