AJR INFRA AND TOLLING LIMITED has informed the Exchange regarding 'Outcome of Board Meeting'.
Awaiting price reaction for this filing.
AJR Infra and Tolling reported Q1 FY26 (quarter ended June 30, 2025) consolidated profit of Rs. 1,10,256 lacs, swinging from a loss of Rs. 5,586 lacs in Q1 FY25. The entire profit came from a one-time exceptional gain of Rs. 1,11,098 lacs tied to a debt-settlement in its Sidhi Singrauli Road Project (SSRPL), where MORTH/MPRDC paid Rs. 27,500 lacs directly to lenders. Underlying operations remain loss-making, with basic EPS before exceptional items at Rs. (0.09). Revenue from operations was Rs. 1,506.51 lacs. The balance sheet is severely stressed: Other Equity is deeply negative at Rs. (2,15,481) lacs and current liabilities exceed current assets by Rs. 98,023 lacs. The auditor issued a qualified conclusion because share of profit from a material associate (Vizag Seaport) was based on un-reviewed financials, and flagged material uncertainty around the going concern assumption.
The headline profit is misleading – it is entirely a one-time accounting gain from a debt settlement, not operational improvement. The core business is still loss-making and the company faces a going-concern risk with negative net worth, multiple stressed SPVs, and pending litigations including a Supreme Court appeal. Shareholders should expect continued operational weakness and high stock-price volatility.