New Markets Avenue reported a net loss of ₹25.49 lakh for the quarter ended June 30, 2026, reversing a profit position from the corresponding period last year. The Mumbai-based financial services firm posted no revenue from operations, relying entirely on ₹1.80 lakh in other income to generate total revenue. This stands in sharp contrast to the previous quarter, where the company also reported zero operational revenue but incurred lower overall costs.

The widening loss was driven by a significant spike in operating expenses, which totaled ₹27.29 lakh for the quarter. Employee benefits expense alone accounted for ₹18.60 lakh, more than double the ₹8.85 lakh reported in the preceding quarter. Other expenses also nearly doubled to ₹8.66 lakh from ₹4.01 lakh. The Board of Directors approved these unaudited financial results on August 11, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance

The company’s basic and diluted earnings per share (EPS) stood at ₹(0.52), down from a positive EPS of ₹0.63 in the same quarter of the previous fiscal year. For the full fiscal year ended March 31, 2026, New Markets Avenue had reported a net loss of ₹31.75 lakh against total revenue of ₹19.59 lakh.

Fund Utilization Disclosure

Alongside the financial results, the company filed a statement on deviation or variation in the utilization of funds raised under Regulation 32 of the SEBI Listing Regulations. The firm raised ₹5,02,50,000 through a preferential issue on November 27, 2025, primarily for working capital requirements and pre-operating expenses.

As of June 30, 2026, the company utilized ₹2,64,18,489 of the raised funds. The breakdown includes ₹30,66,569 for pre-operative expenses and ₹1,10,84,881 for working capital used for business purposes. Additional expenditures covered salary, RTA payments, software and technology costs, and exchange fees. The company reported no deviation or variation in the use of funds, and no monitoring agency was appointed for this fundraising exercise.

What the Numbers Show

The complete absence of revenue from operations in Q1FY27, combined with a doubling of employee benefits expense, suggests ongoing structural costs despite a lack of business activity. The reliance on other income for total revenue highlights a gap between the company’s operational output and its cash burn rate. With over half of the raised preferential issue funds already deployed towards pre-operative and working capital needs, the pressure to generate operational revenue will intensify in subsequent quarters.

New Markets Avenue will convene a board meeting on July 4, 2026, to consider the conversion of 53,00,000 convertible warrants into equity shares. The conversion will be executed at a face value of ₹10 each on a preferential basis to non-promoters. This decision follows a special resolution passed by shareholders at an Extraordinary General Meeting held on July 31, 2025, and subsequent in-principle approval from the BSE dated October 20, 2025.

The meeting will also deliberate on the appointment of M/s. Ramesh Chandra Bagdi & Associates as the secretarial auditor for the company. The agenda includes any other matters with the permission of the chair.

The table below details the warrant holders and the proposed conversion:

The board meeting is scheduled to take place at the company's registered office in Mumbai. The conversion of warrants will increase the company's equity share capital.