Gayatri Projects Limited, a Hyderabad-based construction company, approved its audited standalone and consolidated financial results for the quarter and year ended 31st March 2026 at a Board of Directors meeting held on 14th May 2026. The results were reviewed by the Audit Committee and approved in compliance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The statutory audit was conducted by Atmakuri & Co., Chartered Accountants, who issued an unmodified opinion on the financial results.

Standalone Financial Performance

On a standalone basis, Gayatri Projects recorded a significant turnaround for the year ended 31st March 2026, reporting a net profit of ₹2,04,695.16 lakhs against a net loss of ₹6,879.61 lakhs in the prior year. Revenue from operations grew to ₹84,689.18 lakhs from ₹44,992.45 lakhs in the previous year. The improvement was substantially supported by net exceptional income of ₹1,98,567.80 lakhs for the year, arising primarily from debt settlement gains under the OTS scheme. The following table summarises key standalone financial metrics:

For the quarter ended 31st March 2026, the standalone net loss stood at ₹11,027.19 lakhs, compared to a net loss of ₹3,198.53 lakhs in the corresponding quarter of the prior year, primarily on account of an exceptional charge of ₹4,277.51 lakhs during the quarter.

Consolidated Financial Performance

On a consolidated basis, which includes subsidiary Gayatri Energy Ventures Private Limited, associate Gayatri Highways Limited, and 22 joint ventures/jointly controlled entities, the company reported a net profit of ₹2,04,212.30 lakhs for the year ended 31st March 2026, compared to a net profit of ₹12,389.10 lakhs in the prior year. Consolidated revenue from operations stood at ₹84,689.18 lakhs for FY26 against ₹44,992.45 lakhs in FY25. The following table presents key consolidated financial highlights:

Balance Sheet Highlights

The standalone balance sheet as at 31st March 2026 reflects a total equity of ₹57,900.16 lakhs, a substantial improvement from negative equity of ₹(1,47,291.40) lakhs as at 31st March 2025. Total assets stood at ₹2,31,294.62 lakhs as at 31st March 2026 compared to ₹3,40,258.64 lakhs in the prior year. Current borrowings declined sharply to ₹53,733.21 lakhs from ₹3,62,555.22 lakhs, reflecting the impact of the OTS debt settlement. On a consolidated basis, total equity improved to ₹60,687.87 lakhs from ₹(1,43,661.29) lakhs, with total assets at ₹2,11,487.24 lakhs against ₹3,43,917.65 lakhs in the prior year.

CIRP Withdrawal and OTS Debt Settlement

A defining development during the year was the successful resolution of the Corporate Insolvency Resolution Process (CIRP). The Committee of Creditors (CoC), comprising lenders holding 97.21% of the voting share, approved the promoter's one-time full and final debt settlement proposal. The Hon'ble NCLT, Hyderabad, vide order dated 10th September 2025, approved the withdrawal of Company Petition No. IB/308/HDB/2022. Key terms of the OTS proposal are summarised below:

As on the date of the audited financial results, the company has paid the entire fund-based amounts and obtained NOCs from all lenders for the release of their charge over specific secured assets. Management control was vested back with the promoters with effect from 16th September 2025. A secured term loan to Punjab National Bank (PNB) of ₹14,390.74 lakhs (including interest of ₹8,038.59 lakhs) remains outstanding and is classified as a default as at 31st March 2026, with the promoters in correspondence with PNB to obtain NOC for sale of mortgaged immovable properties.

Key Exceptional Items and Material Notes

Several material exceptional items and disclosures shaped the financial results for the year:

• CCCPS Impairment: An impairment provision of ₹13,342.95 lakhs was recognised on 4% Compulsorily Convertible Cumulative Preferential Shares (CCCPS) held in Gayatri Hi-tech Hotels Limited, based on an independent IBBI Registered valuer's report. The investment in CCCPS stood at ₹19,571.95 lakhs as at 31st March 2026.
• Subordinate Debt Write-off: The board approved a write-off of ₹13,411.00 lakhs against subordinate debt receivable from associate company Gayatri Highways Limited (GHL), relating to road projects terminated by NHAI. A full provision of ₹4,556.01 lakhs has been maintained for the balance subordinate debt relating to the HKR road project. GHL paid ₹2,962.17 lakhs against the unsecured loan during the year.
• ICL Interest Waiver: The board accepted the waiver of the entire interest receivable of ₹25,555.01 lakhs on an Inter-Corporate Loan (ICL) extended to a subcontractor, disclosed as an exceptional item. The company has also recognised ₹15,455.00 lakhs as "Collateral Security Enforcement under SARFAESI" under Other Current Assets, representing the reserve price of immovable properties assigned under the undertaking.
• Subcontractor Recovery: A subcontractor with dues of ₹14,722.65 lakhs proposed to pay ₹5,499.65 lakhs on or before 30th September 2026; as on the date of results, ₹2,697.50 lakhs had been received.
• Expected Credit Loss: A provision for expected credit loss of ₹4,715.63 lakhs was made in respect of work and other advances receivable from one subcontractor amounting to ₹7,483.05 lakhs as at 31st March 2026.
• PPE Disposal: A comprehensive verification of Property, Plant and Equipment (PPE) was conducted during the quarter; the company realised a profit of ₹3,308.92 lakhs from sale/handover of PPE to creditors, recognised as other income.

Preferential Allotment and Qualified Borrowings

Subsequent to the year end, the company completed a Preferential Allotment of 27,71,00,315 equity shares of face value ₹2/- each at an issue price of ₹10/- per share, aggregating to ₹27,710.03 lakhs. On the borrowings front, outstanding qualified borrowings declined significantly from ₹3,51,685.18 lakhs as on 1st April 2025 to ₹6,352.15 lakhs as on 31st March 2026, with no incremental qualified borrowings or debt securities issuance during FY26.

Gayatri Projects Limited has completed the preferential allotment of 16,81,00,315 fully paid-up equity shares, representing the second and final tranche of its preferential issue. The Issue & Allotment Committee of the Board approved the allotment on 20 April 2026, with shares issued at an issue price of Rs. 10 per share, including a premium of Rs. 8 per share. The total issue size amounts to Rs. 168,10,03,150.

The preferential allotment follows approvals from the Board Meeting held on 25 September 2025 and the Extraordinary General Meeting on 23 October 2025. In-principle approvals were received from BSE Limited and National Stock Exchange of India Limited on 7 April 2026. The issuance was conducted in accordance with the Companies Act, 2013 and the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018.

Six investors participated in the preferential allotment. The distribution of shares among allottees is detailed below:

Consequent to the allotment, the paid-up equity share capital of Gayatri Projects Limited has increased significantly. The pre-issue capital stood at 29,61,98,685 shares amounting to Rs. 59,23,97,370, while the post-issue capital now stands at 46,42,99,000 shares amounting to Rs. 92,85,98,000.

The newly allotted shares will rank pari-passu in all respects, including dividend rights, with the existing equity shares of the company. Gayatri Projects Limited will make an application to the stock exchanges for listing and trading approval of the newly allotted shares in due course. The shares have been issued in dematerialized form and credited to the respective demat accounts of the allottees.