Bkm Industries Limited has submitted to the Exchange, the financial results for the period ended Jun 30, 2023.
Awaiting price reaction for this filing.
BKM Industries (formerly Manaksia Industries) filed its Q1FY24 results nearly three years late, citing the company being under Corporate Insolvency Resolution Process (CIRP) under the IBC, during which a Resolution Professional controlled management. The NCLT has since approved a Resolution Plan and granted immunity for past non-compliances. For the quarter ended June 30, 2023, the company reported zero revenue from operations, just Rs 3 lakhs of other income, and a net loss of Rs 26 lakhs, with EPS of Rs (0.04). Manufacturing activities were completely non-operational during the quarter. The balance sheet shows total assets of Rs 17,873 lakhs against equity of only Rs 1,177 lakhs, with current borrowings of Rs 12,411 lakhs.
This filing reveals a financially distressed company with no operational revenue, negative cash flows, and an extremely high debt-to-equity ratio of over 11x, all in the context of a completed insolvency resolution. Shareholders should be cautious — while CIRP approval may allow the company to regularize past compliance, the underlying business remains non-operational and heavily indebted, posing significant going concern risk.