ENCLSOED HEREWITH FINANCIAL RESULT FOR YEAR ENDED 31/03/2025
Awaiting price reaction for this filing.
Nutricircle Limited reported FY25 revenue from operations of about ₹270.48 lakhs, down from ₹283.65 lakhs in FY24 — a mild decline of roughly 4-5%. Total expenses jumped sharply to about ₹410.32 lakhs (vs ₹279.21 lakhs last year), pushing the company into a pre-tax loss of about ₹(128) lakhs and a profit-after-tax loss of about ₹(126) lakhs, compared to a profit of roughly ₹25 lakhs in FY24. The auditor, NSVR & Associates LLP, issued a qualified opinion because a ₹50 lakh unsecured loan from Mr. K. Veersham lacked balance confirmation or supporting documents, limiting verification. The company, however, separately filed a declaration claiming an 'unmodified opinion,' which contradicts the auditor's report. A preferential issue of ₹9.73 crore was raised in December 2024, with ₹5.70 crore used to convert promoter Hitesh Patel's loan into equity (no cash received for that portion). No defaults on loans or debt securities were reported.
Shareholders should note the swing from profit to loss and the qualified audit opinion — both negative signals. The mismatch between the company's 'unmodified' declaration and the auditor's qualified opinion is a governance red flag. While the promoter loan-to-equity conversion strengthens the balance sheet, it also shows heavy dependence on related-party support.