Cadsys (India) Limited reported a net loss of ₹921.20 lakh for the financial year ended March 31, 2026, compared to a profit of ₹53.98 lakh in the previous year, following a Board meeting on May 28, 2026. The loss was primarily driven by an exceptional item of ₹1,121.44 lakh, representing a provision for the diminution in the value of its investment in Apex Advanced Technologies LLC. Revenue from operations for the year increased to ₹2,794.62 lakh from ₹1,966.76 lakh in FY25.

Standalone Financial Performance

The company’s standalone financial results for FY26 show a total revenue of ₹2,821.33 lakh, up from ₹1,993.79 lakh in the prior year. Total expenses rose to ₹2,595.88 lakh from ₹1,883.24 lakh. Before accounting for the exceptional provision and tax, the company reported a profit of ₹225.45 lakh. Basic earnings per share (EPS) for the year stood at (₹9.21), a significant decline from ₹0.54 in the previous year.

Exceptional Item and Investment Details

The exceptional item arose because the company’s shareholding in Apex Advanced Technologies LLC was reduced from 52% to 42% during the year. Consequently, the decline in the value of this long-term investment was deemed other than temporary, necessitating a provision of ₹1,121.44 lakh in accordance with Accounting Standard 13. This provision was disclosed separately in the Statement of Profit and Loss.

Consolidated Results and Auditor's Report

On a consolidated basis, the company reported a net loss of ₹1,849.76 lakh for FY26, narrowing from the loss of ₹3,705.20 lakh in the previous year. Total consolidated revenue stood at ₹11,757.56 lakh. The statutory auditor, M/s Narven Associates, issued an unmodified opinion on the standalone financial results but a modified opinion on the consolidated results. The modification was due to the inability to obtain sufficient appropriate audit evidence regarding the carrying value of the investment in Apex Advanced Technologies LLC, which ceased to be a subsidiary on November 7, 2025, and became an associate.

Cadsys (India) Limited held an Extra-Ordinary General Meeting (EGM) on May 28, 2026, to seek shareholder approval for related party transactions. The meeting, conducted via Video Conferencing, ratified transactions for FY 2025–26 and approved new transactions with Apex Advanced Technology LLC and Cadsys Technologies LLC for FY 2026–27. These approvals are essential for the company to continue its business operations with associated entities during the specified fiscal years.

The EGM commenced at 09:00 A.M. IST and concluded at 09:32 A.M. IST. Mr. Nallani Chakravarthi Venkata Rangacharya, Managing Director, chaired the meeting. The Board appointed Mr. Nitesh Agarwal, Practicing Company Secretary, as the Scrutinizer to oversee the remote e-voting process and the e-voting conducted during the EGM. The statutory auditors and internal auditors were present, while the Secretarial Auditor did not attend due to prior commitments.

Resolutions Passed

Shareholders voted on three ordinary resolutions concerning related party transactions. The resolutions covered the ratification of transactions for the previous fiscal year and the approval of future transactions with specific entities for the upcoming year.

The Chairman informed the members that the voting results would be announced on the company's website and intimated to the stock exchange within 48 hours of the conclusion of the meeting. Subject to the receipt of the requisite number of votes, the resolutions were deemed to be passed as on the date of the EGM. The Scrutinizer's Report was received post-meeting, confirming that all resolutions were passed with the requisite majority.