bm held on 29.5.2025 to approve audited financial results and financial statment for the year and quarter ended 31.3.2025
Awaiting price reaction for this filing.
Andhra Pradesh Tanneries Ltd's board approved audited financial results for FY25 on May 29, 2025. The company reported zero revenue from operations as its plant is currently not in operation and business operations have been completely ceased. The company posted a net loss of ₹27.29 lakhs for FY25 (similar to ₹27.13 lakhs loss in FY24), with total income of just ₹1.50 lakhs coming entirely from 'other income'. Total expenses stood at ₹28.79 lakhs. The balance sheet shows deeply negative net worth of ₹(1,284.83) lakhs against total assets of only ₹32.20 lakhs, with total borrowings of ₹1,288.64 lakhs. The auditor issued an unmodified opinion but included a separate 'Material Uncertainty Related to Going Concern' section, highlighting that the company's plant is not operational, business has ceased with no certainty of resumption, and the negative net worth raises significant doubt about the company's ability to continue as a going concern. Operating cash flow was negative at ₹(32.86) lakhs, with the company relying on fresh borrowings of ₹35.84 lakhs to sustain itself.
This is an extremely distressed situation for shareholders. The company has effectively ceased operations, has fully eroded and negative net worth, carries significant debt, and the auditor has flagged a going concern doubt. Shareholders face high risk of value erosion, and the stock may attract regulatory scrutiny from BSE for negative net worth, potentially leading to trading restrictions or delisting proceedings.