Financial Results Summary

Standalone Performance (₹ in Lakhs)

  • Q2 September 2026: Net Loss of (559.12)
  • Q1 June 2026: Net Loss of (541.98)
  • Q2 September 2025: Net Loss of (487.79)
  • Half Year September 2026: Net Loss of (1,101.10)
  • Full Year March 2026: Net Loss of (2,005.56)

Consolidated Performance (₹ in Lakhs)

  • Total Income Q2 September 2026: 204.96
  • Net Sales/Income from Operations: 194.10
  • Other Income: 10.78
  • Q2 September 2026 Net Loss: (1,205.21)
  • Half Year September 2026 Net Loss: (1,329.76)
  • Full Year March 2026 Net Loss: (1,439.36)

Key Financial Metrics

  • EPS (Basic) Q2 September 2026: (0.29)
  • Paid-up equity share capital: 3,839.14 lakhs (Face Value ₹2/-)
  • Standalone Net Worth: Negative (84,732.52) as of September 2026
  • Consolidated Net Worth: Negative (90,103.12) as of September 2026

Balance Sheet Position (as at 30th September 2026)

Standalone (₹ in Lakhs)

  • Total Assets: 4,589.33
  • Non-current assets: 4,111.99
  • Investments: 3,215.88
  • Other non-current assets: 889.11
  • Current assets: 477.34
  • Trade receivables: 461.14
  • Cash and cash equivalents: 3.69
  • Bank balances: 7.41
  • Total Liabilities: 85,482.64
  • Short term borrowings: 42,984.04
  • Other current liabilities: 42,281.76

Consolidated (₹ in Lakhs)

  • Total Assets: 2,463.85
  • Non-current assets: 838.83
  • Current assets: 1,626.02
  • Trade receivables: 657.13
  • Cash and cash equivalents: 16.40
  • Bank balances: 8.77
  • Total Liabilities: 88,727.83
  • Short term borrowings: 44,878.80

Significant Auditor Qualifications

The independent auditor (FRN: 118424W) issued a qualified review report with the following material observations:

Going Concern Uncertainty

  • Company has negative net-worth and pending cases casting significant uncertainty on going concern status
  • Management continues to prepare accounts on going concern basis, but auditor believes otherwise

Unprovided Interest and Liabilities

  • FCCB Loan: ₹29,085.00 lakhs overdue since April 2011, unprovided interest would increase loss by ₹548.25 lakhs
  • UPS Capital Loan: ₹696.37 lakhs overdue since April 2014, unprovided interest would increase loss by ₹14.42 lakhs
  • Bank of India Loans: ₹39,006.21 lakhs treated as NPA since 2009, unprovided interest of ₹2,559.89 lakhs would significantly increase losses

Exchange Fluctuation Non-Restatement

  • Discontinued restatement of exchange fluctuation gain/loss on FCCB and UPS Capital loans
  • Had restatement been done, losses would be higher by ₹7,262.35 lakhs (₹6,992.85 lakhs for FCCB + ₹269.50 lakhs for UPS Capital)

Expected Credit Loss Non-Provision

  • Company has not provided ECL on non-performing assets:
  • Investments: ₹3,215.88 lakhs
  • Loan & Advances: ₹889.11 lakhs
  • Trade receivables: ₹459.84 lakhs
  • Specifically, ₹459.84 lakhs not provided on US subsidiary investments and receivables

Legal and Regulatory Issues

  • Wilful Defaulter: Declared by Bank of India for company and promoters
  • CBI Chargesheet: Filed in October 2023 (CC No.26840/2023) against company and directors
  • Court Stay: High Court of Karnataka stayed proceedings in November 2023
  • Statutory Dues: Company has not accounted for or paid various statutory dues
  • RBI Non-Compliance: Not complied with RBI guidelines since March 2011

Subsidiary Information

The consolidated results include seven subsidiaries:

1. Systat Software Inc USA - Investment: ₹1,851.18 lakhs, Net-worth: (1,511.38)

2. Systat Software Asia Pacific Limited - Investment: ₹38.00 lakhs, Net-worth: (91.61)

3. Systat Software GmbH Germany - Investment: ₹14.48 lakhs, Net-worth: 162.80

4. Analytix Systems Private Limited - Investment: ₹630.00 lakhs, Net-worth: 1.28

5. Caravel Info Systems Pvt Ltd - Investment: ₹362.33 lakhs, Net-worth: (697.03)

6. Proland Software Pvt Ltd - Investment: ₹318.89 lakhs, Net-worth: (677.79)

7. Cranes Varsity Pvt Ltd - Investment: ₹1.00 lakhs, Net-worth: (114.40)

Shareholding Pattern (as of 30th September 2026)

  • Public Shareholding: 14,49,04,525 shares (75.49%)
  • Promoter Shareholding: 4,70,52,700 shares (24.51%)
  • Encumbered: 10,00,000 shares (2.13% of promoter holding)
  • Non-encumbered: 4,60,52,700 shares (97.87% of promoter holding)

Investor Complaints

  • No pending investor complaints at beginning or end of quarter
  • No complaints received or disposed during the quarter