Modern Shares & Stockbrokers Limited has scheduled its 87th Annual General Meeting (AGM) for Tuesday, September 08, 2026, at 11:30 a.m. IST, to be conducted through Video Conferencing or Other Audio Visual Means (OAVM). The meeting aims to transact ordinary business, including the adoption of audited financial statements for FY25-26, and special business concerning key board appointments. This governance update is critical for shareholders as it involves a regulatory waiver for the Chairman’s tenure and the retention of a long-serving director.

The Board has proposed a special resolution under Regulation 17(1A) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2018, to continue Mr. Pankaj R Ved as Chairman & Non-Executive Independent Director. Mr. Ved will attain the age of 75 years on June 02, 2027. The explanatory statement notes that his continuation is in the interest of the company due to his valuable expertise. Additionally, shareholders are asked to reappoint Mr. Narendra H Advani as a Non-Executive Director, who retires by rotation and has offered himself for reappointment. Both directors drew nil remuneration during the year.

Shareholders holding shares as of the cut-off date, Tuesday, September 01, 2026, are eligible to vote. The remote e-voting period commences at 9:00 a.m. on Thursday, September 03, 2026, and ends at 5:00 p.m. on Monday, September 07, 2026. The Register of Members and Share Transfer Books will remain closed from Tuesday, September 01, 2026, to Tuesday, September 08, 2026, inclusive, to determine voting eligibility and update the register. Physical attendance is dispensed with; participation is strictly via VC/OAVM.

Key Governance and Financial Highlights

The financial statements for the year ended March 31, 2026, were audited by B D G & Co LLP, who issued an unqualified opinion. The company reported no cash losses during the current or immediately preceding financial year. Net fixed assets stood at ₹11.77 lakhs as of March 31, 2026, compared to ₹10.10 lakhs in the previous year. The company has not accepted any public deposits under Section 73 of the Companies Act, 2013, though it holds exempt deposits from Axis Bank Limited amounting to ₹19.50 lakhs.

What the Numbers Show

The company’s asset base remains modest, with net fixed assets increasing marginally from ₹10.10 lakhs to ₹11.77 lakhs year-on-year. This stability aligns with the firm’s service-oriented business model in stock broking, which does not require heavy capital expenditure. The high dematerialisation rate of 98.65% indicates strong compliance with market norms and reduced operational risk associated with physical share certificates. The absence of cash losses and the clean audit report suggest stable operational health despite the small scale of fixed assets.

Procedurally, the company has appointed Anil Jani, Practicing Company Secretary, as the Scrutinizer for the e-voting process. Institutional shareholders must submit scanned copies of board resolutions authorizing their representatives to vote via email to the Scrutinizer and the company’s compliance department. The results of the poll, along with the Scrutinizer’s Report, will be uploaded on the company’s website and communicated to BSE Limited within two working days of the meeting’s conclusion.

Modern Shares & Stockbrokers returned to profitability in the first quarter of FY27, reporting a net profit of ₹5.95 lakh for the period ended June 30, 2026. This stands in contrast to the net loss of ₹6.20 lakh recorded in the immediately preceding quarter ended March 31, 2026. The turnaround was supported by an 18% quarter-on-quarter rise in total revenue from operations to ₹86.71 lakh, while year-on-year revenue declined 12% from ₹99.05 lakh in Q1FY26.

The Board of Directors approved the unaudited standalone financial results during their meeting held on July 28, 2026. The results were reviewed by the Audit Committee and subjected to a limited review by the statutory auditors, M/s B D G & Co LLP, in compliance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The financial statements were prepared in accordance with Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Companies Act, 2013.

Financial Performance Highlights

The company’s operational performance showed improvement in key revenue streams compared to the previous quarter. Brokerage and commission income, the primary driver of top-line growth, rose to ₹59.86 lakh from ₹51.88 lakh in Q4FY26. However, this figure remains below the ₹73.65 lakh recorded in the same quarter last year. Interest income remained stable at ₹19.39 lakh, while dividend income was negligible.

Total expenses decreased slightly to ₹79.68 lakh from ₹82.08 lakh in the previous quarter. Employee benefit expenses contributed significantly to the cost structure at ₹41.74 lakh, followed by administrative and other expenses at ₹36.52 lakh. Finance costs remained low at ₹0.55 lakh. The company incurred no net loss on fair value changes in the current quarter, unlike the ₹8.93 lakh loss recorded in Q4FY26.

What the Numbers Show

The shift from loss to profit in Q1FY27 is primarily attributable to the absence of fair value losses that impacted the previous quarter, alongside a modest increase in brokerage income. While the company achieved profitability, the net profit margin remains thin at approximately 6.9%, compared to 15% in Q1FY26. This divergence suggests that while operational efficiencies helped stabilize the bottom line, the overall scale of operations has contracted year-on-year. The earnings per share stood at ₹0.17, a significant improvement from the negative ₹0.42 in the prior quarter but lower than the ₹0.46 recorded a year ago.

Legal and Regulatory Updates

The filing disclosed ongoing litigation involving Bata India Limited. Modern Shares & Stockbrokers Limited had obtained an order from the Court of Small Causes at Bombay regarding mesne profits in T.E. Suit No. 146/192 of 2009. Bata India Limited appealed against this order, securing a stay conditional on depositing mesne profits as directed by the Court of Small Causes. An appeal filed by Bata India Limited with the Hon'ble High Court of Bombay against the order remains pending. The company stated there are no separate reportable segments as per Ind AS 108.