Innovative Ideals and Services (India) Ltd has appointed M/s. Nishant Bajaj & Associates as its secretarial auditor for the financial year 2025-26. The board approved the appointment on September 5, 2026, following the resignation of the previous auditor.

The company disclosed that M/s. Prachi Bansal & Associates resigned from the role effective September 4, 2026. The resignation letter cited an inability to mutually agree upon the commercial terms of the professional engagement as the primary reason for stepping down.

Auditor Change Details

The board meeting held in Mumbai commenced at 5:00 pm and concluded at 5:20 pm. The key resolutions passed included:

• Acceptance of the resignation of M/s. Prachi Bansal & Associates.
• Appointment of M/s. Nishant Bajaj & Associates as the new secretarial auditor.

M/s. Nishant Bajaj & Associates is a peer-reviewed practicing company secretary firm based in Mumbai. The firm’s founder, Mr. Nishant Bajaj, possesses more than 15 years of experience in legal and procedural compliances under the Companies Act 2013, SEBI regulations, and FEMA.

Regulatory Disclosures

The disclosures were made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The filing confirmed that there were no other material reasons for the resignation other than those stated in the resignation letter.

Innovative Ideals and Services (India) Ltd reported a net loss of ₹934.89 lakh for the financial year ended March 31, 2026, compared to a profit of ₹100.39 lakh in the previous year. Revenue from operations fell significantly to ₹54.29 lakh from ₹322.34 lakh in FY25. The statutory auditors issued a modified opinion on the financial results, citing material uncertainties regarding inventory valuation and the company's ability to continue as a going concern.

Qualified Opinion and Going Concern

Keyur Shah & Associates, the statutory auditors, highlighted that inventories valued at ₹50.40 lakh were stated solely at cost rather than the lower of cost or net realizable value, a departure from accounting standards. The auditors noted they were unable to ascertain the impact of this due to insufficient audit evidence and lack of physical verification. Furthermore, the report indicated a material uncertainty related to the company's status as a going concern, citing huge losses, a net worth erosion to negative ₹510.21 lakh, and the write-off of receivables amounting to ₹404 lakh.

Financial Performance

The company's total expenses for FY26 rose to ₹920.59 lakh from ₹237.94 lakh in the prior year, driven largely by other expenses and changes in inventories. Finance costs increased to ₹2.93 lakh from ₹0.87 lakh. The basic earnings per share (EPS) for the year stood at a loss of ₹8.22, compared to a profit of ₹0.88 in FY25. For the half year ended March 31, 2026, the company reported a net loss of ₹481.36 lakh on revenue of ₹0.86 lakh.

Board Decisions and Appointments

The Board of Directors, meeting on May 26, 2026, approved the audited financial results and re-appointed Mr. Omprakash Luthra as the internal auditor for FY 2026-27. The trading window, which had been closed since April 1, 2026, will reopen 48 hours after the conclusion of the board meeting. The meeting was convened pursuant to Regulation 30 and 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.