Board Meeting Outcomes

The Board of Directors, at their meeting held from 4:00 PM to 5:30 PM IST on August 13, 2026, considered and approved the following items:

  • The Unaudited Financial Results (Standalone and Consolidated) for the quarter ended June 30, 2026, and took on record the Limited Review Reports issued by the statutory auditors.
  • The appointment of M/s Dinesh Jain & Co., Chartered Accountants, as the Internal Auditors of the Company for the financial year ending March 31, 2027.
  • The appointment of Mr. Shailendra Roy as the Interim Chief Financial Officer of the Company, designating him as a Key Managerial Personnel with effect from August 14, 2026.

Detailed Financial Results (Standalone)

(All figures in ₹ lakhs, unless specified)

Quarter Ended June 30, 2026 (Q1 FY27)

  • Interest Income: 1,065.62
  • Fees & Commission Income: 60.76
  • Net Gain on Fair Value Changes: 0.12
  • Total Revenue from Operations: 1,126.50
  • Other Income: 91.62
  • Total Income: 1,218.12
  • Finance Costs: 456.59
  • Fees & Commission Expense: 34.21
  • Impairment on Financial Instruments: 664.29
  • Employee Benefits Expenses: 694.27
  • Depreciation, Amortization, Impairment: 142.59
  • Other Expenses: 611.40
  • Total Expenses: 2,603.35
  • Loss Before Tax: (1,385.23)
  • Tax Expense (Deferred Tax): (345.58)
  • Net Loss After Tax: (1,039.65)
  • Other Comprehensive Income (Loss): (12.35)
  • Total Comprehensive Income (Loss): (1,052.00)
  • Paid-up Equity Share Capital (Face Value ₹2/share): 2,377.24
  • Other Equity: 1,941.68
  • Earnings Per Share (Basic & Diluted): (₹0.87)

Comparative Figures (Quarter Ended)

  • March 31, 2026 (Q4 FY26): Net Loss: (1,771.28); EPS: (₹2.23)
  • June 30, 2025 (Q1 FY26): Net Loss: (886.97); EPS: (₹0.76)

Year Ended March 31, 2026 (FY26)

  • Net Loss: (11,042.33); EPS: (₹9.29)

Key Financial Ratios (Standalone)

  • Debt-Equity Ratio: 7.67 (vs 6.29 as of Mar'26)
  • Net Worth: ₹4,318.93 lakhs (vs ₹5,328.48 lakhs as of Mar'26)
  • Net Profit Margin: -85.4% (vs -116.9% in Q4 FY26)
  • Gross NPA %: 49.90% (vs 25.24% as of Mar'26)
  • Net NPA %: 31.50% (vs 15.63% as of Mar'26)
  • Overall Provision Coverage Ratio: 37.00% (vs 38.05% as of Mar'26)
  • Total Debts to Total Assets: 0.84

Material Uncertainty Related to Going Concern

The statutory auditor's limited review report draws attention to a material uncertainty regarding the company's ability to continue as a going concern. This is due to:

  • A breach of security cover and other loan covenants from the quarter ended December 31, 2025.
  • Continued financial stress and deteriorating asset quality, driven by lower business growth and resource limitations.
  • The company's account with various lenders has been classified as a non-performing asset (NPA) due to defaults.
  • The going concern is dependent on the successful implementation of a restructuring plan presented to existing lenders and potential equity infusion.

Debt Restructuring Update

A joint meeting with lenders was held on July 6, 2026, to discuss a proposed restructuring plan. As of the results approval date:

  • 60% of lenders by value have expressed support for the plan.
  • 26% of lenders are yet to revert.
  • Consequently, the company has recognized interest based on lender agreements but has not recognized any penal interest. Penal interest of ₹287.11 lakhs recognized in earlier periods was reversed in Q1 FY27 in anticipation of a waiver under the restructuring plan.

Security Cover Certificate

The statutory auditors certified that the asset cover available for the company's secured Non-Convertible Debentures (NCDs) listed on BSE was inadequate as of June 30, 2026, against the minimum requirement stipulated in the Debenture Trust Deed. The principal amount of NCDs outstanding was ₹14,001.32 lakhs.

Consolidated Results Summary

(All figures in ₹ lakhs)

Quarter Ended June 30, 2026 (Q1 FY27)

  • Total Income: 1,221.58
  • Total Expenses: 2,625.20
  • Loss Before Tax: (1,403.62)
  • Net Loss After Tax: (1,058.04)
  • Total Comprehensive Income (Loss): (1,070.39)
  • Earnings Per Share (Basic & Diluted): (₹0.89)

The consolidation includes the subsidiary, DFL Technologies Private Limited, which reported a net loss of ₹18.38 lakhs for the quarter.

Segment Information

For Q1 FY27, the Fund Based Activities segment reported a revenue of ₹1,221.58 lakhs and a loss before tax of ₹(1,355.61) lakhs. The Advisory Services segment reported a loss before tax of ₹(30.98) lakhs.

New Appointments

  • Internal Auditor: M/s Dinesh Jain & Co., Chartered Accountants, appointed for FY27. The firm has over five decades of experience, specializing in audit, assurance, and services for the BFSI sector.
  • Interim CFO: Mr. Shailendra Roy appointed effective August 14, 2026. He is a semi-qualified Chartered Accountant with approximately 15 years of experience, including over 5 years in the listed NBFC sector. He has been with TruCap Finance since 2021 as Deputy General Manager – Finance.

Regulatory Compliance Disclosures

The company confirmed that disclosures under Regulations 32, 52(7), and 52(7A) regarding fund utilization were not applicable for the quarter, as it did not raise any new funds and had no pending utilization from previous issuances. Disclosures for additional line items (Reg. 52(4)) and the NCD security certificate (Reg. 54(3)) were provided as annexures.