Board Meeting Details

  • Meeting Date: November 13, 2026
  • Commencement Time: 4:00 PM
  • Conclusion Time: 9:40 PM
  • Approved unaudited standalone financial results for Q2 and half year ended September 30, 2026
  • Approved unaudited consolidated financial results for Q2 and half year ended September 30, 2026
  • Results reviewed and recommended by Audit Committee
  • Results include Limited Review Report of Statutory Auditors

Financial Results Overview

Standalone Performance (Rs. in Lakhs)

Half Year Ended September 30, 2026:

  • Total Income: ₹1.53
  • Employee Benefit Expenses: ₹6.26
  • Finance Cost: ₹0.01
  • Other Expenses: ₹13.22
  • Total Expenses: ₹19.49
  • Loss Before Tax: ₹(17.96)
  • Other Comprehensive Income: ₹0.31
  • Total Comprehensive Loss: ₹(17.65)
  • EPS (Basic & Diluted): ₹(0.02)

Quarter Ended September 30, 2026:

  • Loss Before Tax: ₹(6.83)
  • Total Comprehensive Loss: ₹(6.52)
  • EPS (Basic & Diluted): ₹(0.01)

Consolidated Performance (Rs. in Lakhs)

Half Year Ended September 30, 2026:

  • Revenue from Operations: ₹1.79
  • Total Income: ₹1.79
  • Employee Benefit Expenses: ₹8.26
  • Finance Cost: ₹(10.78) [negative due to reversal/adjustment]
  • Other Expenses: ₹17.97
  • Total Expenses: ₹15.45
  • Loss Before Tax: ₹(13.65)
  • Other Comprehensive Income: ₹99.55
  • Total Comprehensive Income: ₹85.90
  • EPS (Basic & Diluted): ₹0.12

Quarter Ended September 30, 2026:

  • Profit Before Tax: ₹0.20
  • Total Comprehensive Income: ₹95.66
  • EPS (Basic & Diluted): ₹0.13

Financial Position

Standalone Balance Sheet (as at September 30, 2026, Rs. in Lakhs)

  • Total Assets: ₹1,371.79
  • Property, Plant and Equipment: ₹266.69
  • Investments: ₹150.01
  • Trade Receivables: ₹530.40
  • Deferred Tax Assets: ₹132.28
  • Inventories: ₹25.32
  • Cash and Cash Equivalents: ₹1.36
  • Total Equity: ₹(47.60) [negative]
  • Borrowings (Non-current): ₹630.56
  • Trade Payables: ₹759.08 (₹2.87 to MSME, ₹756.21 to others)
  • Current Liabilities: ₹1,419.39

Consolidated Balance Sheet (as at September 30, 2026, Rs. in Lakhs)

  • Total Assets: ₹36,041.97
  • Property, Plant and Equipment: ₹6,083.32
  • Financial Assets: ₹28,565.17
  • Trade Receivables: ₹366.41
  • Deferred Tax Assets: ₹92.53
  • Inventories: ₹25.32
  • Cash and Cash Equivalents: ₹57.79
  • Total Equity: ₹(23,873.69) [negative]
  • Borrowings (Non-current): ₹761.81
  • Borrowings (Current): ₹55,606.52
  • Trade Payables: ₹818.33 (₹2.87 to MSME, ₹815.46 to others)
  • Current Liabilities: ₹59,142.02

Auditor's Qualified Conclusions

Standalone Financials

Basis for Qualified Conclusion:

  • No impairment testing conducted on fixed assets despite no manufacturing activity since FY 2017-18
  • No depreciation charged on property, plant and equipment for quarter ending September 30, 2026
  • Trade receivables of ₹530.40 lakhs outstanding long overdue without provision for expected credit loss
  • No confirmation of debtor balances obtained
  • Non-compliance with Ind AS 19 for employee benefit costs recognition

Material Uncertainty Related to Going Concern:

  • Accumulated losses and eroding net worth
  • Current liabilities exceed current assets
  • No business activity undertaken throughout the year and earlier years
  • Financial statements prepared on going concern basis despite uncertainty

Emphasis of Matter:

  • Corporate guarantee of ₹807.46 crores given for subsidiary SSA International Limited's secured loans classified as NPA
  • Received notice u/s 13(2) of SARFAESI Act 2002 from consortium of banks for guarantee revocation
  • Received notice from IDBI Bank regarding potential wilful defaulter classification
  • Consortium bankers filed recovery petition before Debt Restructuring Tribunal-II, Delhi (O.A 530/18 dated 24/05/2018)
  • IDBI Bank declared main borrower SSA International Ltd, its directors and guarantors (including Samtex Fashions) as wilful defaulters
  • Subsidiary SSA International received demand notice on 30.10.2026 from DRT-3 Delhi for ₹437.57 crore
  • No physical verification evidence for fixed assets and inventory
  • Loans and advances outstanding long time without recovery confirmation
  • Inventories of ₹25.32 lakhs not used for long period without obsolescence provision
  • Deferred tax assets of ₹132.28 lakhs carried forward without probable certainty of future taxable income
  • No confirmation of balances for loans, advances, trade payables, security deposits, government balances, bank balances, FDRs with interest, and bank loans
  • MSME classification based on management knowledge without verification
  • Bank accounts under debit freeze by EPF department
  • ₹118.67 lakhs deposited under protest for Income Tax litigations without current status details

Consolidated Financials

Additional Qualified Points:

  • Subsidiary SSA International Ltd defaulted in repayment obligations to banking institutions
  • Management unable to estimate interest payable on bank debts due to lack of account statements
  • Non-recognition of interest expenses not in accordance with Ind AS on borrowing costs
  • Subsidiary assets auctioned by banks without recording the transactions in financial results
  • Samalkha plant assets sold by IDBI Bank and consortium members
  • Industrial Plot at Mandideep, Madhya Pradesh sold by consortium banks and NARCL
  • No information on asset sale details, transaction values, or bank utilization of sale proceeds
  • Assets of directors/guarantors also sold by consortium bankers with adjustments to owed amounts not recorded

Subsidiary Information

Consolidated results include:

  • M/s SSA International Ltd (wholly owned subsidiary)
  • M/s Lina Global INC (wholly owned subsidiary of SSA International Ltd)
  • M/s Arlin Foods Ltd

Cash Flow Information

Standalone Cash Flows (Half Year Ended September 30, 2026, Rs. in Lakhs)

  • Net cash from operating activities: ₹0.07
  • Net cash from investing activities: ₹(0.12)
  • Net cash from financing activities: ₹(0.01)
  • Net decrease in cash: ₹(0.05)

Consolidated Cash Flows (Half Year Ended September 30, 2026, Rs. in Lakhs)

  • Net cash from operating activities: ₹(55.91)
  • Net cash from investing activities: ₹0.14
  • Net cash from financing activities: ₹53.14
  • Net decrease in cash: ₹(2.61)

Additional Notes

  • Paid-up equity share capital: ₹1,491.80 lakhs (1,490.00 lakh shares of ₹2.00 face value)
  • No exceptional items reported during the period
  • No tax expenses recognized during the period
  • Limited review report signed by Mohit Kakkar (Partner) of Kapil Kumar & Co, Chartered Accountants
  • Company represented by Rinki Rani, Company Secretary & Compliance Officer (M. No.: A51516)
  • Board representation includes Atal Tal, Chairman & Managing Director (DIN: 00223366)