Pursuant to Regulation 30 read with Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 ['SEBI (LODR) Regulations, 2015'], please be informed that ....
Awaiting price reaction for this filing.
SRM Energy's Board approved the unaudited financial results for Q1 FY26 (quarter ended June 30, 2025) on July 30, 2025. The company continues to have zero revenue from operations and zero total income. Standalone loss widened sharply to Rs 139.70 lakhs (vs Rs 8.70 lakhs in Q1 FY25), driven primarily by a one-time Rs 131 lakh impairment of its investment in wholly-owned subsidiary SRM Energy Tamilnadu Private Limited (SETPL). Consolidated loss was Rs 8.88 lakhs. EPS stood at negative Rs 1.54 (standalone) and negative Rs 0.10 (consolidated). The statutory auditor issued a 'Qualified Conclusion' on both results, citing material uncertainty about the company's ability to continue as a going concern given fully eroded net worth, accumulated losses, and current liabilities exceeding current assets. Employee salaries of Rs 13.98 lakhs remain unpaid. The subsidiary has a pending SEBI attachment order of Rs 4,326.56 lakhs and an ongoing NCLT insolvency matter.
This is a deeply negative filing for shareholders — the auditor has flagged a going concern uncertainty, net worth is fully eroded, and the company is essentially non-operational with no revenue. The proposed sale of the subsidiary investment to the parent (Spice Energy Private Limited) at just Rs 1 lakh vs original value of Rs 132 lakhs signals distress. Stock price likely to remain under pressure and the stock risks classification as a stressed entity.