Precision Metaliks Limited has confirmed that its promoters did not create any encumbrance on their shareholding, directly or indirectly, during the financial year ended March 31, 2026. This disclosure was submitted to the National Stock Exchange of India Limited under Regulation 31(4) and 31(5) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The confirmation ensures that the promoter holding remains free from charges such as pledges or liens, which is critical for maintaining corporate governance standards and investor confidence.

The filing detailed the shareholding of the promoter group as of the specified date. The total promoter holding stands at 95,30,800 shares. Devarapalli Ramesh Babu, Whole-Time Director, signed the disclosure on behalf of the company on April 7, 2026.

Promoter Shareholding Details

The following table outlines the shareholding of the promoters as per the disclosure:

The absence of encumbrance indicates that the promoters have not utilized their shareholding as collateral for borrowing purposes during FY26. This stability in ownership structure is often viewed positively by the market as it reduces the risk of involuntary stake sales due to margin calls or defaults.

Precision Metaliks Limited reported a net loss of ₹930.82 lakh for the year ended March 31, 2026, reversing the profit of ₹79.41 lakh recorded in the previous fiscal year. The company's revenue from operations fell to ₹1,046.31 lakh in FY26 from ₹12,712.92 lakh in FY25. The financial performance was adversely impacted by a default from a major customer and a subsequent halt in production, raising concerns about the company's ability to continue as a going concern.

The Board of Directors approved the audited standalone financial results for the half-year and year ended March 31, 2026 at a meeting held on May 30, 2026. PPKG & Co, Chartered Accountants, issued an audit report with an unmodified opinion on the standalone financial results. However, the auditors highlighted significant uncertainties, noting that the production process has come to a halt and that the company's ability to continue as a going concern is subject to uncertainty.

Total expenses for the year increased to ₹2,396.26 lakh from ₹13,075.19 lakh in the previous year. The company reported a loss on foreign exchange of ₹819.33 lakh compared to ₹28.76 lakh in FY25. Finance costs also rose to ₹346.29 lakh from ₹376.69 lakh in the prior year. The basic and diluted earnings per share (EPS) stood at (₹4.05) for FY26, compared to ₹0.35 in the previous year.

The balance sheet as of March 31, 2026, showed total assets of ₹17,321.64 lakh, a decrease from ₹21,222.74 lakh in the previous year. Cash and cash equivalents plummeted to ₹48.72 lakh from ₹4,123.75 lakh at the end of FY25. Trade receivables stood at ₹14,438.04 lakh, while short-term borrowings reduced significantly to ₹123.11 lakh from ₹3,939.39 lakh.

The cash flow statement revealed a net decrease in cash and cash equivalents of ₹4,075.03 lakh during the year. Net cash used in operating activities was ₹4,147.34 lakh. The company confirmed that there was no deviation or variation in the use of proceeds raised through the preferential issue of equity shares, which amounted to ₹3,216.00 lakh.

Financial Performance for FY26