Praveg Limited reported a consolidated net loss of ₹9.97 crore for the financial year ended March 31, 2026, a reversal from the net profit of ₹16.05 crore recorded in the previous year. The company's consolidated total income for the year rose to ₹242.44 crore from ₹174.43 crore in FY25. Despite the topline growth, the bottom line was impacted by increased finance costs and exceptional items. The Board of Directors has recommended a final dividend of ₹0.50 per equity share for the fiscal year, subject to shareholder approval.

Financial Performance Overview

The audited financial results for FY26 reveal a challenging year for the company's consolidated operations. While total income increased to ₹242.44 crore from ₹174.43 crore in the prior year, total expenses surged to ₹246.68 crore from ₹153.45 crore. A significant factor in the annual loss was the inclusion of exceptional items amounting to ₹91.28 lakh. Additionally, finance costs for the year escalated to ₹14.49 crore compared to ₹8.05 crore in FY25, further pressuring margins.

The following table summarises the key consolidated financial metrics for the year ended March 31, 2026:

Quarterly and Segment Performance

For the quarter ended March 31, 2026 (Q4FY26), the company reported a net loss of ₹4.93 crore, compared to a net profit of ₹3.33 crore in the corresponding quarter of the previous year. Total income for Q4FY26 stood at ₹74.02 crore, up from ₹59.29 crore in Q4FY25. Segment-wise, the Hospitality and Event division generated revenue of ₹54.36 crore for the quarter, while the Advertisement segment contributed ₹19.24 crore. The company manages 825+ rooms across 17 operational resorts and one hotel.

Dividend and Corporate Actions

The Board of Directors, at its meeting held on May 29, 2026, recommended a final dividend of ₹0.50 per equity share of face value ₹10 each for FY26. This dividend is subject to the approval of shareholders at the ensuing Annual General Meeting. Additionally, the Board granted 5,076 stock options to an eligible employee under the Praveg Employee Stock Option Plan 2024.

Auditor's Report and Compliance

The statutory auditors, M/s. KPSJ & Associates LLP, issued an unmodified opinion on the audited consolidated and standalone financial results for the year ended March 31, 2026. The financial statements were prepared in compliance with the Indian Accounting Standards prescribed under Section 133 of the Companies Act, 2013. Dharmendra Manilal Soni, Chief Financial Officer, provided the necessary declaration confirming the auditors' unmodified opinion pursuant to Regulation 33(3)(d) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Praveg Limited has disclosed that it received an order from the Office of the State Tax Officer (GST), Kerala, imposing a financial penalty. The communication, dated May 20, 2026, was formally received by the company on May 23, 2026. The order was issued under the provisions of Section 129(3) of the Central Goods and Services Tax Act, 2017.

Details of the Violation

The regulatory disclosure outlines that the penalty stems from alleged violations concerning the transportation of taxable goods. Specifically, the authorities allege contraventions of Rule 138, Rule 46, and Rule 48, read with Section 31 of the CGST Act, 2017. These rules generally pertain to the documentation required for the movement of goods and the generation of tax invoices.

Financial Impact and Response

The order imposes a monetary penalty of ₹3,67,272 on the company. In response to the development, Praveg Limited has confirmed that it is currently in the process of filing an appeal against the order. The company intends to challenge the penalty before the appropriate appellate authority.

The following table summarizes the key details of the order: