Financial Performance Highlights (Half-Year Ended September 30, 2026)

  • Revenue from operations: ₹617.25 lakh (compared to ₹661.66 lakh in H1 FY25)
  • Other income: ₹3.04 lakh (compared to ₹4.48 lakh in H1 FY25)
  • Total income: ₹620.29 lakh (compared to ₹666.13 lakh in H1 FY25)
  • Total expenses: ₹642.12 lakh (compared to ₹636.51 lakh in H1 FY25)
  • Loss before tax: ₹21.84 lakh (compared to profit of ₹29.63 lakh in H1 FY25)
  • Net loss: ₹22.40 lakh (compared to net profit of ₹23.15 lakh in H1 FY25)
  • Earnings per share (basic and diluted): (₹0.68) (compared to ₹0.70 in H1 FY25)

Expense Breakdown

  • Cost of materials consumed: ₹485.66 lakh
  • Employee benefits expense: ₹74.09 lakh
  • Finance costs: ₹4.09 lakh
  • Depreciation and amortization: ₹26.12 lakh
  • Other expenses: ₹52.15 lakh

Tax Expense

  • Current tax relating to prior years: ₹0.32 lakh
  • Deferred tax asset/liability: ₹0.24 lakh

Balance Sheet Position (as of September 30, 2026)

  • Total equity and liabilities: ₹1,047.09 lakh
  • Share capital: ₹330.00 lakh (unchanged from previous year)
  • Reserves and surplus: ₹479.08 lakh (decreased from ₹525.59 lakh)
  • Long-term borrowings: ₹80.75 lakh
  • Trade payables: ₹140.76 lakh (₹44.81 lakh to micro/small enterprises, ₹95.95 lakh to others)
  • Other current liabilities: ₹16.49 lakh
  • Total assets: ₹1,047.09 lakh
  • Property, plant and equipment: ₹316.96 lakh
  • Inventories: ₹241.24 lakh
  • Trade receivables: ₹348.36 lakh
  • Cash and cash equivalents: ₹43.51 lakh

Cash Flow Statement

  • Net cash from operating activities: (₹13.72) lakh
  • Net cash from investing activities: (₹52.55) lakh
  • Net cash from financing activities: (₹0.68) lakh
  • Net decrease in cash and cash equivalents: ₹66.96 lakh
  • Closing cash and bank balance: ₹43.51 lakh

Auditor's Review and Qualifications

The independent auditor, H H Dedhia & Associates (FRN: 148213W), issued a limited review report with the following qualifications:

1. Non-compliance with AS-15: The company provides for post-employment benefits and other long-term employee benefits under defined benefit plans based on a group gratuity report from LIC rather than actuarial valuation, constituting a departure from Accounting Standard 15. The quantum of deviation cannot be ascertained.

2. Inventory reconciliation: The company is in the process of reconciling stock records with books of accounts. The closing stock of ₹241.23 lakh as of September 30, 2026, has been physically verified and valued by management, but shortages/excesses compared to book stock will be accounted for when identified. The auditor is unable to comment on stock movement and valuation.

Additional Notes

  • The figures for the half-year ended March 31, 2026, are balancing figures between audited full-year figures and published unaudited year-to-date figures up to September 30, 2025.
  • The company operates in only one segment, so no separate segment reporting is required.
  • The company is exempt from adopting IND-AS as its shares are listed on an SME exchange.
  • No investor complaints were received/pending as of September 30, 2026.
  • The financial results are available on the company's website (www.kmsgroup.in) and the stock exchange's website.