Financial Results (Standalone)

The company provided a comparative table showing audited figures before and after adjusting for auditors' qualifications (all amounts in ₹ lakhs):

  • Turnover/Total Income: ₹341.71 lakhs (no adjustment reported)
  • Total Expenditure: ₹341.71 lakhs (adjusted figure only)
  • Net Profit/(Loss) after Tax: ₹329.48 lakhs (before adjustment) and ₹329.48 lakhs (after adjustment) with a net profit of ₹8.76 lakhs
  • Earnings per Share: ₹0.01
  • Total Assets: ₹3,891.24 lakhs (no adjustment)
  • Total Liabilities: ₹126.28 lakhs (before adjustment only)
  • Net Worth: ₹126.28 lakhs (adjusted figure only) and ₹3,764.96 lakhs
  • No other financial items were reported as appropriate by management

Audit Qualifications and Impact

Qualification 1: Subsidiary Receivables

Details: Auditors identified that a long-term loan amounting to ₹16,65,40,533 (₹1,665.405 lakhs) and current account outstanding balance of ₹8,02,444 (₹8.02444 lakhs) as on 30th June 2026 are outstanding and receivable from KBS Capital Management Singapore Pte Ltd, an erstwhile subsidiary of the company. The company informed that this subsidiary has been closed down as on date. No provision has been made for these amounts in the financial statements.

Impact: This has resulted in an overstatement of profit and accumulated reserves & surplus for the period ended 30th June 2026.

Type: Qualified Opinion

Frequency: Repetitive

Management View: The observation made by the auditor is correct. The company's board of directors have considered this issue and are in the process of resolving the same as soon as possible.

Qualification 2: Employee Benefits

Details: Gratuity liability of employees has not been provided for as required by Ind AS 19 on "Employee Benefits."

Impact: The impact is not quantified in the absence of actuarial valuation/management estimate.

Type: Qualified Opinion

Frequency: Repetitive

Management View: The observation made by the auditor for employees' gratuity liability is correct. The company's board of directors have considered this issue and are in the process of resolving the same as soon as possible.