Outcome of Board meeting.
Awaiting price reaction for this filing.
Union Quality Plastics Ltd reported severely deteriorated financial performance for FY26 with total income of just Rs. 0.18 lakhs, down from Rs. 604 lakhs in FY25—a revenue decline of over 99%. The company posted a net loss of Rs. 3.20 lakhs compared to a profit of Rs. 375.49 lakhs in the prior year. The company's net worth has been fully eroded at negative Rs. 166.85 lakhs, and current liabilities exceed current assets. Statutory auditors Sagar & Associates issued a qualified opinion citing multiple concerns: Rs. 274.83 lakhs in doubtful receivables, Rs. 158.06 lakhs in non-moving inventory, Rs. 364.33 lakhs in unconfirmed creditor balances, Rs. 429.75 lakhs in questionable related-party advances to Ikon Associates, and missing bank statements. The auditors raised a going concern doubt citing accumulated losses and negative net worth. The board also appointed new secretarial and internal auditors.
This is an extremely negative development for shareholders. The company is essentially non-operational with near-zero revenue, negative net worth, and a going concern warning from auditors. The multiple qualified opinions and related-party transaction concerns suggest governance issues. The stock carries very high risk of continued losses or delisting.