SMC Credits Limited held a meeting of its Board of Directors on November 14, 2026, which commenced at 4:30 PM IST and concluded at 5:02 PM IST. The Board considered and approved the following items:

1. The unaudited financial results for the quarter and half year ended September 30, 2026, as recommended by the Audit Committee. The results were accompanied by a Limited Review Report issued by the company's statutory auditors, M/s. Kumar Ashwani & Associates, Chartered Accountants (Firm Registration Number: 008891N).

2. The Statement of Deviation(s) or Variation(s) under Regulation 32 of the SEBI (LODR) Regulations, 2015, for the quarter and half year ended September 30, 2026.

Pursuant to SEBI Circular dated January 30, 2026, the following disclosures were made:

  • Financial Results: Enclosed.
  • Statement on deviation or variation: Enclosed. The company stated it is "Not Applicable" for disclosures related to outstanding default on loans and debt securities.
  • Disclosure of related party transactions: Noted as applicable only for half-yearly filings and will be filed along with XBRL for financial results.
  • Statement on impact of audit qualifications: Noted as "Not Applicable" (applicable only for annual filing).

Financial Results (Quarter Ended September 30, 2026)

(All figures in ₹ Lakhs, unless stated)

Income Statement Highlights (Q2 FY27 vs. Q2 FY26):

  • Income from Operations: ₹548.47 Lakhs (vs. ₹880.20 Lakhs in Q2 FY26) - a decrease of 37.7%.
  • Other Income: ₹32.61 Lakhs (vs. ₹42.03 Lakhs in Q2 FY26).
  • Total Income: ₹581.08 Lakhs (vs. ₹922.23 Lakhs in Q2 FY26) - a decrease of 37.0%.
  • Total Expenses: ₹95.13 Lakhs (vs. ₹46.30 Lakhs in Q2 FY26) - an increase of 105.5%, driven by a significant rise in 'Other Expenses' (₹51.95 Lakhs vs. ₹11.49 Lakhs) and Finance Cost (₹32.23 Lakhs vs. ₹8.89 Lakhs).
  • Profit Before Tax: ₹485.95 Lakhs (vs. ₹875.93 Lakhs in Q2 FY26) - a decrease of 44.5%.
  • Tax Expense: ₹121.94 Lakhs (vs. a tax credit of ₹45.11 Lakhs in Q2 FY26).
  • Net Profit for the period (after tax): ₹364.01 Lakhs (vs. ₹921.04 Lakhs in Q2 FY26) - a decrease of 60.5%.
  • Earnings Per Share (EPS) (Basic & Diluted): ₹1.45 (vs. ₹3.68 in Q2 FY26).

Financial Results (Half Year Ended September 30, 2026):

  • Total Income: ₹1,297.80 Lakhs (vs. ₹3,535.52 Lakhs in H1 FY26) - a decrease of 63.3%.
  • Net Profit for the period (after tax): ₹852.08 Lakhs (vs. ₹3,127.76 Lakhs in H1 FY26) - a decrease of 72.8%.
  • Earnings Per Share (EPS) (Basic & Diluted): ₹3.40 (vs. ₹12.48 in H1 FY26).

Balance Sheet Position (as of September 30, 2026):

  • Total Assets: ₹1,18,475.90 Lakhs (vs. ₹1,16,443.74 Lakhs as of March 31, 2026).
  • Investments: ₹1,14,195.21 Lakhs (vs. ₹1,12,897.72 Lakhs as of March 31, 2026).
  • Loans: ₹3,903.17 Lakhs (vs. ₹3,113.22 Lakhs as of March 31, 2026).
  • Borrowings: ₹1,732.53 Lakhs (vs. ₹832.13 Lakhs as of March 31, 2026).
  • Equity Share Capital: ₹2,505.55 Lakhs (unchanged).
  • Other Equity: ₹1,13,607.88 Lakhs (vs. ₹1,12,755.80 Lakhs as of March 31, 2026).

Cash Flow (Half Year Ended September 30, 2026):

  • Net Cash from Operating Activities: ₹522.84 Lakhs.
  • Net Cash used in Investing Activities: ₹(595.53) Lakhs.
  • Net Cash from Financing Activities: Not quantified in the disclosure (represented by symbols).
  • Net decrease in Cash and Cash Equivalents: ₹(72.70) Lakhs.
  • Cash and Cash Equivalents at end of period: ₹193.68 Lakhs.

Statement of Deviation/Variation

For the quarter ended September 30, 2026, the company reported that there was no deviation or variation in the use of funds raised through a Rights Issue completed on December 29, 2022. The total amount raised was ₹1,503.33 Lakhs.

  • Augment Capital Base: ₹1,125.00 Lakhs allocated and fully utilized.
  • General Corporate Purpose: ₹351.98 Lakhs allocated; ₹351.33 Lakhs utilized; ₹0.65 Lakhs unutilized.
  • Issue Related Expenses: ₹26.35 Lakhs allocated and fully utilized.

The auditors' comments noted no deviation/variation.

Auditor's Review Report

M/s. Kumar Ashwani & Associates issued a limited review report on the unaudited financial results. The review was conducted in accordance with Standard on Review Engagements (SRE) 2410. The report stated that based on their review, nothing had come to their attention that causes them to believe that the accompanying statement of unaudited financial results is not prepared in all material respects in accordance with the applicable accounting standards. An unmodified conclusion was expressed.

The reviewed results for the quarter ended September 30, 2026, were taken on record by the Board of Directors in their meeting on November 14, 2026. This information is also available on the company's website at www.smccredits.com.

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