Key Quantitative Figures
- Net Profit for year ended March 31, 2026: ₹39.25 lakh
- Total Income for year ended March 31, 2026: ₹83.55 lakh
- Total Expenditure for year ended March 31, 2026: ₹313.12 lakh
- Earnings Per Share (Basic and diluted) for year ended March 31, 2026: ₹0.355
- Paid-up equity share capital: ₹110.62 lakh (Face value: ₹1 per share)
- Carrying amount of Ridge Road Property (inventory): ₹72.17 lakh
- Total Assets as at March 31, 2026: ₹1,576.53 lakh
- Total Equity as at March 31, 2026: ₹1,484.58 lakh
Dates of Action
- Board meeting date: May 26, 2026 (11:30 AM to 12:00 Noon)
- Financial period: Quarter and year ended March 31, 2026
- NCLT approval date for amalgamation: April 6, 2026
- Effective date of amalgamation: April 1, 2024
- Registrar of Companies filing date: April 22, 2026
Parties Involved
- Kedia Construction Company Limited (Transferee Company)
- Kirti Investments Limited (Transferor Company)
- LIC of India (counterparty in litigation)
- Jhunjhunwala Jain & Associates LLP (Statutory Auditors)
- National Company Law Tribunal, Mumbai Bench (approving authority)
- BSE Limited (recipient of disclosure)
Purpose and Rationale
The board meeting was held to consider and approve the audited financial results for the quarter and year ended March 31, 2026, and to comply with SEBI Listing Regulations disclosure requirements.
Financial and Operational Impact
The amalgamation with Kirti Investments Limited has been accounted for using the pooling of interest method as a business combination under common control. The scheme provided for reduction of share capital of Kedia Construction from ₹5 per share to ₹1 per share, with the difference credited to capital reserve.
Capital Structure Impact
- Face value reduction of equity shares from ₹5 to ₹1 per share
- Share capital remains at ₹110.62 lakh post-reduction
- Amalgamation resulted in issuance of equity shares to shareholders of Kirti Investments Limited
Material Changes
Comparative financial information for previous periods has been restated due to the amalgamation:
- March 31, 2025 Total Assets: Previously reported ₹447.77 lakh, Restated ₹1,805.96 lakh
- March 31, 2025 Total Equity: Previously reported ₹366.36 lakh, Restated ₹1,717.31 lakh
- FY2025 Net Profit: Previously reported ₹0.53 lakh, Restated ₹39.25 lakh
Auditor Emphasis of Matter
The auditor highlighted two matters:
1. Pending litigation with LIC of India regarding Ridge Road Property (carrying value: ₹72.17 lakh) shown as inventory with no provision for diminution in value
2. Impact of the Scheme of Arrangement and Amalgamation with Kirti Investments Limited approved by NCLT
Contingent Exposure
Pending litigation against LIC of India for Ridge Road Property valued at ₹72.17 lakh, with outcome uncertain and no provision made.
Governance Details
- Audit Committee reviewed the results
- Board of Directors approved the results on May 26, 2026
- Statutory Auditors: Jhunjhunwala Jain & Associates LLP (Firm Registration No: 113675W/W100361)
- Director: Vijay Kumar Khowala (DIN: 00377686)
Additional Information
- Company engaged in construction business with no separate reportable segments
- No complaints received or pending as of March 31, 2026
- Unmodified audit opinion received for FY2026 financial results