Amarnath Securities reports net loss of ₹520.91 lakh in FY26

1 min read Updated on 30 May 2026, 02:20 AM

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Shriram SScanX News Team

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Amarnath Securities Limited reported a net loss of ₹520.91 lakh for FY26, a reversal from the previous year's profit, primarily due to a significant loss on the derecognition of financial assets. The company's net worth turned negative, and auditors flagged missing RBI compliance records and a vacant Company Secretary role in a qualified opinion.

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Amarnath Securities Limited reported a net loss of ₹520.91 lakh for the financial year ended March 31, 2026, a sharp decline from the net profit of ₹19.27 lakh recorded in the previous year. The company’s total income for the year fell to ₹81.01 lakh from ₹38.93 lakh in FY25, while total expenses rose significantly to ₹601.92 lakh. The primary driver of the increased expenditure was a loss on the derecognition of financial assets amounting to ₹539.52 lakh.

The Board of Directors approved the audited financial results for the quarter and year ended March 31, 2026, in a meeting held on May 29, 2026. The filing was made pursuant to Regulation 29 and 30 of the SEBI (Listing Obligation and Disclosure Requirement) Regulations, 2015. The company operates solely in the Finance and Investment segment, as per the disclosure.

H K Shah & Co., Chartered Accountants, issued a qualified opinion on the financial results. The auditors stated they had not received documents regarding RBI compliances from the auditee NBFC company, making it impossible to determine the potential effects of any non-compliance. Additionally, the absence of a whole-time Company Secretary during the audit year prevented the auditors from assessing the extent or effects of possible consequential secretarial non-compliances.

The company's net worth turned negative, standing at ₹(73.04) lakh as of March 31, 2026, compared to a positive net worth of ₹447.87 lakh in the previous year. Total assets decreased to ₹6.49 lakh from ₹541.70 lakh, while total liabilities stood at ₹79.53 lakh. The management noted that the company is in the process of obtaining records regarding historical RBI compliances from erstwhile promoters and is actively recruiting for the vacant Company Secretary position.

The following table details the financial performance for the quarter and year ended March 31, 2026:

Particulars	Quarter ended 31.03.2026 (Audited)	Year ended 31.03.2026 (Audited)	Year ended 31.03.2025 (Audited)
Total Income	80.69	81.01	38.93
Total Expenses	618.36	601.92	11.69
Profit/(Loss) before tax	(537.67)	(520.91)	27.24
Net Profit/(Loss)	(533.31)	(520.91)	19.27
Earnings Per Share (Basic)	(17.78)	(17.36)	0.64

Historical Stock Returns for Amarnath Securities

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-16.04%	-18.77%	-18.60%	-10.00%	-18.89%	-19.41%

What specific penalties or regulatory actions might Amarnath Securities face from the RBI once the historical compliance records are finally reviewed?

How does the company plan to restore its positive net worth and address the significant decline in total assets following the financial asset derecognition?

Will the appointment of a new Company Secretary be sufficient to resolve the current governance issues, or are broader structural changes expected?

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Amarnath Securities discloses related party transactions for Q4FY26

1 min read Updated on 30 May 2026, 02:14 AM

Reviewed by

Riya DScanX News Team

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Amarnath Securities Limited disclosed related party transactions for Q4FY26, including ₹41.69 lakh in expense reimbursements to its Whole-time Director and ₹3.04 lakh in unsecured loans. The Company Secretary received ₹80,500 in remuneration, while loans were also extended to the director's relatives. Total ratified transactions for the period amounted to ₹45.88 lakh.

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Amarnath Securities Limited has disclosed its related party transactions for the quarter and year ended March 31, 2026, detailing financial dealings with its Whole-time Director and Company Secretary. The filing, submitted to the Bombay Stock Exchange, outlines reimbursements, remuneration, and unsecured loans extended to these parties as part of its compliance obligations.

The disclosures were made pursuant to Regulation 23(9) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The audit committee of the company had previously approved a total value of ₹25,00,000 for these transactions. During the reporting period, the actual value of transactions ratified by the committee amounted to ₹45,88,471.

A significant portion of the transactions involved reimbursements and loans to Chetan Balubhai Patel, the Whole-time Director. The company reimbursed expenses totaling ₹41,69,001 to him. Additionally, an unsecured loan of ₹3,03,990 was provided to him during the period. The closing balance of amounts due from the director stood at ₹39,51,001.

The Company Secretary, Ms. Mitti Jain, received remuneration amounting to ₹80,500. Furthermore, unsecured loans were extended to individuals related to the director. Ms. Prarthee Chetan Patel and Ms. Kinnari Chetan Patel received loans of ₹9,990 and ₹24,990, respectively. All loans provided were unsecured.

The following table summarizes the related party transactions disclosed for the period:

S. No.	Counterparty	Relationship	Transaction Type	Value Ratified by Audit Committee (₹)	Transaction Value During Period (₹)	Closing Balance Due (₹)
1	Mr. Chetan Balubhai Patel	Whole-time director	Reimbursement of expense	41,69,001	41,69,001	39,51,001
2	Ms. Mitti Jain	Company Secretary	Remuneration	80,500	80,500	80,500
3	Mr. Chetan Balubhai Patel	Whole-time director	Un-secured loan given to company	3,03,990	3,03,990	3,03,990
4	Ms. Prarthee Chetan Patel	Related to Director	Un-secured loan given to company	9,990	9,990	9,990
5	Ms. Kinnari Chetan Patel	Related to Director	Un-secured loan given to company	24,990	24,990	24,990
Total				45,88,471	45,88,471	43,70,471

The filing was signed by Chetan Patel, Whole-time Director of Amarnath Securities , on May 29, 2026.

Historical Stock Returns for Amarnath Securities

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-16.04%	-18.77%	-18.60%	-10.00%	-18.89%	-19.41%

What is the company's plan to recover the significant outstanding balance of ₹39.51 lakh due from the Whole-time Director?

Will the company revise its internal limits for related party transactions given the actual value exceeded the audit committee's approved amount by over 80%?

How might the extension of unsecured loans to the director's relatives impact the company's corporate governance ratings?