Jalan Transolutions (India) Limited reported a return to profitability for the financial year ended March 31, 2026, posting a net profit of ₹1.38 lakh against a net loss of ₹187.87 lakh in the previous year. The logistics service provider recorded revenue from operations of ₹228.67 lakh, a significant increase from the ₹78.82 lakh reported in FY25. The company's total income for the year stood at ₹228.70 lakh.

The Board of Directors reviewed and approved the audited financial results following the company's exit from the Corporate Insolvency Resolution Process (CIRP) on August 21, 2025. The reinstated board governs the company in accordance with the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. APT & Co. LLP, the statutory auditors, audited the results.

Despite the return to profit, the company faces significant financial stress. The standalone balance sheet reveals a negative net worth of ₹4,189.51 lakh as of March 31, 2026. Current liabilities of ₹3,486.43 lakh significantly exceed current assets of ₹84.25 lakh. The company has defaulted on the repayment of principal and interest for its borrowings during the year.

Financial Performance

The company's total expenses for FY26 amounted to ₹223.02 lakh, down from ₹361.86 lakh in the prior year. Finance costs decreased substantially to ₹0.33 lakh from ₹233.35 lakh in FY25. The profit before tax for the year was ₹1.38 lakh, compared to a loss before tax of ₹187.87 lakh in the previous year. Basic earnings per share (EPS) improved to ₹0.01 from a negative ₹1.29 in FY25.

Audit Qualifications and Going Concern

The statutory auditors issued a qualified opinion on the financial results. The report highlights material uncertainty regarding the company's ability to continue as a going concern due to its negative net worth and eroded net assets. Additionally, the auditors noted that the company has not established internal financial controls with reference to financial statements based on the essential components of internal control stated in the Guidance Note.

During the year, the company entered into a One-Time Settlement (OTS) with Union Bank of India for ₹21.62 crore. Promoters provided ₹7.50 crore through unsecured loans to fund this settlement. However, as the final No Objection Certificate (NOC) from the bank was pending at the year-end, the accounting impact of the settlement was not recognized, and the balance liability of ₹14.12 crore remains reflected in the financial statements. The auditors also noted that certain trade receivables, payables, and borrowings are subject to confirmation and reconciliation, with supporting documents not made available for verification.

Jalan Transolutions (India) Limited has initiated a postal ballot process to seek shareholder approval for two key resolutions. The company aims to rescind a previous resolution passed in November 2025 regarding the increase in authorized share capital and to regularize the appointment of Mr. Sanjay Sharma as an Independent Director. The remote e-voting process is scheduled to commence on May 23, 2026, and conclude on June 22, 2026.

Rescinding Share Capital Resolution

The board proposes to rescind the resolution previously passed to increase the authorized share capital from ₹22,00,00,000 to ₹45,00,00,000. The original resolution, passed during the company's 21st Annual General Meeting held in November 2025, intended to alter the Memorandum of Association to facilitate this capital increase. The board now recommends withdrawing this decision.

Regularisation of Director Appointment

Shareholders are also requested to approve the regularisation of Mr. Sanjay Sharma (DIN: 08060165) as an Independent Director. He was initially appointed as an Additional Director, and his appointment is subject to member approval. If approved, he will hold office for a term of five years from the date of his initial appointment.

E-Voting Schedule and Process

The company has appointed Manish Kumar and Associates as the Scrutinizer to oversee the postal ballot process. The cut-off date to determine shareholder eligibility was May 15, 2026. The e-voting facility will be available through NSDL, and members must cast their votes remotely. The notice for the postal ballot was published in the Financial Express (English) and Jansatta (Hindi) on May 23, 2026.