Elango Industries Limited is not required to disclose related party transactions for the financial year ended March 31, 2026, due to its capital structure and net worth. The company confirmed to The BSE Limited on May 28, 2026, that it qualifies for an exemption under Regulation 15(2) of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015.

The exemption applies to listed entities with a paid-up equity share capital not exceeding ₹10 crore and a net worth not exceeding ₹25 crore as on the last day of the previous financial year. Elango Industries falls under this category, specifically sub-clause (a), as its financial metrics remain below the specified thresholds.

Consequently, the compliance requirements for Corporate Governance provisions, including Regulation 23(9) concerning related party transactions, are not applicable to the company. This regulation mandates specific disclosures for transactions with related parties, which the company is now exempt from reporting.

The notification, signed by Company Secretary Nitesh Kumar Sharma, requested the exchange to record this non-applicability. The company’s scrip code is 513452, and it is registered with the Corporate Identification Number (CIN) L27104TN1989PLC017042.

Key Financial Thresholds

The following table outlines the criteria that allowed the company to claim the exemption:

Elango Industries reported a net loss of ₹13.55 crore for the financial year ended March 31, 2026, with zero revenue from operations. The company's statutory auditors issued a qualified opinion regarding the recoverability of a long-pending electricity subsidy amounting to ₹1,09,96,636 recorded under other non-current assets.

The Board of Directors approved the audited financial results for the quarter and year ended March 31, 2026, at a meeting held on May 28, 2026. The meeting also approved the appointment of M/s B. Panneer & Co, Chartered Accountants, as the internal auditor for FY 2026-27. Additionally, the Board approved the draft notice for the 37th Annual General Meeting and the draft Director's report for the financial year 2025-26.

The financial statements show that total expenses for the year stood at ₹37.39 crore, compared to ₹23.98 crore in the previous year. The company reported a basic and diluted loss per share of ₹0.36 for FY26. The paid-up equity share capital remained constant at ₹382.16 crore, while reserves excluding revaluation reserves stood at a negative ₹18.48 crore.

Qualified Opinion

Statutory auditors P. Pattabiramen & Co issued a qualified opinion on the standalone financial results. The qualification arises because the standalone quarterly financial statements include ₹1,09,96,636 under Other Non-Current Assets as Electricity Subsidy. The auditors stated that in the absence of adequate information regarding the present status of this receivable, they are unable to ascertain its recoverability. This qualification has been repetitive, continuing from March 2022. Management estimates the amount is recoverable and is in the process of recovering it.

Financial Performance

The company recorded no income from operations for the quarter ended March 31, 2026, and the full year FY26. Total revenue for the year was ₹0.10 crore, solely from other income. In contrast, the previous year ended March 31, 2025, reported a total income of ₹23.98 crore.

Corporate Governance Disclosures

The company confirmed that there were no deviations or variations in the use of public issue proceeds raised from its Initial Public Offer. Consequently, the statement of deviation or variation under Regulation 32 of the SEBI (LODR) Regulations, 2015 is not applicable. Furthermore, the company stated that Regulation 23(9) regarding related party transactions is not applicable as its paid-up equity share capital does not exceed ₹10 crore and its net worth does not exceed ₹25 crore.