Key Financial Figures
- Revenue from operations: ₹14.93 lakh (FY26) vs ₹281.39 lakh (FY25)
- Other income: ₹211.97 lakh (FY26) vs ₹246.63 lakh (FY25)
- Total revenue: ₹226.90 lakh (FY26) vs ₹528.02 lakh (FY25)
- Total expenses: ₹244.10 lakh (FY26) vs ₹311.07 lakh (FY25)
- Profit/(Loss) before tax: (₹17.19) lakh (FY26) vs ₹216.94 lakh (FY25)
- Net profit/(loss) for the period: (₹29.67) lakh (FY26) vs ₹216.53 lakh (FY25)
- Earnings per share (basic & diluted): (₹0.40) (FY26) vs ₹2.95 (FY25)
- Paid-up equity share capital: ₹733.20 lakh
- Face value per share: ₹10.00
For the half year ended March 31, 2026:
- Revenue from operations: ₹13.50 lakh
- Other income: ₹181.51 lakh
- Total revenue: ₹195.01 lakh
- Net loss: ₹12.16 lakh
- EPS: (₹0.17)
Dates of Action
- Board meeting: May 28, 2026 (commenced at 17:15 IST, concluded at 19:05 IST)
- Financial results period: Half year and year ended March 31, 2026
- Auditor's report date: May 28, 2026
- Management representation date: May 28, 2026
Parties Involved
- Stock exchange: BSE Limited
- Auditor: SDA & Associates, Chartered Accountants (Firm Registration No. 120759W)
- Auditor signatory: CA Suresh Vaishnav, Partner (Membership No. 104278)
- Company representative: Hitesh Sadh, Managing Director (DIN: 03055331)
Auditor's Qualified Opinion Details
The auditor issued a qualified opinion citing 9 key issues:
1. Balances subject to confirmation: Absence of independent confirmations for Trade Payables, Trade Receivables, Short-Term Loans & Advances (₹160.75 lakh). Unable to determine correctness, completeness, and recoverability of these balances.
2. Property, Plant and Equipment not physically available: Incomplete fixed asset records, certain assets appearing in books were not available for inspection. Company wrote off assets aggregating ₹13.14 lakh during the year.
3. Non-recognition of Deferred Tax Asset: Despite carried forward losses, management could not provide evidence of ability to generate future taxable profits. Deferred Tax Asset not recognized.
4. Absence of substantial business operations: Company does not have substantial operational business activities. Financial results substantially dependent on gain/loss from trading in equity, F&O and commodity markets.
5. Write-off of non-saleable raw material and inventory: Inventory write-off aggregating ₹95.31 lakh recognized based on management assessment.
6. Loans and advances granted without adequate documentation: Advances/loans aggregating ₹160.75 lakh granted to parties/individuals lacked supporting agreements, confirmations, repayment schedules, security documents.
7. Interest income recognized only on receipt basis: Interest income accounted for only upon actual receipt, not on accrual basis as required by accounting standards.
8. Personal and unsupported expenses: Expenses recorded under business promotion, travelling, fuel and office expenses lacked complete supporting records and satisfactory explanations.
9. Valuation of finished goods inventory: Unable to obtain adequate audit evidence regarding Net Realizable Value (NRV) due to limited business operations and absence of regular sales.
Financial Impact Assessment
Management was unable to quantify the financial impact for most qualifications except:
- Inventory write-off: ₹95.31 lakh (quantified and recognized)
For all other qualifications, management stated: "due to the nature of the matter and related uncertainties, the financial impact, if any, cannot presently be reasonably ascertained or quantified."
Going Concern Uncertainty
The auditor highlighted that the continuance of the company as a commercially viable entity is substantially dependent upon revival of operational business activities and generation of sustainable operational revenues. Such conditions indicate existence of material uncertainty which may cast significant doubt on the company's ability to continue as a going concern.
Segment Information
The company operates in the textile business in Mumbai and Noida. Segment reporting for FY26:
- Mumbai segment revenue: ₹16.64 lakh, segment loss: ₹41.88 lakh
- Noida segment revenue: (₹0.87) lakh, segment profit: ₹12.24 lakh
- Total segment loss before tax: ₹29.64 lakh
Cash Flow Information
For year ended March 31, 2026:
- Net cash flow from operating activities: (₹171.02) lakh
- Net cash flow from investing activities: ₹258.14 lakh
- Net cash flow from financing activities: (₹5.22) lakh
- Net increase in cash & cash equivalents: ₹81.90 lakh
- Closing cash & cash equivalents: ₹196.42 lakh
Additional Notes
- The figures for previous period/year have been regrouped/reclassified where necessary
- There were no investor complaints pending as of September 30, 2023
- The company has paid-up equity share capital of ₹733.20 lakh with face value of ₹10 per share