Birla TransAsia reports net loss of ₹31,800 for FY24

Birla TransAsia Carpets Limited has reported a net loss of ₹31,800 for the financial year ended March 31, 2024. This represents a widening of losses compared to the previous year, which saw a net loss of ₹1,571. The company has not generated revenue from operations for the past two years, as stated in its annual report.

Financial Performance

The company's total expenditure for the year stood at ₹31,800, consisting primarily of other expenses. Revenue from operations and other income remained nil. The basic and diluted earnings per share for the year was reported as a loss of ₹0.01 per share, based on a face value of ₹10.

Balance Sheet Highlights

As of March 31, 2024, the company's total assets amounted to ₹2,30,34,255. The equity and liabilities side was dominated by a deficit of ₹29,85,12,775 in other equity, which includes accumulated losses. The total current liabilities were recorded at ₹3,48,77,919, while borrowings stood at ₹24,07,49,629.

Auditor's Observations

Joshi Chhadva & Co LLP, the statutory auditors, highlighted several material concerns in their report. They noted that the company has not incurred cash losses in the current financial year but raised doubts about its ability to continue as a going concern. This concern stems from significant outstanding statutory dues, including undisputed amounts payable for provident fund, income tax, and goods and services tax that have been in arrears for more than six months.

Statutory Dues and Compliance

The auditor's report detailed specific statutory dues that remain unpaid. These include outstanding amounts related to the Central Excise Act, 1944, and the Delhi Sales Tax Act, 1975, some dating back to the early 2000s. Additionally, the company has not declared or paid any dividend during the year.

Statute	Nature of Dues	Amount (Rs)	Period
Central Excise Act, 1944	Excise duty	13,32,900	2003-04 & 2004-05
Central Excise Act, 1944	Interest	7,06,000	2003-04
Central Excise Act, 1944	Interest	7,70,000	2004-05
Delhi Sales Tax Act, 1975	Sales tax	14,67,631	2004-05
The Income Tax Act, 1961	TDS u/s 194J	1,19,383	2016-17
SEBI Regulations	Annual listing fees	6,86,860	2014-15 to 2017-18

Operational Status

The company's operations have been severely constrained. The Bombay Stock Exchange suspended trading in the company's securities with effect from July 19, 2017, due to non-compliance with SEBI regulations. The Board of Directors did not recommend any dividend for the financial year in view of the accumulated losses.

Birla TransAsia Carpets Limited has reported its financial results for the financial year ended March 31, 2023. The company recorded a net loss of ₹1,571 for the year, a reduction from the net loss of ₹1,07,219 reported in the previous fiscal year. Revenue from operations for FY23 stood at zero, compared to ₹1,00,000 in the financial year 2021-22. Total income for the year was nil, while total expenditure amounted to ₹1,571.

Financial Performance

The company's financial statements indicate a challenging operational environment with no revenue generation from sales. The total expenses for the year were primarily driven by financial costs, which amounted to ₹1,571. Employee benefit expenses and other expenses were recorded as nil for the current year. The basic and diluted earnings per share (EPS) for the year was reported as (0.00), compared to (0.04) in the previous year.

The following table summarizes the key financial figures for the year ended March 31, 2023, compared to the prior year:

Particulars	FY 2022-23 (₹)	FY 2021-22 (₹)
Revenue from operations	-	1,00,000
Total Income	-	1,01,180
Total Expenses	1,571	2,08,399
Profit/(Loss) before tax	(1,571)	(1,07,219)
Net Profit/(Loss) for the year	(1,571)	(1,07,219)

Statutory Dues and Compliance

The Independent Auditor's Report highlighted significant outstanding statutory dues. Undisputed amounts payable for provident fund, employees’ state insurance, income-tax, Goods and Services Tax, and other material statutory dues were in arrears as at March 31, 2023, for a period of more than six months. Additionally, there are disputed statutory dues pending before various appellate forums.

The auditor noted that based on the examination of evidence, nothing came to attention to suggest a material uncertainty regarding the company's ability to continue as a going concern within one year from the balance sheet date. However, the report clarified that this is not an assurance of future viability. The company also has not declared or paid any dividend during the year.

Operational and Governance Status

The company's operations remain minimal, with no revenue generated during the year. The Board of Directors did not recommend any dividend for the financial year ended March 31, 2023, in view of the accumulated losses. The trading of the company's securities on the Bombay Stock Exchange has been suspended since July 19, 2017, due to non-compliance with SEBI regulations.

The Directors' Responsibility Statement confirmed that the annual accounts were prepared on a ‘going concern’ basis and that internal financial controls were adequate and operating effectively. The statutory auditors, M/s. Joshi Chhadva & Co LLP, hold office until the conclusion of the ensuing Annual General Meeting.