Melstar narrows FY26 loss, appoints independent director

Melstar Information Technologies Limited narrowed its standalone net loss to ₹73.71 lakh for the financial year ended March 31, 2026, from a loss of ₹92.58 lakh in the previous year. The company reported a standalone profit of ₹44.72 lakh for the quarter ended March 31, 2026, compared to a loss of ₹62.63 lakh in the same period last year. Revenue from operations for the quarter stood at ₹75 lakh, while total expenses were ₹30.28 lakh. The Board of Directors approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, at a meeting held on May 25, 2026.

Pursuant to Regulation 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company published the audited financial results in Active Times (English) and Mumbai Lakshadeep (Marathi) on May 27, 2026.

Board and Committee Changes

The Board accepted the resignation of Mr. Rajnikant Patel as a Non-Executive & Independent Director effective May 24, 2026. Consequently, the Board appointed Ms. Ayushi Singh Bais as an Additional Director (Non-Executive & Independent) effective May 25, 2026, subject to shareholder approval. The company reconstituted its Audit Committee, Nomination and Remuneration Committee, Stakeholders Relationship Committee, and Risk Management Committee to include the new appointee.

Committee	Chairperson	Members
Audit Committee	Mr. Selvaraj Johnson	Ms. Rose Mary Vase, Mr. Vineet Goverdhan Shah, Mr. Tarun Kashyap, Ms. Ayushi Singh Bais
Nomination and Remuneration Committee	Mr. Selvaraj Johnson	Ms. Rose Mary Vase, Ms. Ayushi Singh Bais
Stakeholders Relationship Committee	Mr. Selvaraj Johnson	Ms. Rose Mary Vase, Mr. Vineet Goverdhan Shah, Mr. Tarun Kashyap, Ms. Ayushi Singh Bais
Risk Management Committee	Ms. Rose Mary Vase	Mr. Selvaraj Johnson, Mr. Vineet Goverdhan Shah, Mr. Tarun Kashyap, Ms. Ayushi Singh Bais

Auditor and Compliance Updates

M/s. CKSP & Co LLP, Statutory Auditors, issued a qualified opinion on the financial results. The qualification arises due to the company's history under the Insolvency and Bankruptcy Code (IBC) and its reliance on a going concern basis pending business licenses and clearances. The Board also accepted the resignation of M/s M. N. Kholiya & Associate as Internal Auditors and appointed M/s Saini & Saini, Chartered Accountants, as the new Internal Auditors for FY26. M/s. S. Talwar & Associates were re-appointed as Secretarial Auditors for FY 2025-26.

Financial Performance

The standalone financial results show a significant improvement in operational metrics. Employee benefit expenses for the quarter decreased to ₹14.12 lakh from ₹35.92 lakh in the prior year. The company reported a basic and diluted EPS of ₹1.60 for Q4FY26 compared to a negative EPS of ₹2.24 in Q4FY25. On a consolidated basis, the company reported a profit of ₹10.29 lakh for Q4FY26 but a net loss of ₹213.94 lakh for the full year.

Metric	Q4FY26 (₹ in Lakh)	Q4FY25 (₹ in Lakh)	FY26 (₹ in Lakh)	FY25 (₹ in Lakh)
Revenue from Operations	75.00	-	75.00	-
Total Expenses	30.28	62.63	148.71	92.58
Profit for the Period	44.72	(62.63)	(73.71)	(92.58)
Basic EPS (₹)	1.60	(2.24)	(2.64)	(3.31)

Melstar Information Technologies Limited has informed the stock exchanges of a change in the composition of its Board of Directors, following the resignation of Mr. Subhash Chandra Varshney as Non-Executive and Independent Director. The resignation takes effect from May 07, 2026, and has been disclosed in compliance with Regulation 30 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Board Composition Change

Mr. Subhash Chandra Varshney (DIN: 08657452) tendered his resignation citing preoccupation with other professional commitments and responsibilities. The disclosure was made by Vineet Goverdhan Shah, Managing Director (DIN: 01761772), on behalf of the company. The following table summarises the key details of the board change as disclosed:

Parameter:	Details
Name of Director:	Mr. Subhash Chandra Varshney
DIN:	08657452
Designation:	Non-Executive and Independent Director
Nature of Change:	Resignation
Effective Date:	May 07, 2026
Reason:	Preoccupation with other professional commitments

Committee Memberships Relinquished

Upon resignation, Mr. Varshney also stepped down from all committee memberships and positions held within the company. The committees from which he relinquished membership include:

Stakeholders Relationship Committee
Audit Committee
Nomination and Remuneration Committee
Any other committee(s) and position(s) held in any capacity

Confirmation of No Other Material Reasons

In his resignation letter addressed to the Board of Directors, Mr. Varshney categorically confirmed that his resignation was tendered solely on account of his professional commitments. He expressly stated that there are no other material reasons, circumstances, or factors of any nature, whether direct or indirect, that influenced or contributed to his decision. The company also confirmed, as required under the SEBI Master Circular No. HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated 30th January 2026, that no other material reasons exist beyond those provided in the resignation letter.

Regulatory Compliance

The disclosure was made in accordance with Regulation 30 of the SEBI Listing Regulations, along with the applicable SEBI Master Circular. The resignation letter, along with detailed reasons, has been enclosed as Annexure II to the regulatory filing, and the requisite disclosures under Annexure I have been provided to BSE Limited and the National Stock Exchange of India Ltd. The company has requested both exchanges to take the information on record.