As per letter attached
Awaiting price reaction for this filing.
Simplex Mills Company reported unaudited financial results for Q1 FY26 (ended 30 June 2025). Revenue from operations collapsed to just Rs. 3.89 lakhs from Rs. 15.90 lakhs in the same quarter last year, a steep decline of roughly 75%. Other income also fell sharply to Rs. 15.63 lakhs from Rs. 62.66 lakhs. The company posted a net loss of Rs. 2.01 lakhs for the quarter versus a loss of Rs. 0.89 lakhs a year ago, with loss per share at Rs. 6.71. Paid-up equity capital stands at Rs. 300.04 lakhs, while other equity is deeply negative at Rs. (647.87) lakhs as of 31 March 2025. The statutory auditors (Khandelwal & Mehta LLP) flagged an Emphasis of Matter noting that accumulated losses have fully eroded the company's net worth, casting doubt on its ability to continue as a going concern, though management has prepared accounts on a going-concern basis.
This is a clearly negative filing for shareholders — revenue is in steep freefall, the company is loss-making, net worth is fully wiped out, and the auditor has explicitly raised a going-concern uncertainty. Expect negative sentiment on the stock, with heightened risk of further deterioration or restructuring.