Konndor Industries Limited posted a net loss of ₹4.11 lakh in FY26, reversing a net profit of ₹64.98 lakh recorded in the previous fiscal year. Total revenue contracted sharply to ₹190.20 lakh from ₹900.16 lakh in FY25, marking a significant decline in top-line performance.

The company’s total expenses stood at ₹194.31 lakh for the year under review, compared to ₹811.92 lakh in the prior year. Despite the reduction in absolute expenses, the steep drop in revenue resulted in a loss before taxes of ₹4.11 lakh, whereas the company had earned a pre-tax profit of ₹88.24 lakh in FY25.

Strategic shifts and governance changes

The Board has recommended shifting the registered office from Gujarat to Maharashtra to enhance administrative efficiency and operational management. This move requires approval from the Central Government and the Registrar of Companies. Additionally, shareholders are being asked to approve an alteration to the Memorandum of Association to expand the company’s object clause. The new objectives include construction, development, and operation of residential and commercial complexes, hotels, resorts, logistics parks, and infrastructure projects such as roads, bridges, and power facilities.

Governance structures saw notable changes during FY26. The Board comprised five directors as of March 31, 2026, including one Whole-time Director, two Non-Executive Promoter Directors, and two Independent Directors. Mr. Anis Nizam Khan was appointed as Chief Financial Officer effective January 5, 2026. The company held eight board meetings during the year following a change in management, with four meetings by the Audit Committee.

Compliance observations

The Secretarial Audit Report highlighted several non-compliances during the period. These included the absence of a Whole-time Company Secretary for a certain duration, inadequate maintenance of the Structured Digital Database (SDD) as per SEBI regulations, and delays in quarterly compliances with stock exchanges. Management stated that steps are being taken to appoint a qualified Company Secretary and strengthen compliance mechanisms.

What the Numbers Show

The financial data reveals a stark divergence between revenue contraction and expense reduction. While total expenses decreased by approximately 76% (from ₹811.92 lakh to ₹194.31 lakh), revenue fell by roughly 79% (from ₹900.16 lakh to ₹190.20 lakh). This indicates that the cost base did not shrink proportionally with the collapse in sales volume, leading to the swing from profitability to loss. Furthermore, the company reported no dividend payout due to these losses, and no amount was transferred to reserves during the fiscal year.

Konndor Industries reported a net loss of ₹4.11 lakh for the financial year ended March 31, 2026, reversing a profit of ₹64.98 lakh in the previous year. The company’s total revenue fell sharply to ₹190.20 lakh from ₹900.16 lakh in FY25.

The Board of Directors scheduled its 43rd Annual General Meeting for September 30, 2026. Shareholders will vote on the re-appointment of Whole-time Director Shafi Khan and a special resolution to shift the registered office from Gujarat to Maharashtra.

Financial Performance

Revenue from operations dropped to ₹181.79 lakh in FY26, down from ₹888.38 lakh in FY25. Total expenses decreased proportionally to ₹194.31 lakh from ₹811.92 lakh. Other income stood at ₹8.41 lakh, compared to ₹11.78 lakh previously.

The company did not declare any dividend for the year due to losses. No amount was transferred to reserves.

What the Numbers Show

The financial data reveals a significant divergence between revenue decline and asset accumulation. While revenue contracted by over 78%, the balance sheet expanded to ₹1,203.93 lakh from ₹1,039.01 lakh. This growth was driven primarily by non-operating items: advances to suppliers surged to ₹897.14 lakh from ₹653.78 lakh, and loans to others increased to ₹218.00 lakh from ₹164.61 lakh. Meanwhile, cash and cash equivalents plummeted to ₹2.11 lakh from ₹51.44 lakh, indicating liquidity pressure despite the asset base expansion.

Audit Qualifications

Statutory auditors Chandabhoy & Jassoobhoy issued a qualified opinion on the standalone financial statements. The report highlighted several material weaknesses:

• Unsecured loans of ₹224.15 lakh lacked interest agreements or cross-confirmations.
• An outstanding loan balance of ₹195.00 lakh had no transaction history or confirmation.
• Advances to suppliers totaling ₹897.14 lakh lacked supporting agreements.
• Sales invoices, E-Way Bills, and delivery challans were unavailable for verification.
• No fixed assets register was maintained, impairing verification of asset existence.

The auditors also noted that proper books of account had not been kept as required by law. They expressed concern regarding the company's ability to meet liabilities falling due within one year.

Corporate Governance Updates

The secretarial audit report by Utkarsh Shah & Co flagged multiple compliance lapses, including the absence of a whole-time Company Secretary for part of the year and delays in quarterly filings with stock exchanges. The company stated it is implementing measures to rectify these issues.

Mr. Anis Nizam Khan was appointed as Chief Financial Officer effective January 5, 2026. The Board comprised five directors as of March 31, 2026, including two independent directors.