Board Meeting Outcomes

The Board of Directors meeting was held at the company's registered office in Murbad on August 14, 2026, from 4:00 PM to 4:45 PM. The following items were approved:

1. The IND-AS compliant standalone unaudited Financial Results for the quarter ended June 30, 2026, along with the Limited Review Report.

2. The re-appointment of M/s. Abhishek Wagh & Associates, Practicing Company Secretaries, as the Secretarial Auditors for the Financial Year 2025-26 and Financial Year 2026-27.

3. The re-appointment of Ms. Jigisha Jain, Chartered Accountant, as the Internal Auditor for the Financial Year 2026-27.

Financial Results Summary (Quarter ended June 30, 2026)

All figures are in ₹ lakhs.

Profit & Loss Statement:

  • Revenue from Operations: ₹870.71
  • Other Income: ₹0.00
  • Total Income: ₹870.71
  • Total Expenses: ₹881.49
  • Cost of materials consumed: ₹720.29
  • Changes in inventories: ₹-96.19
  • Employee benefits expense: ₹36.24
  • Finance Costs: ₹26.56
  • Depreciation and amortization: ₹13.89
  • Other expenses: ₹130.74
  • Profit before Tax: ₹-10.78
  • Tax Expense: ₹0.00
  • Profit/(Loss) for the period: ₹-10.78
  • Earnings Per Share (Basic & Diluted): ₹-0.03

Comparative Figures:

  • Profit for the previous quarter (Mar-31-2026): ₹186.67 lakh
  • Profit for the same quarter last year (Jun-30-2025): ₹39.02 lakh

Key Notes to the Financial Results

1. The results were reviewed by the audit committee and approved by the board on August 14, 2026.

2. Deferred Tax Assets/Liabilities have not been recognized due to the absence of reliable estimates of sufficient future taxable income.

3. The company has not provided for taxation due to tax planning that significantly reduces its tax liability for the near future. The auditors note this has resulted in a non-recognition of a tax expense of ₹9.83 lakh for the quarter.

4. The company operates in a single segment: polymer-based multiple products.

5. GST is not included in Revenue from Operations.

6. The difference between the contractual interest rate (11% p.a.) and the Effective Interest Rate (11.009% p.a.) on borrowings is considered immaterial.

7. EPS is not annualized.

8. There were no investor complaints as of June 30, 2026.

9. The company is evaluating the potential impact of newly implemented national labour codes and will account for any effects in the half-year ended September 30, 2026.

Limited Review Report Highlights

The statutory auditor, Jain Jagawat Kamdar & Co., issued a limited review report with several key qualifications:

1. Loan Default: The company has defaulted on the repayment of a term loan installment. The overdue principal is ₹40.89 lakh, and overdue interest is ₹1.92 lakh.

2. Going Concern: The auditors draw attention to the fact that the quarterly results were prepared on a going concern basis despite the loan default and the complete erosion of the company's net worth (accumulated losses exceeding share capital and reserves).

3. Tax Expense Non-Recognition: The auditors state that a tax expense of ₹9.83 lakh should have been recognized for the quarter, which overstates profit and understates current tax liabilities by that amount.

4. Employee Benefits: In the absence of an actuarial valuation for employee benefits under the new labour codes, the auditors were unable to obtain sufficient evidence to assess whether adjustments were needed.

Appointments

  • Secretarial Auditor: M/s. Abhishek Wagh & Associates was re-appointed for FY 2025-26 and FY 2026-27. Their office is at 209, Second Floor, Near National Storage Building, Indian Oil Petroleum, Mahim West, Mumbai-400016.
  • Internal Auditor: Ms. Jigisha Jain, a Chartered Accountant with over 15 years of experience, was re-appointed for FY 2026-27.