Un-audited financial results for the quarter and half year ended on 30 September 2025
Awaiting price reaction for this filing.
Arcotech Ltd reported essentially zero revenue from operations for Q2 FY26 (quarter ended 30 Sep 2025), with only Rs 0.04 lakhs in other income. The company posted a loss of Rs 812.75 lakhs for the quarter and Rs 1,636.68 lakhs for the half year, broadly in line with the prior-year period. Total expenses of Rs 812.79 lakhs for the quarter were almost entirely made up of finance costs (Rs 558.17 lakhs) and depreciation (Rs 247.80 lakhs). The balance sheet shows deeply negative net worth of Rs (30,684.73) lakhs, short-term borrowings of Rs 53,503.71 lakhs, and just Rs 0.38 lakhs in cash. The auditor flagged that the company has under-provided interest expense by Rs 1,012.54 lakhs for the quarter and Rs 2,038.56 lakhs for the half year, meaning actual losses are significantly worse than reported. Note 3 confirms the company's business restructuring is under consideration by lenders, signaling serious going concern issues.
Shareholders should be deeply concerned: the company is not generating operating revenue, is reporting large losses, has a severely negative net worth, and its very survival depends on lender-led restructuring. The auditor's qualification on under-provisioned interest suggests the true financial position is even weaker than shown, and the stock is likely under severe stress.