Outcome of Board Meeting held today i.e., May 26, 2025
Awaiting price reaction for this filing.
The board approved the standalone audited financial results for Q4 and FY ended March 31, 2025, which show a sharp revenue decline from Rs. 557.76 lakhs to Rs. 97.12 lakhs year-on-year. The company slipped into a net loss of Rs. 44.52 lakhs compared to a small profit of Rs. 1.87 lakhs in the previous year. Reserves remained deeply negative at Rs. (7,254.24) lakhs, giving the company a negative net worth of about Rs. 125.45 lakhs. Cash flow from operations was sharply negative at Rs. (398.53) lakhs. The statutory auditor (S K Bhavsar & Co) issued an unmodified opinion but included two Emphasis of Matter paragraphs flagging uncertainties around trade receivables, trade payables, inventory verification (relied on management), and the valuation of investments. The board also appointed M/s Dharti Patel & Associates as Secretarial Auditor for 5 years and M/s Kishan Patel and Associates as Internal Auditor for FY26.
Negative for shareholders - the company swung to a loss, revenue collapsed, reserves are deeply negative, and operating cash burn is heavy. The auditor's Emphasis of Matter on receivables, payables, investments, and unverifiable inventory adds to concerns about the reliability of reported numbers.