Key Quantitative Figures and Approvals

1. Financial Results Approval:

The Board approved the Unaudited (Standalone and Consolidated) Financial Results for the quarter ended June 30, 2026.

Standalone Financial Highlights (Rs. in Lakhs):

  • Total Income: ₹1,375.52 Lakhs (Q2 FY26) vs. ₹987.89 Lakhs (Q2 FY25)
  • Loss before exceptional items and tax: ₹(166.85) Lakhs
  • Exceptional items (net of tax): ₹(7,144.05) Lakhs (Related to IBC settlement with Raspalfa)
  • Loss before tax: ₹(7,310.90) Lakhs
  • Tax expense: ₹635.43 Lakhs (primarily deferred tax)
  • Net Loss for the period: ₹(7,946.33) Lakhs (₹794.63 Crore)
  • Earnings Per Share (Basic) after exceptional items: ₹(1.02)
  • Earnings Per Share (Basic) before exceptional items: ₹(0.10)

Consolidated Financial Highlights (Rs. in Lakhs):

  • Total Income: ₹130,383.58 Lakhs
  • Profit before exceptional items and tax: ₹3,305.47 Lakhs
  • Exceptional Loss: ₹(6,529.14) Lakhs (Includes IBC settlement and subsidiary liquidation)
  • Share of Loss in Joint Venture: ₹(49.77) Lakhs
  • Loss before tax: ₹(3,273.44) Lakhs
  • Net Loss for the period: ₹(4,577.75) Lakhs
  • Net Loss attributable to owners: ₹(4,132.60) Lakhs

2. Internal Auditor Appointment:

On the recommendation of the Audit Committee, the Board appointed M/s. Shridhar & Associates, Chartered Accountants, as Internal Auditors for the Financial Year 2026-27.

3. Change in Director Designation:

On the recommendation of the Nomination and Remuneration Committee, the designation of Mr. Namit Malhotra (DIN: 00004049) was changed from Non-Executive Director to Whole Time Director and Key Managerial Personnel of the Company. This is effective from August 07, 2026, for a term of 3 years, subject to approval of the members of the Company and other necessary approvals. Mr. Malhotra is a promoter of the company.

4. Alteration of Articles of Association:

Subject to member approval, the Board approved the alteration of the Articles of Association by omitting certain clauses that contain specific rights related to the Late Mr. Rakesh Jhunjhunwala.

5. Corporate Guarantee:

Subject to necessary approvals, the Board approved the issuance of a Corporate Guarantee in favour of Union Bank of India for an amount of up to ₹200 Crores (Rupees Two Hundred Crores Only). This guarantee is for securing the repayment of a term loan to be availed by DNEG India Media Services Limited, an unlisted material subsidiary, towards part-financing the production cost of the film "Ramayana-Part 1". The promoter/promoter group/group companies have no interest in this transaction. This creates a contingent liability for the company to the extent of facilities availed.

Details of IBC Proceedings and Settlement (Note 4)

Background:

  • On April 7, 2015, the company acquired the Film and Media Services business from Reliance MediaWorks Limited (RMW) on a slump sale basis for a total consideration of ₹35,000 Lakhs.
  • The company agreed to assume Debt Facilities of ₹20,000 Lakhs, conditional upon fulfilment of Additional Conditions.
  • Subsequently, the company entered into a Loan Agreement dated February 25, 2019, with Raspalfa Services Private Limited (RASPL) for ₹20,000 Lakhs.

IBC Timeline:

  • August 29, 2023: RASPL filed a Section 7 petition under IBC before NCLT claiming ₹35,379.75 Lakhs for alleged default.
  • May 6, 2026: NCLT admitted the petition and initiated CIRP against the company.
  • May 12, 2026: NCLAT stayed the order and directed a deposit of ₹35,379.75 Lakhs, which was deposited via a Fixed Deposit.
  • July 10, 2026: NCLAT:

a) Set aside the NCLT CIRP admission order

b) Approved the Discharge Agreement dated July 1, 2026, for a total consideration of ₹40,800 Lakhs towards full and final resolution

c) Closed the CIRP against the company

d) Released the Fixed Deposit for payment as per the Discharge Agreement

Financial Impact:

  • The fixed deposit of ₹35,379.75 Lakhs was released.
  • Subsequent to the quarter end, the balance amount of ₹5,420.25 Lakhs was paid by the company.
  • As of March 31, 2026, the company carried an accrual of ₹35,379.75 Lakhs for this matter.
  • The incremental amount of ₹7,144.05 Lakhs (including legal & professional fees and tax-related expenses) was recognized as an exceptional item in Q2 FY26 results.
  • The related Commercial Suit filed with the High Court on July 25, 2023, was withdrawn on August 4, 2026.
  • There are no pending liabilities or litigations related to this dispute.

Other Operational Details

  • During the quarter, the company allotted 5,00,000 fully paid-up equity shares of face value Re. 1 each at a securities premium of ₹51 each on exercise of stock options by employees.
  • PF Media Ltd, an indirect subsidiary, was voluntarily liquidated effective July 13, 2026, resulting in a net gain on liquidation of ₹614.81 Lakhs included in consolidated exceptional items.
  • The company acquired a 48.45% equity stake in Anima Kitchent Canarias, S.L. (Spain) for €1.275 million (approx. ₹13.69 crore) on June 25, 2026, now classified as a joint venture.
  • The figures incorporate a one-time impact of New Labour Codes effective November 21, 2025.

Meeting Details

The Board Meeting commenced at 6:30 PM and concluded at 9:00 PM on August 06, 2026.

Auditor Review

The financial results were reviewed by the statutory auditors, M/s. M S K A & Associates LLP, who issued an unmodified review report.