Company Disclosure

SRM Energy Limited (Scrip Code: 523222) submitted its un-audited standalone financial results for the quarter ended June 30, 2026 to the Bombay Stock Exchange on August 5, 2026, in compliance with SEBI Listing Regulations Regulation 33.

Financial Results Overview (Quarter Ended June 30, 2026)

Income:

  • Other Income: ₹357.40 lakhs (compared to ₹223.35 lakhs in previous quarter and nil in same quarter previous year)
  • Total Income: ₹357.40 lakhs

Expenses:

  • Employee Benefits Expense: ₹0.40 lakhs
  • Other Expenses: ₹6.46 lakhs
  • Total Expenses: ₹6.86 lakhs

Profitability:

  • Profit Before Tax: ₹350.54 lakhs (compared to loss of ₹139.70 lakhs in same quarter previous year)
  • Tax Expense: Nil
  • Profit for the Period: ₹350.54 lakhs
  • Total Comprehensive Income: ₹350.54 lakhs

Capital Structure:

  • Paid-up Equity Share Capital: ₹906.00 lakhs (face value ₹10 per share)
  • Other Equity: Negative ₹1,284.66 lakhs as of March 31, 2026

Auditor's Review and Qualifications

Rajat Associates, Chartered Accountants (Firm Registration No: 001885C), issued a limited review report with a qualified opinion dated August 5, 2026, signed by Partner CA. Shivanand Chaudhary (Membership No: 522827).

Basis for Qualified Opinion:

The auditors highlighted that the company has no active business operations and has been incurring continuous cash losses. Accumulated losses have completely eroded the company's net worth, and current liabilities exceed current assets as of June 30, 2026. This creates material uncertainty regarding the company's ability to continue as a going concern.

Emphasis of Matter:

The auditors noted that during the quarter, the company wrote back an outstanding loan liability of ₹357.40 lakhs due to cessation/extinguishment of obligation pursuant to an arrangement between erstwhile management and present management. This amount was recognized as 'Other Income' in accordance with Ind AS provisions.

Company Notes and Disclosures

Note 3 - Going Concern: The company has no active business operations and continues to incur cash losses. Accumulated losses have fully eroded net worth, and current liabilities exceed current assets. The company's ability to meet statutory obligations depends on financial support from management or entities under common control. Based on assurance of such support, management prepared financial statements on a going concern basis.

Note 4 - Loan Liability Write-back: During the quarter, an outstanding loan liability of ₹357.40 lakhs was written back due to cessation/extinguishment of obligation under arrangement between erstwhile and present management. This was recognized as 'Other Income'.

Note 5 - Business Segment: The company operates in a single primary business segment - "generation of power" - making Ind AS 108 disclosure requirements inapplicable.

Approval and Compliance:

  • Results reviewed by Audit Committee and approved by Board of Directors on August 5, 2026
  • Prepared in accordance with Indian Accounting Standards (Ind AS)
  • Previous period figures have been regrouped/rearranged for comparability

Management Signatory: Umesh Narpatchand Sanghvi, Managing Director (DIN: 00467579), signed the financial results on August 5, 2026.