Southern Infoconsultants FY26 Net Loss of ₹15.33 Lakhs

| Particular | FY 2025-26 | FY 2024-25 | Change |

| Revenue from Operations | 1,071.27 | 1,304.97 | (17.88%) |

| Other Income | 20.46 | 28.59 | (28.44%) |

| Total Revenue | 1,091.73 | 1,333.56 | (18.13%) |

| EBITDA | 1,091.73 | 1,333.56 | (18.13%) |

| Depreciation & Amortization | 13.41 | 11.83 | 13.36% |

| Finance Cost | 0.20 | 0.03 | 566.67% |

| Profit Before Tax (PBT) | (11.99) | 45.61 | (126.29%) |

| Tax Expense & Adjustments | 3.34 | 18.55* | (82.00%) |

| *Breakdown: Current Tax | 0.00 | 12.21 | (100.00%) |

| *Deferred Tax | 3.34 | 1.14 | 192.98% |

| *Earlier Year Tax Adjustment | 0.00 | 5.20 | (100.00%) |

| Profit After Tax (PAT) | (15.33) | 27.06 | (156.65%) |

| Earnings Per Share (EPS) - Basic & Diluted (₹) | (0.31) | 0.54 | (157.41%) |

*Total Tax Expense for FY25 includes Current Tax, Deferred Tax, and an Earlier Year Adjustment.

| Particular | FY 2025-26 | FY 2024-25 |

| Profit After Tax (PAT) | (12.34) | 26.46 |

| Share of Profit from Associate (Disha Capital Services Ltd.) | 2.99 | (0.60) |

| Consolidated EPS - Basic & Diluted (₹) | (0.25) | 0.53 |

The company is engaged in providing IT hardware/software and IT support services.
Total revenue decreased to ₹1,091.73 lakhs from ₹1,333.56 lakhs in the previous year.
The company attributes the loss to decreased revenue performance.
The entire profit is retained for operations and working capital needs; no dividend is recommended for FY26.
The Board is working on improving operations and expanding through both organic and inorganic modes.
The company has a vision to become a prominent name in the software industry and is in the process of launching an ambitious online informative and e-commerce portal.

Paid-up equity share capital remains unchanged at ₹502.00 lakhs (50,20,000 equity shares of ₹10 each).
Shares are listed on BSE Limited (BSE Code: 540174). Listing fees for FY 2026-27 have been paid.

Hon'ble High Court of Delhi, vide order dated 27.05.2024 in the case of Infosys Vs Southern Infosys Limited [CS(COMM) 257/2024 & I.A. 6821/2024], directed the company to remove the word 'Infosys' from its name.
Pursuant to the order, the company changed its name from 'Southern Infosys Limited' to 'Southern Infoconsultants Limited' via special resolution dated 22.04.2025, approved vide Certificate of Incorporation dated 02.05.2025.
A further Hon'ble High Court order dated 01st August, 2025 directed that the company shall not use or display its former name in any manner and shall only use its new corporate name.

Income Tax Demand: ₹323.72 Lakhs for AY 2019-20 & AY 2020-21.
GST Demand: ₹1,438.18 Lakhs for the period July 2017 - March 2018.
GST Demand: ₹28.91 Lakhs for the period July 2017 - March 2018.
The company has deposited ₹20.49 lakhs with the GST Department for filing an appeal against the GST demands.
The auditors have included this as a contingent liability disclosure (Note 32 of financial statements).

Board as of 31.03.2026: Mrs. Shivani Sharma (DIN:11276857), Mrs. Deepali Sharma (DIN:05133382), Mr. Siddharth Sharma (Whole Time Director, DIN:07401382), Mrs. Anju Uppal (Independent Director, DIN:11252681), Mrs. Vijaya Raje (Independent Director, DIN:06934317).
Chief Financial Officer (CFO): Ms. Deepika.
Company Secretary & Compliance Officer: Mrs. Kriti Bareja (Membership No. A51320).
Mr. Rakesh Mohan Sharma (Director) passed away on 05-May-2025.
Mrs. Deepali Sharma retires by rotation and is seeking re-appointment at the AGM.

Standalone & Consolidated Auditor: M/s Mukesh Agrawal & Co., Chartered Accountants (Firm Reg. No. 011393N). They were appointed for a 5-year term concluding at the 36th AGM.
Audit Report Type: Qualified Opinion.
Basis for Qualification: 1. The company has not made any provision for gratuity as required by Ind AS 19. The financial implication is unascertained. 2. Trade receivables/payables are subject to confirmation. 3. Lack of supporting documents for Work-in-Progress (Inventory) recognition of ₹1,438.12 lakhs as of 31.03.2025 and its subsequent charge to P&L.
Emphasis of Matter: Highlights the above issues without qualifying the opinion on these specific points.

M/s. Nitin Bhatia & Co., Company Secretaries.
The Secretarial Audit Report for FY26 does not contain any qualification, reservation, or adverse remark.
The Board has recommended their appointment for a fixed term of five years (FY 2025-26 to 2029-30), subject to shareholder approval.

The auditor's report states that the company has adequate IFC over financial reporting and that such controls were operating effectively as of March 31, 2026.

The 32nd AGM will be held on Saturday, 26th September 2026 at 12:30 PM through Video Conferencing (VC) / Other Audio Visual Means (OAVM).
Business: 1) Adoption of audited standalone and consolidated financial statements. 2) Re-appointment of Mrs. Deepali Sharma as a director retiring by rotation.
The Register of Members & Share Transfer Books will be closed from September 18, 2026, to September 26, 2026.
Remote e-voting period: September 23, 2026 (9:00 AM) to September 25, 2026 (5:00 PM).

Transactions with related parties were at arm's length and in the ordinary course of business.
Key Transactions: Consultancy Fee and Advance of ₹15.00 Lakhs (Previous Year: ₹21.75 Lakhs) paid to enterprises where KMP has significant influence. Salary of ₹11.40 Lakhs (PY: ₹11.49 Lakhs) paid to Key Managerial Personnel.
Outstanding Balances: Security Deposit receivable from Disha Investment Centre Pvt Ltd. ₹105.75 Lakhs. Investment in Associate (Disha Capital Services Ltd.) at cost ₹131.39 Lakhs (44.54% holding).

MSME Dues: Total outstanding dues to Micro and Small Enterprises were ₹0.05 Lakhs as of 31.03.2026 (PY: ₹Nil).
Corporate Social Responsibility (CSR): Provisions of Section 135 of the Companies Act, 2013 are not applicable.
Deposits: The company has not accepted any deposits from the public.
Loans/Investments: Particulars of loans, guarantees, investments, and securities provided are detailed in the financial statements. The company has not given any new loans or guarantees. An existing loan to Mr. Sunil Kumar of ₹7.79 Lakhs (as of 31.03.2025) was fully recovered on 1st July 2025.
Risk Management: The company has a Risk Management Policy and a framework for informing the Board about risk assessment.
Vigil Mechanism/Whistle Blower Policy: The company has a policy in place, and no complaints were received during the year.
Sexual Harassment Policy: The company has a policy in place, and no complaints were received during the year.
Conservation of Energy: Measures taken include optimizing lighting and installing energy savers.

The Management Discussion & Analysis states the company is exploring opportunities in the growing software and e-commerce industries and expects to launch its e-commerce site shortly.
The company acknowledges the rapid innovation in technology as a threat and states the Board takes steps to advance with the time.

#Tags: #SouthernInfoconsultants #AnnualReport #SEBIDisclosure #RegulatoryCompliance #FinancialResults #NetLoss #CourtOrder #AGM #Negative