Board Meeting Outcomes

The Board of Directors meeting held on Wednesday, May 27, 2026 (3:00 PM to 8:00 PM IST) approved the following:

i. Financial Results Approval

Approved Audited Consolidated and Standalone Financial Results for the quarter and financial year ended March 31, 2026, along with the Auditors' Report. The results include:

  • Signed declaration from CFO (Annexure A)
  • Results uploaded on BSE, NSE, and company website (https://www.orientindia.in/investor-relations)

ii. Internal Auditor Reappointment

Reappointed M/s Santosh Ghag & Co. as Internal Auditors for the company and fixed their remuneration for FY 2026-27. Disclosure provided as per Regulation 30 (Annexure B).

iii. CFO Resignation

Accepted resignation of Mr. Gourav Modi, Chief Financial Officer (Key Managerial Personnel), effective from close of business hours on June 25, 2026, due to personal reasons. Disclosure provided as per Regulation 30 (Annexure C).

Financial Results Summary

Standalone Financials (₹ in lakhs)

Income Statement FY2026:

  • Total Income: ₹87,066.56
  • Total Expenses: ₹84,190.95
  • Profit before exceptional items and tax: ₹2,875.61
  • Exceptional items: ₹2,368.33 (debit)
  • Profit before tax: ₹507.28
  • Tax expense: ₹228.47
  • Profit after tax: ₹278.81
  • Other Comprehensive Income: ₹(3.54)
  • Total Comprehensive Income: ₹275.27

Quarterly Performance (Q4 FY2026):

  • Total Income: ₹18,274.16
  • Profit after tax: ₹(645.63)
  • EPS: ₹(1.41)

Balance Sheet (as at March 31, 2026):

  • Total Assets: ₹56,442.33
  • Equity Share Capital: ₹4,580.59
  • Other Equity: ₹28,880.53
  • Total Equity: ₹33,461.12
  • Total Liabilities: ₹22,981.21

Cash Flow (FY2026):

  • Net cash used in operating activities: ₹(2,062.92)
  • Net cash used in investing activities: ₹(8,361.27)
  • Net cash from financing activities: ₹5,267.30
  • Net decrease in cash: ₹(5,156.89)

Consolidated Financials (₹ in lakhs)

FY2026 Performance:

  • Profit before tax: ₹618.13
  • Profit after tax: ₹358.86
  • Total Comprehensive Income: Not fully quantified

Q4 FY2026 Performance:

  • Profit after tax: ₹(498.87)
  • EPS: ₹(1.09)

Exceptional Items

The company reported exceptional items of ₹23.68 crore for FY2026 comprising:

1. Labour Code Impact (₹4.08 crore): Incremental impact from implementation of four Labour Codes notified on November 21, 2025, consisting of gratuity (₹3.35 crore) and long-term compensated absences (₹0.73 crore).

2. Customer Loss Charge-off (₹19.60 crore): Unamortized balance of cloud-based marketplace support costs due to loss of major customer - ₹15.15 crore charged in December 2025 and ₹4.45 crore in March 2026.

Acquisitions and Investments

During the quarter ended December 31, 2025, the company acquired:

  • 100% equity stake in Red Hut Innovation Technology Pvt Ltd (subsidiary) for ₹5.72 crore effective November 1, 2025
  • 46% equity stake in AIT Internet Services Private Limited for ₹1.14 crore effective December 1, 2025
  • 46% equity stake in Athena IT & Telecom Private Limited for ₹0.77 crore effective December 1, 2025

Total consideration: ₹7.63 crore. Investments accounted under Ind AS 27 at cost.

Capital Structure Changes

The company issued bonus shares in ratio 1:10 (1 share for every 10 shares held) with record date of January 5, 2026.

IPO Proceeds Utilization

Net IPO proceeds: ₹107.93 crore (net of issue expenses)

Utilization as of March 31, 2026:

  • Acquisition of office premise at Navi Mumbai: ₹10.35 crore (fully utilized)
  • Capital expenditure requirements: ₹40.21 crore (₹39.44 crore unutilized)
  • General corporate purposes: ₹17.93 crore (fully utilized)
  • Total utilized: ₹68.49 crore
  • Unutilized amount: ₹39.44 crore

Unutilized funds temporarily invested in fixed deposits (₹44.00 crore including ₹1.14 crore interest) and IPO Public Escrow account (₹0.89 crore).

Shareholders approved extension of utilization timeline until March 31, 2027, via postal ballot on March 26, 2026.

Management Changes

Mr. Gourav Modi resigned as CFO effective June 25, 2026. The Board accepted the resignation and recorded appreciation for his services.

Contingent Liability

Disputed claim from former CEO regarding entitlement to 11 lakh equity shares under employment letter providing remuneration of Re. 1. The Nomination and Remuneration Committee did not approve the entitlement. Promoters transferred 11,95,280 shares under personal MoU (company not party to agreement). Legal notice received, disclosed as contingent liability under Ind AS 37.

Segment Reporting

Company changed reportable segments from April 1, 2025:

  • Previous segments: IT Infrastructure Products and Services, Cloud and Data Management, ITES Services
  • New segments: IT Infrastructure Solutions, IT Infrastructure and Application Services

FY2026 Segment Revenue:

  • IT Infrastructure Solutions: ₹418.37 crore
  • IT Infrastructure and Application Services: ₹446.56 crore
  • Total: ₹864.93 crore