Audited Financial Results of the Company (For Quarter and Finanical year ended on March 31, 2025 along with Audit Reports thereon are annexed herewith. (Integrated Filings - Financials)
Awaiting price reaction for this filing.
SRM Energy filed its audited standalone and consolidated results for FY25, both carrying a Qualified Opinion from auditors Saini Pati Shah & Co LLP. The company reported zero revenue from operations, with total income of just Rs 0.02 lakhs for the year, and a standalone net loss of Rs 38.24 lakhs (consolidated loss Rs 38.54 lakhs). Auditors flagged a material going concern uncertainty as the company has no business operations, continuous cash losses, fully eroded net worth (standalone negative Rs 410.23 lakhs, consolidated negative Rs 4,646 lakhs), and current liabilities exceeding current assets. The auditor also highlighted that a Rs 132 lakh investment in the wholly owned subsidiary SETPL likely needs impairment, and noted emphasis of matter on fraudulent activities being conducted in the company's name via unauthorized channels. Net operating cash flow was negative at Rs 18.13 lakhs standalone and Rs 15.04 lakhs consolidated, with cash balance of just Rs 0.04 lakhs (standalone) at year-end. Unpaid employee salaries drove a Rs 17–18 lakh increase in other current liabilities.
This is a deeply distressed company — shareholders face a fully eroded net worth, no operating business, negative cash, and a qualified audit opinion with going concern doubts. The subsidiary SETPL is battling a massive Rs 4,326.56 lakh SEBI attachment order (related to a loan from a related party, Mr. Gagan Rastogi) and is currently in IBC proceedings at NCLAT (next hearing May 27, 2025), creating extreme downside risk. Investors should treat this as a high-risk, possibly value-trap situation until going concern is resolved.