Outcome of the Board meeting held on 29.01.2026.
Awaiting price reaction for this filing.
The Board approved unaudited financial results for Q3 FY26 (quarter ended Dec 31, 2025) on January 29, 2026. Revenue from operations for the quarter fell to ₹208.39 Lakhs from ₹241.18 Lakhs in the same quarter last year, while 9-month revenue dropped to ₹516.79 Lakhs from ₹742.79 Lakhs, a roughly 30% decline. The company reported a total profit of ₹265.09 Lakhs for Q3 (vs a loss of ₹126.97 Lakhs a year ago), but this was largely driven by a ₹151.16 Lakhs profit from discontinued operations, including a gain on sale of spinning division assets. The company noted accumulated losses of ₹2,421.98 Lakhs and current liabilities exceeding current assets, preparing accounts on a going concern basis supported by property values. Reserves remain deeply negative at ₹(1,481.65) Lakhs.
Shareholders should note serious going concern risks: accumulated losses exceed ₹24 crore, reserves are deeply negative, and the spinning division was discontinued in Nov 2023 due to sustained cash losses. The auditor flagged an emphasis of matter on ₹49.82 Lakhs of referral commission and ₹10.18 Lakhs of interest recognized without agreements, meaning the headline profit is overstated. The recent swing to profit is driven by one-time asset sales rather than operating performance, and the stock may remain under pressure.