DCM Limited FY26 Net Loss of ₹580 Lakh

Income Statement:

Q4 FY26: Total Income: ₹119; Loss before tax: ₹(165); Loss for period: ₹(165)
FY26: Total Income: ₹537; Loss before tax: ₹(580); Loss for year: ₹(580)
Q4 FY25: Total Income: ₹805; Profit before tax: ₹403; Profit for period: ₹403
FY25: Total Income: ₹1,376; Profit before tax: ₹152; Profit for year: ₹152

Segment Performance (FY26):

Balance Sheet (as at March 31, 2026):

Total Assets: ₹7,784 lakh
Total Equity: ₹416 lakh (Share capital: ₹1,868 lakh; Other equity: ₹(1,452) lakh)
Total Liabilities: ₹7,366 lakh
Current liabilities exceed current assets by ₹4,162 lakh

Earnings Per Share:

Income Statement:

Q4 FY26: Revenue from operations: ₹1,887; Profit before tax: ₹(60); Profit for period: ₹(151)
FY26: Revenue from operations: ₹7,178; Profit before tax: ₹531; Profit for year: ₹289
Q4 FY25: Revenue from operations: ₹1,663; Profit before tax: ₹170; Profit for period: ₹94
FY25: Revenue from operations: ₹6,904; Profit before tax: ₹2,460; Profit for year: ₹2,192

Segment Performance (FY26):

Balance Sheet (as at March 31, 2026):

Earnings Per Share:

1. Engineering Division Lockout:

Lockout declared effective October 22, 2019, at Village Asron, District Shaheed Bhagat Singh Nagar (Punjab)
Matter remains sub-judice before labour authorities
No provision made for wages during lockout period (October 22, 2019 to March 31, 2026) aggregating ₹7,964 lakh
₹119 lakh pertains to quarter ended March 31, 2026
Company believes lockout is legal and justified based on legal advice

2. Joint Development Agreement Termination:

JDA signed August 11, 2022 with GCD Prime for 68.35 acres in Village Bir Hisar, Sector-23, Hisar, Haryana
License no. 179 of 2022 received November 10, 2022 for 67.275 acres
License suspended by Director General, Town and Country Planning, Haryana in April 2023
Company issued termination notice November 1, 2025, proposing forfeiture of ₹5,000 lakh advance
Developer filed Section 9 petition in Delhi High Court seeking stay of termination
Arguments concluded March 19, 2026; judgment reserved
Developer invoked arbitration under Section 21 of Arbitration & Conciliation Act, 1996
Matter pending before Delhi High Court for conversion to Section 17 application
Advance of ₹5,000 lakh shown under current liabilities as of March 31, 2026
Company believes it has strong case for termination and forfeiture

3. Going Concern Consideration:

Current liabilities exceed current assets by ₹4,162 lakh (standalone) and ₹259 lakh (consolidated)
Management believes infusion of liquidity through real estate asset management, land sales, and engineering business restructuring will enable operations to continue
Financial results prepared on going concern basis

4. Labour Code Implementation:

Government notified rules for new Labour Codes on May 08, 2026
Company provided additional employee benefit expenses of ₹102.61 lakh for past service cost

5. Municipal Corporation of Delhi Demand:

MCD raised demand of ₹24,134 lakh on Joint Venture entity for conversion charges
Joint Venture entity filed writ petition in Delhi High Court challenging the demand
No provision made as demand considered not sustainable based on legal advice

Subsidiaries: DCM Infotech Limited, DCM Infinity Realtors Limited, DCM Landmark Estates Limited, DCM Engineering Limited, DCM Realty and Infrastructure Limited, DCM Engineering Products Education Society, DCM Infotech Solution Inc, USA (w.e.f. July 03, 2025)
Joint Venture: Purearth Infrastructure Limited with subsidiaries Kalptru Reality Private Limited, Kamayani Facility Management Private Limited, and Vighanharta Estates Private Limited

Standalone and consolidated results audited by S S Kothari Mehta & Co. LLP
Audit reports emphasize matter regarding lockout wages and material uncertainty about going concern
Unmodified opinion issued on both standalone and consolidated financial results