Standalone and Consolidated Financial Results of the company along with the Auditor''s Unmodified Opinion Report for the quarter and year ended on March 31, 2025
Awaiting price reaction for this filing.
Konark Synthetic reported FY25 standalone revenue of ₹4,673.56 lakhs, up about 7% from ₹4,360.44 lakhs in FY24, but swung to a standalone loss of ₹308.28 lakhs versus a profit of ₹12.78 lakhs last year. Consolidated loss was deeper at ₹341.45 lakhs, with diluted EPS of ₹(6.88). The loss includes a ₹203.51 lakh exceptional charge on transfer of an associate company and finance costs of ₹293 lakhs. The auditor gave an unmodified opinion but flagged an Emphasis of Matter covering ₹626+ lakhs of doubtful trade receivables with no or inadequate provisioning, and corporate guarantees of ₹2,706 lakhs for subsidiary India Denim (under NCLT insolvency process) plus ₹4,600 lakhs for another associate—liabilities the auditor explicitly notes are much higher than the company's net worth.
Negative for shareholders: the company has slipped into a sizeable loss, its standalone net worth has turned negative (other equity at ₹(578.78) lakhs), and contingent liabilities from guarantees far exceed its equity base, raising serious going-concern and solvency concerns despite an unmodified audit opinion.