Audited financial result for the quarter and financial year ended 31.03.2025
Awaiting price reaction for this filing.
The Board of Simplex Mills Company Ltd approved audited financial results for the quarter and year ended 31 March 2025. The auditor (Khandelwal & Mehta LLP) issued an unmodified opinion but flagged an Emphasis of Matter, noting that the company has fully eroded net worth of negative Rs 3.47 crore, raising a material uncertainty about going concern. The company reported a loss before tax of Rs 3.17 lakh for FY25, narrower than Rs 14.09 lakh loss in FY24. Cash flow from operations was negative at Rs 23.51 lakh, while borrowings rose to Rs 275.21 lakh from Rs 252.34 lakh. The company also voluntarily appointed M/s. Taher Sapatwala & Associates as Secretarial Auditor for five years, even though it falls below SEBI's mandatory thresholds (paid-up equity of about Rs 30 lakh and negative net worth). The 27th AGM is scheduled for 5 August 2025.
Negative net worth and a flagged going concern uncertainty mean the company is financially distressed despite a smaller loss this year; shareholders should view this as a high-risk, effectively dormant micro-cap with no clear path to profitability visible in these results.