Outcome of Board Meeting held on May 30, 2025
Awaiting price reaction for this filing.
The Board approved audited standalone and consolidated financial results for Q4 and full year ended March 31, 2025. Statutory auditor Ashwani & Associates issued an unmodified (clean) opinion on both sets of results. On a standalone basis, revenue from operations for FY25 stood at around Rs. 3,95,608 lakhs, with profit after tax of approximately Rs. 12,579 lakhs versus a loss of about Rs. 5,273 lakhs in FY24 (which included an exceptional prior period expense of Rs. 5,266.66 lakhs). FY24 comparatives have been restated following a common control acquisition of 100% stake in Kundan Concentrates Private Limited from related party Kundan Refinery Private Limited, effective October 4, 2023. The company also acquired a 49% stake in Kundan Gold Mines Private Limited and incorporated a new foreign subsidiary, Kundan Venture FZCO, in Dubai. The auditor highlighted reliance on other auditors for the subsidiary's financials (assets of Rs. 15,390.83 lakhs and revenues of Rs. 32,135.38 lakhs).
This is a clear turnaround story for shareholders: revenue has more than doubled and the company swung from a loss to a sizeable profit, accompanied by a clean audit opinion, which should support positive sentiment. However, the YoY comparison is distorted by FY24 restatement and the common control acquisition, and current borrowings rose sharply (from Rs. 689 lakhs to Rs. 9,060 lakhs consolidated), warranting a closer look at leverage and cash flows despite positive operating cash flow of ~Rs. 4,497 lakhs.