AGM Details

The 40th Annual General Meeting was held on Wednesday, September 30, 2026 at 11:30 AM IST through Video Conferencing/Other Audio Visual Means (VC/OAVM). Remote e-voting commenced on Sunday, September 27, 2026 at 09:00 AM and ended on Tuesday, September 29, 2026 at 05:00 PM. The cut-off date for determining members eligible for voting was September 23, 2026.

Business Transacted

Ordinary Business:

1. Adoption of audited financial statements for FY 2025-26

2. Re-appointment of Mr. Nuthakki Rajender Prasad (DIN: 00145659) who retires by rotation

Special Business:

3. Change in designation of Mr. Nuthakki Rajender Prasad from Joint Managing Director & CFO to Managing Director and CFO effective November 12, 2025 for the remaining tenure until August 09, 2028

Financial Performance Highlights

FY 2025-26 Results:

  • Net Sales/Income from Operations: ₹335.55 lakhs (compared to ₹1,243.49 lakhs in FY 2024-25)
  • Other Income: ₹63.52 lakhs
  • Total Expenses: ₹375.21 lakhs
  • Net Profit before Tax: ₹23.86 lakhs
  • Net Profit after Tax: ₹12.64 lakhs (compared to ₹319.77 lakhs in FY 2024-25)
  • No dividend declared
  • No amount transferred to reserves

Operational Review

The company recorded significant decline in revenue from ₹1,243.49 lakhs to ₹335.55 lakhs and profits reduced from ₹319.77 lakhs to ₹12.64 lakhs due to problems at customers' end affecting operations. The company focuses on high value-added orders with smaller customer base, making it vulnerable to customer-specific issues.

Capital Structure

  • Authorized Share Capital: ₹5 crore (40 lakh equity shares of ₹10 each + 10 lakh preference shares of ₹10 each)
  • Paid-up Share Capital: ₹3 crore (30 lakh equity shares of ₹10 each)
  • No shares issued during the year

Management Changes

  • Mr. Nuthakki Ravi Prasad resigned as Managing Director and CEO effective October 23, 2025
  • Mr. Nuthakki Rajender Prasad was re-designated from Joint Managing Director & CFO to Managing Director and CFO effective November 12, 2025

Corporate Governance

  • Board Meetings: 4 meetings held during the year
  • Audit Committee: 4 meetings held with 100% attendance
  • Stakeholders Relationship Committee: 11 meetings held
  • Nomination and Remuneration Committee: 3 meetings held

Key Financial Ratios

  • Current Ratio: 2.38 (2.55 in previous year)
  • Debt Equity Ratio: 0.36 (0.25 in previous year)
  • Operating Profit Margin: 18.42% (35.54% in previous year)
  • Net Profit Margin: 3.77% (25.72% in previous year)
  • Return on Net Worth: 0.97% (24.75% in previous year)

Borrowings

  • Secured Loan from Union Bank of India: ₹460.59 lakhs
  • Unsecured Inter-corporate deposits: ₹6.24 lakhs (from Southern Electrodes Limited, interest-free)

Auditors

  • Statutory Auditors: M/s. Brahmayya & Co., Chartered Accountants (no qualifications)
  • Secretarial Auditors: M/s. D. Hanumanta Raju & Co., Company Secretaries (one observation regarding non-dematerialization of promoter shares)

Compliance Issues

The secretarial audit report noted that 100% of promoter and promoter group shareholding is not held in dematerialized form as required under Regulation 31(2) of SEBI LODR Regulations, 2015.

Employee Strength

34 permanent employees on rolls as of March 31, 2026