Fynx Capital Limited (formerly known as Rajath Finance Limited) reported its unaudited standalone financial results for the quarter ended June 30, 2026, at a board meeting held on August 7, 2026. The company posted a net loss of ₹198.29 lakhs for the quarter, a significant widening compared to the net loss of ₹56.65 lakhs recorded in the corresponding quarter of the previous year. Alongside the financial results, the board approved the appointment of M/s. Bonanza Portfolio Limited as merchant banker for the company's proposed rights issue, subject to applicable laws and regulatory requirements.

Financial Performance: Q1FY27 vs. Prior Periods

Total income for the quarter ended June 30, 2026 came in at ₹394.70 lakhs, a marked increase from ₹48.68 lakhs in the corresponding quarter of the previous year and ₹249.43 lakhs in the preceding quarter ended March 31, 2026. Revenue from operations was driven by interest income of ₹255.71 lakhs and fees and commission income of ₹131.78 lakhs. However, total expenses surged to ₹609.89 lakhs from ₹106.19 lakhs in the year-ago quarter, resulting in a pre-tax loss of ₹215.19 lakhs.

The following table summarises the key financial metrics across reporting periods (Rs in Lakhs):

Balance Sheet Highlights

Total assets as of June 30, 2026 stood at ₹6,387.82 lakhs, compared to ₹4,329.30 lakhs as of March 31, 2026. The loan book expanded significantly to ₹4,955.83 lakhs from ₹3,351.33 lakhs, while investments grew to ₹979.35 lakhs from ₹313.17 lakhs. Cash and cash equivalents declined to ₹208.83 lakhs from ₹458.04 lakhs over the same period.

On the liabilities side, borrowings rose to ₹4,150.06 lakhs from ₹2,150.00 lakhs as of March 31, 2026. Equity share capital remained unchanged at ₹2,000.00 lakhs, while other equity stood at ₹(603.07) lakhs as of June 30, 2026, compared to ₹(412.36) lakhs as of March 31, 2026. The following table presents the key balance sheet figures (Rs in Lakhs):

Cash Flow Summary

For the quarter ended June 30, 2026, Fynx Capital recorded a net cash outflow from operating activities of ₹1,559.66 lakhs, driven primarily by a significant increase in loans disbursed of ₹1,708.22 lakhs. Net cash outflow from investing activities stood at ₹689.61 lakhs, largely on account of purchase of investments worth ₹666.18 lakhs. Financing activities generated a net inflow of ₹2,000.06 lakhs, primarily from net borrowings from banks and financial institutions. The net decrease in cash and bank balances for the quarter was ₹249.21 lakhs, bringing the closing cash and cash equivalents to ₹208.83 lakhs from an opening balance of ₹458.04 lakhs.

Board Decisions and Other Developments

At the board meeting held on August 7, 2026, which commenced at 12:40 PM and concluded at 2:00 PM, the board approved the unaudited financial results for Q1FY27 along with the limited review report, and appointed M/s. Bonanza Portfolio Limited as merchant banker for the proposed rights issue. The financial results were reviewed by the Audit Committee and subsequently approved by the board, with the statutory auditor's limited review conclusion being unmodified.

Additionally, the company noted the following key developments during the quarter:

• During the quarter ended June 30, 2026, Fynx Capital granted ESOPs to eligible members under the FynX Capital Employee Stock Option Plan – 2025, the company's first ESOP scheme.
• The paid-up equity share capital stood at ₹2,000.00 lakhs, comprising 200,000,000 equity shares of Re. 1/- each.
• Promoter and promoter group held 149,800,000 non-encumbered shares, representing 74.90% of total share capital, with no shares pledged or encumbered.
• Public shareholding stood at 25.10% as of June 30, 2026.
• There were nil investor complaints pending, received, disposed of, or remaining unresolved during the quarter.
• During the previous quarter/year, the company completed a stock split of equity shares from a face value of Rs. 10 per share to Re. 1 per share, revising the number of shares from 2,00,00,000 to 20,00,00,000. EPS for previous periods has been restated accordingly as per Ind AS 33 requirements.

Fynx Capital Limited secured shareholder approval for related party transactions and an increase in authorised share capital at its Extraordinary General Meeting (EGM) held on June 29, 2026. The meeting, conducted at the company's registered office in Mumbai, saw the passage of three ordinary resolutions. The outcomes enable specific transactions with partner entities and facilitate capital restructuring to support future growth initiatives.

Resolutions Passed

The members of the company passed three resolutions via special business during the meeting. The resolutions focused on corporate governance through related party approvals and structural changes to the company's equity framework.

Voting Details

Remote e-voting was facilitated from June 25, 2026, to June 28, 2026, allowing shareholders to participate electronically or via poll at the venue. A total of 1,861 shareholders were on record as of the cut-off date of June 22, 2026. For the resolutions regarding related party transactions, 14,98,00,000 votes were abstained from by the promoter group, which is interested in the said resolutions. The resolutions were passed with the requisite majority.

Meeting Proceedings

The EGM commenced at 11:00 A.M. under the chairmanship of Mr. Shanker Raman Siddhanathan, Managing Director. The meeting was attended by directors including Mr. Ashok Kumar Mittal and Company Secretary Mr. Akash Hirenbbhai Bheda. PHD & Associates was appointed as the scrutinizer to oversee the voting process, ensuring compliance with the Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.