BSESMT Engineering LtdHighNeutral
Announced Mon, 16 Jun · 17:02 IST

Financial Results (Standalone and Consolidated) for the quarter and year ended 31st March 2025

Negative Operating CashflowRelated Party TransactionsResults View source PDF

Price

Loading chart…

▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

SMT Engineering Limited (formerly Adarsh Mercantile) reported audited results for FY25 with the Board approving both standalone and consolidated figures. On a standalone basis, the company swung to a marginal profit before tax of Rs. 18.76 lakhs from a loss of Rs. 185.57 lakhs in FY24. Consolidated results were dramatically transformed by the acquisition of Sai Machine Tools Pvt Ltd (SMTPL) on March 26, 2025, with consolidated revenue from operations reaching Rs. 2,108.63 lakhs and consolidated PBT of Rs. 189.51 lakhs versus a loss of Rs. 185.57 lakhs last year. The company raised its authorised share capital from Rs. 4 crore to Rs. 17 crore and completed two preferential allotments: 94.64 lakh shares at Rs. 29 each (share swap to acquire 100% of SMTPL) and 33.81 lakh shares at Rs. 67 each for cash, raising Rs. 22.65 crore. The statutory auditor (NKSJ & Associates) issued an unqualified (unmodified) opinion on both sets of results. However, both standalone and consolidated cash flows from operations were deeply negative (Rs. -1,686.74 lakhs and Rs. -870.56 lakhs respectively).

Likely market impact

The company has undergone a major transformation via the SMTPL acquisition, shifting from a small trading business to one with manufacturing operations, but operating cash flows remain strongly negative and the standalone core business is still marginal. Shareholders should track whether the new subsidiary integration improves cash generation going forward.