Punjab Communications Limited disclosed its unaudited financial results for the quarter and half-year ended 30th September 2026, approved by the Board of Directors in their 242nd meeting held on 13th November 2026 from 12:25 Hrs to 13:55 Hrs.
Financial Performance Highlights
Quarter Ended 30th September 2026:
- Revenue from operations: ₹534.56 lakhs (compared to ₹816.60 lakhs in Q2 FY2025)
- Other income: ₹271.25 lakhs (compared to ₹289.64 lakhs in Q2 FY2025)
- Total revenue: ₹805.81 lakhs (compared to ₹1,106.24 lakhs in Q2 FY2025)
- Total expenses: ₹1,085.63 lakhs (compared to ₹783.11 lakhs in Q2 FY2025)
- Loss before tax: ₹279.82 lakhs (compared to profit of ₹323.13 lakhs in Q2 FY2025)
- Net loss: ₹279.82 lakhs (compared to profit of ₹323.13 lakhs in Q2 FY2025)
- Basic and diluted EPS: (₹2.33) per share (compared to ₹2.69 profit per share in Q2 FY2025)
Half-Year Ended 30th September 2026:
- Revenue from operations: ₹1,117.77 lakhs (compared to ₹1,483.51 lakhs in H1 FY2025)
- Other income: ₹485.43 lakhs (compared to ₹557.46 lakhs in H1 FY2025)
- Total revenue: ₹1,603.20 lakhs (compared to ₹2,040.97 lakhs in H1 FY2025)
- Profit before tax: ₹6.78 lakhs (compared to ₹358.05 lakhs in H1 FY2025)
- Basic and diluted EPS: ₹0.06 per share (compared to ₹2.98 per share in H1 FY2025)
Balance Sheet Position as of 30th September 2026
- Total assets: ₹8,814.22 lakhs (compared to ₹8,893.83 lakhs as of 31st March 2026)
- Property, plant & equipment: ₹315.28 lakhs
- Investment property: ₹105.70 lakhs
- Inventories: ₹507.90 lakhs
- Trade receivables: ₹1,076.52 lakhs
- Cash and cash equivalents: ₹649.68 lakhs
- Other bank balances: ₹5,250.05 lakhs
- Share capital: ₹1,204.80 lakhs (unchanged)
- Other equity: ₹1,881.08 lakhs (compared to ₹1,840.48 lakhs as of 31st March 2026)
Cash Flow Statement for Half-Year Ended 30th September 2026
- Cash from operating activities: Not quantified in disclosure
- Cash from investing activities: ₹48,188 lakhs
- Cash from financing activities: (₹102) lakhs
- Net change in cash and cash equivalents: (₹32.18) lakhs
Auditor Qualifications and Critical Findings
M/s R. Bansal & Co, Chartered Accountants, issued a qualified limited review report with multiple significant observations:
1. Unaccounted Stock Purchases: Cost of stock-in-trade includes ₹20.03 lakhs pertaining to FY2025-26 and ₹118.76 lakhs pertaining to Q1 FY2026-27 that were not accounted for in respective periods, overstating current quarter loss by ₹138.79 lakhs.
2. Bank Guarantee Liability: Company provided liability of ₹3,010.21 lakhs for encashed bank guarantees but made no provisions for potential interest or other financial costs.
3. Inventory Valuation Non-Compliance: Company uses 'last purchase rate' method instead of stated FIFO policy, violating Ind AS 2. Inventory valuation calculations were not provided to auditors.
4. Work-in-Progress Valuation: WIP and finished sub-assemblies valued only at material cost excluding conversion costs, violating Ind AS 2 requirements.
5. Inventory Adjustment: Company reduced WIP cost by ₹129.21 lakhs for material not in stock (cumulative figure), but period-wise bifurcation unavailable.
6. Physical Verification Reliance: Management relied on internal verification of 100% PPE and inventory without independent third-party verification, raising concerns about existence, completeness, and potential impairment.
7. Expected Credit Loss: Company has no accounting policy for estimating ECL on trade receivables and other financial assets as required by Ind AS 109.