Enclosed herewith Statement of impact of Audit qualification for the year ended 31/03/2026
Awaiting price reaction for this filing.
Nutricircle Limited has submitted a statement on the impact of an audit qualification received from its statutory auditor for the financial year ended 31 March 2026. The auditor issued a qualified opinion on the standalone financial results because the company could not provide balance confirmation or supporting evidence for an unsecured loan of Rs 50 lakhs given to a farmer, Mr. K. Veersham. The advance was originally paid in 2017-18 for cultivation of crops like Quinoa, Jowar and chick pea, which failed due to adverse weather, and the farmer has been unresponsive for years. The company itself admits recovery is unlikely. The audited and adjusted figures remain the same, with total income of Rs 1,776.61 lakhs, net profit of Rs 30.42 lakhs, total assets of Rs 822.78 lakhs, and net worth of Rs 692.25 lakhs. The financial numbers do not change whether or not the qualification is applied.
The qualified opinion highlights weak documentation and recovery controls on a small Rs 50 lakh advance, but does not change the reported financials. For shareholders, this is a governance and bookkeeping concern rather than a material financial red flag, though it may invite scrutiny from regulators.