We submit herewith the Financial statements along with the Independent audit report with an unmodified opinion for the year ended March 31, 2025 approved in its Board meeting 29 may, 2025
Awaiting price reaction for this filing.
Tirupati Fincorp reported FY25 total income of Rs. 11,069.58 lakhs (vs Rs. 473.51 lakhs prior year) but swung to a net loss of Rs. 82.37 lakhs from a profit of Rs. 31.40 lakhs; EPS was Rs. (1.63). The loans book ballooned to Rs. 18,637.80 lakhs (from Rs. 4,929 lakhs) and borrowings jumped to Rs. 19,573 lakhs. Crucially, the company's headline claims the auditor gave an 'unmodified opinion,' but the actual auditor's report is a DISCLAIMER of opinion — the auditor says they could not verify Rs. 7.20 crore of written-off corporate loans, Rs. 3.64 crore of reversed interest, and flagged 'serious gaps' in internal controls, with disbursements exceeding sanctioned amounts and loan agreements containing false information. The auditor also drew an Emphasis of Matter noting the company continues lending despite RBI cancelling its NBFC registration in April 2019, exposing it to regulatory non-compliance.
This is a serious red flag for shareholders. A disclaimer of opinion is worse than a qualified audit and means investors cannot rely on the reported numbers. The mismatch between the company's headline ('unmodified') and the actual report (disclaimer) raises governance concerns. Combined with the cancelled NBFC license, weak internal controls, and a swing to losses despite headline income growth, the stock is highly risky — small-cap, thinly traded, and exposed to RBI action.