Falcon Technoprojects India Limited reported a net profit of ₹302.65 lakh for the financial year ended March 31, 2026, a significant increase from ₹116.62 lakh in the previous year. Revenue from operations surged to ₹5,733.69 lakh in FY26, compared to ₹2,647.27 lakh in FY25, driven by robust operational performance. The Board of Directors approved the standalone audited financial results for the year and half-year ended March 31, 2026, at a meeting held on May 28, 2026.

The statutory auditors, M/s NGST & Associates, issued an unmodified opinion on the financial results, confirming compliance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company operates in a single segment and has not adopted Indian Accounting Standards (Ind-AS) as it is listed on the SME Exchange and falls under the exempted category.

Financial Performance

The company's total income for FY26 stood at ₹5,738.41 lakh, up from ₹2,649.50 lakh in the previous year. Total expenses increased to ₹5,324.11 lakh from ₹2,483.55 lakh in FY25. Profit before tax for the year rose to ₹414.30 lakh from ₹165.95 lakh in the corresponding period last year. The basic earnings per share (EPS) for FY26 improved to ₹5.65 from ₹2.18 in FY25.

Balance Sheet and Cash Flows

The company's total assets grew to ₹7,429.38 lakh as of March 31, 2026, from ₹3,954.73 lakh a year ago. Shareholders' equity increased to ₹2,572.13 lakh from ₹2,269.48 lakh in the previous year. Current liabilities rose significantly to ₹4,842.87 lakh, primarily due to short-term borrowings and provisions. Cash generated from operating activities was negative at ₹(2,967.52) lakh, largely due to increases in trade receivables and inventories, while financing activities provided a net inflow of ₹2,950.33 lakh.

Falcon Technoprojects India Limited has disclosed, via a board meeting outcome filed pursuant to Regulation 30 of SEBI (LODR) Regulations, 2015, that its rights issue has failed to meet the minimum subscription requirement mandated by securities regulations. The board meeting was held on May 6, 2026, commencing at 6:00 P.M. and concluding at 7:40 P.M.

Rights Issue Overview

The company had launched a rights issue based on its Letter of Offer dated March 23, 2026, seeking to raise funds through the issuance of equity shares to eligible shareholders. The key details of the rights issue are summarised below:

Minimum Subscription Not Achieved

As per Regulation 86(2) of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018 (SEBI ICDR Regulations), a rights issue is required to achieve a minimum subscription of 90% of the issue size. Falcon Technoprojects India Limited has confirmed that the issue did not meet this threshold. Consequently, the company will not proceed with the allotment of equity shares under the rights issue.

Refund and Unblocking Process Initiated

Following the failure to achieve minimum subscription, the company has begun the process of instructing its Registrar and Transfer Agent (RTA), KFin Technologies Limited, to initiate refunds or unblocking of amounts held in ASBA (Application Supported by Blocked Amount) accounts for all applicants. The company has stated it will coordinate with the respective banks in consultation with the RTA to facilitate the unblocking of funds.

The outcome was communicated to the National Stock Exchange of India Limited and signed by Bharat Shreekishan Parih, Managing Director (DIN: 06945020), on behalf of Falcon Technoprojects India Limited.