DCM Financial Services reported a standalone net loss of Rs. 102.10 Lakh for the year ended March 31, 2026, narrowing from Rs. 117.92 Lakh in the previous year, as total income declined sharply to Rs. 54.31 Lakhs from Rs. 166.03 Lakhs.

The company filed its 35th Annual Report for FY26 with the stock exchanges on August 26, 2026, pursuant to Regulation 34 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The 35th Annual General Meeting is scheduled for Thursday, September 24, 2026 at 01:00 P.M. at Sarita Sadan, NS 3B, Sarita Vihar, New Delhi.

Financial Performance

The following table summarises the standalone and consolidated financial performance for FY26 and FY25 (amounts in Lakh):

On a standalone basis, the company recorded zero revenue from business operations, with all income derived from other income sources. The loss before tax stood at Rs. (98.96) Lakh on standalone basis versus Rs. (84.80) Lakh in the prior year. No dividend was declared for FY26 in view of the losses incurred.

Going Concern and Regulatory Status

The statutory auditor, M/s. V Sahai Tripathi & Co., Chartered Accountants, issued a qualified opinion on the standalone financial statements. Key emphasis of matter points include:

• The company incurred a net loss of Rs. 102.27 Lakhs during the year ended March 31, 2026, and as of that date, current liabilities exceeded total assets by Rs. 4,800.17 Lakhs.
• The accumulated loss as on March 31, 2026 stands at Rs. 9,336.30 Lakhs (previous year Rs. 9,234.03 Lakhs).
• Total liabilities exceeded total assets by Rs. 5,114.08 Lakhs as on March 31, 2026 (previous year Rs. 5,011.81 Lakhs).
• The company's application to RBI for Certificate of Registration as an NBFC was rejected in 2004; the company ceased accepting deposits from September 1997.
• The company contends that the One Man Committee scheme shall be implemented in full, with the revival decision to be taken by the Delhi High Court.

No provision of Rs. 1,683 Lakhs towards interest on debentures and fixed deposits as laid down under the One Man Committee scheme has been provided in the financial statements. Outstanding fixed deposits aggregating to Rs. 4,066.99 Lacs and unpaid matured debentures of Rs. 1,602.81 Lakhs remain as current borrowings as on March 31, 2026.

Balance Sheet Highlights

Key balance sheet figures as on March 31, 2026 (standalone, amounts in Lacs):

The authorised capital stood at Rs. 65,00,00,000 comprising 6,50,00,000 equity shares of Rs. 10 each, and the paid-up share capital remained unchanged at Rs. 221,250,540 consisting of 22,125,054 equity shares of Rs. 10 each. No shares were issued or bought back during FY26. The return on net worth stood at 2.00% for the current financial year as compared to 2.35% for the previous financial year.

Board and Corporate Governance Changes

During and after FY26, the following changes occurred in the board composition:

The 35th AGM agenda includes re-appointment of Mr. Kaushal Kashyap (DIN: 07683753) as director liable to retire by rotation, and regularisation of Ms. Snehlata Kaim as Independent Director for five consecutive years from August 11, 2026 to August 10, 2031.

Subsidiary and Related Party Disclosures

The company has one subsidiary, Global IT Options Limited (90% shareholding), with total assets of Rs. 19,81,230 and a loss after taxation of Rs. (29,559) for the year. No associates or joint ventures exist.

Key related party transactions during FY26 (amounts in Lakh):

Outstanding balances payable to DCM Services Ltd. (ICD payable) stood at Rs. 739.24 Lakh and equity shares to be issued at Rs. 182.70 Lakh, both unchanged from the prior year and subject to confirmation and reconciliation.

Auditor Qualifications

The statutory auditor raised qualifications relating to non-provision of Rs. 1,683 Lakhs interest on debentures and fixed deposits, non-creation of debenture redemption reserve of Rs. 2,014.98 Lakhs due to insufficient profits, potential depletion of security assets, and absence of balance confirmations from several counterparties. A contingent liability of Rs. 288.29 Lacs arising from a dispute with NBCC Ltd. remains pending in arbitration, with both parties having filed objections to the arbitration award in the Delhi High Court.

The secretarial audit for FY26 was conducted by M/s. Jain P & Associates, Company Secretaries, and the secretarial compliance report confirmed no deviations under applicable SEBI regulations during the review period. The company has 6 permanent employees on its rolls as of FY26.

DCM Financial Services has accepted the resignation of Ms. Richa Kathuria from the office of Independent Director, effective close of business on August 11, 2026. The departure, attributed to her other professional commitments, triggers a restructuring of the company’s Board committees. To maintain compliance with regulatory requirements for independent director representation, the Board appointed Ms. Snehlata Kaim as an Additional Director (Non-Executive Independent) on the same date.

The changes were approved during a Board meeting held at the company’s registered office in New Delhi on Tuesday, August 11, 2026. The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with Schedule III – Para A, Clause 7 and Clause 7B. Additionally, the filing complies with SEBI Circular No. HO/49/14/14(7)2025-CFD-POD2/P/CIR/2026/16 dated January 30, 2026.

Ms. Kathuria ceased to be a member of the Audit Committee, Nomination and Remuneration Committee, and Stakeholders Relationship Committee with immediate effect. In her resignation letter, she confirmed there were no material reasons for her departure other than those stated. She continues to hold directorships at Pankaj Polymers Limited and Confidence Petroleum India Limited.

Ms. Snehlata Kaim, a postgraduate in Commerce with certification from ICA in Computer Accounting, was appointed for a term of five consecutive years, running from August 11, 2026, to August 11, 2031. Her appointment is subject to ratification by shareholders at the next general meeting. Pursuant to BSE Circular LIST/COMP/14/2018-19 dated June 20, 2018, Ms. Kaim is not debarred from holding office under any SEBI order.

Revised Committee Composition

The Board reconstituted its committees effective August 11, 2026, to incorporate Ms. Kaim. The updated structures are as follows:

Ms. Kaim disclosed no shareholding in DCM Financial Services Limited at the time of appointment, as required under Regulation 7(1)(b) read with Regulation 6(2) of the SEBI (Prevention of Insider Trading) Regulations, 2015. She confirmed she is not related to any existing Directors or Key Managerial Personnel.

Regulatory Compliance Notes

The Board also noted the closure of the trading window for Designated Persons for the quarter ended June 30, 2026, under the SEBI (Prohibition of Insider Trading) (Amendment) Regulations, 2018. Compliance with the Report on Corporate Governance under Regulation 27(2) and the Statement of Investor Complaints under Regulation 13(3) for the same quarter was reviewed. The Reconciliation of Share Capital Audit Report under Regulation 76 of the SEBI (Depositories and Participants) Regulations, 2018, and the Shareholding pattern under Regulation 31 were also taken on record.