Financial Results for Quarter Ended June 30, 2026

The company reported unaudited financial results for Q1 FY27:

  • Total Income: ₹19.01 lakh (consisting entirely of Other Income; Revenue from Operations was nil)
  • Total Expenses: ₹63.32 lakh
  • Employee Benefits Expense: ₹20.14 lakh
  • Finance Cost: ₹7.65 lakh
  • Depreciation Expense: ₹6.62 lakh
  • Other Expenses: ₹28.91 lakh
  • Net Loss before Tax: ₹(63.32) lakh
  • Tax Expense: Nil
  • Net Loss for the period: ₹(63.32) lakh
  • Earnings Per Share (Basic & Diluted): ₹(18.62) per share
  • Paid-Up Equity Share Capital: ₹34.00 lakh (34,000 shares of face value ₹10 each)

Comparative Financial Performance

  • Quarter Ended March 31, 2026 (Audited): Net Loss of ₹(351.46) lakh
  • Quarter Ended June 30, 2025 (Unaudited): Net Loss of ₹(50.79) lakh
  • Year Ended March 31, 2026 (Audited): Net Loss of ₹(486.54) lakh

Board Approvals and Corporate Actions

1. Approval of Unaudited Financial Results: Board approved unaudited financial results for quarter ended June 30, 2026, along with Limited Review Report from statutory auditors.

2. Re-appointment of Mr. Nihal Doshi: As Executive Director for a further term of 3 years commencing January 1, 2027 to December 31, 2029, subject to shareholder approval at ensuing AGM. Mr. Doshi (DIN: 00246749) holds a Bachelor of Science in Economics from Wharton School, University of Pennsylvania, and has been on the board since 2008. He is the son of Chairman & Managing Director Mr. Harshavardhan B. Doshi and part of the Promoter Group.

3. Re-appointment of Mr. Rajiv Jain: As Independent Director (DIN: 09044822) for a second term commencing September 16, 2026 to February 3, 2031, subject to shareholder approval. Mr. Jain has 35+ years experience in banking & financial services with Bank of America, ING Vysya Bank, and JP Morgan.

4. Re-appointment of Mr. Subodh Mawalankar: As Independent Director (DIN: 09484724) for a second term commencing February 11, 2027 to February 10, 2032, subject to shareholder approval. Mr. Mawalankar is a practicing Cost Accountant and Financial Advisor with over 40 years experience.

Operational Status and Segment Information

The company has been inactive during the quarter ended June 30, 2026. The sugar factory was not operating since FY 2013-14 and was sold in September 2018. The candy sugar plant has not been in operation since FY 2004-05. During FY 2023-24, the company sold its trademarks, recipes and intellectual property related to its confectionery business to Reliance Consumer Products Limited. Consequently, the company has no operating segments.

Contingent Liabilities and Legal Matters

1. Gratuity Dispute (Note 4):

  • Legal claim against the company regarding gratuity payments to 21 former seasonal workers
  • Second Labour Court, Nashik ruled in May 2025 estimating total gratuity demand at ₹28.23 lakhs plus interest of ₹33.87 lakhs
  • Company disputes the ruling, asserting seasonal employment did not meet 240 days service requirement
  • Company filed appeal before Industrial Court, Nashik
  • Deposited ₹63.14 lakhs with the Court as security/deposit
  • No provision recognized as management believes significant outflow not probable

2. Water Charges Dispute (Note 5):

  • Company recognized liability of ₹27.59 lakhs in Q1 FY26-27 towards water charges from 2020 onwards
  • Disputing further demand from Water Resources Department, Government of Maharashtra: ₹37.36 lakhs for industrial water usage and ₹30.84 lakhs for domestic water usage
  • Dispute primarily relates to non-usage during COVID-19 pandemic
  • Department granted partial relief in principle
  • Company's representation for further waiver of ₹6.76 lakhs pending before higher adjudicating authority
  • No additional provision recognized as obligation cannot be reliably estimated

3. Property Tax Dispute (Note 6):

  • Gram Panchayat, Ravalgaon raised demand for property tax and local levies aggregating ₹278.93 lakhs
  • Company deposited ₹269.87 lakhs under protest, of which ₹65.00 lakhs disclosed under Short-term Loans and Advances
  • Company disputed basis and computation of demand
  • Filed appeal before Hon'ble Minister of State for Rural Development and Panchayat Raj, Government of Maharashtra
  • Interim order issued in February 2026 stayed order by Standing Committee, Zilla Parishad, Nashik
  • No additional provision recognized

4. Electricity Duty Exemption (Note 7):

  • Bombay High Court judgment dated October 5, 2009 struck down notifications withdrawing electricity duty exemptions
  • Supreme Court overturned this judgment on March 25, 2026
  • No demand communicated by Government of Maharashtra as of approval date
  • Management believes contingent liability disclosure adequately covers potential exposure

Auditor's Limited Review Report

Patkar & Pendse Chartered Accountants issued limited review report with emphasis on three matters:

  • Gratuity dispute with ₹63.14 lakh deposit (Note 4)
  • Water charges dispute with ₹27.59 lakh recognized liability and pending demands (Note 5)
  • Property tax dispute with ₹269.87 lakh deposit under protest (Note 6)

Auditors concluded that nothing has come to their attention causing them to believe the financial results contain material misstatement.

Meeting Details

Board meeting commenced at 3:00 p.m. and concluded at 3:50 p.m. on August 11, 2026.