Procal Electronics India Limited reported a net loss of ₹4.12 lakh for the financial year ended March 31, 2026, as its statutory auditors raised serious doubts about the company's ability to continue as a going concern. The Board of Directors approved the audited standalone financial results for the quarter and year ended March 31, 2026, at a meeting held on May 30, 2026. The filing was submitted to the Bombay Stock Exchange pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The company’s net worth has been fully eroded due to continuous losses, and it has not carried out any manufacturing or trading activities for several years. Current liabilities substantially exceed current assets, indicating significant financial stress. The manufacturing unit at Silvassa, along with movable and immovable assets, was under the possession of Canara Bank due to credit facilities classified as Non-Performing Assets. These assets were sold via e-auction for approximately ₹49.07 lakh, adjusted against outstanding dues, though auditors noted a lack of complete supporting documents to verify the accounting treatment.

Statutory auditors issued an adverse opinion on the financial statements, citing several material uncertainties. Key issues included the inability to verify the existence and valuation of inventories and fixed assets sold by the bank, the appropriateness of write-offs and write-backs of various balances, and the correctness of trade receivables and payables due to missing balance confirmations. Additionally, the company’s bank accounts were inoperative during the year due to pending KYC compliance, with certain expenses incurred by directors through personal accounts, preventing independent verification of those transactions.

Financial Performance for FY26

The company recorded total income of ₹114.48 lakh for the year, entirely comprising other income, as revenue from operations remained nil. Total expenses for the year stood at ₹118.60 lakh. The company reported a basic and diluted loss per share of ₹0.12 for the year. The paid-up equity share capital remained constant at ₹350 lakh.

The board also took on record the statement of assets and liabilities as of March 31, 2026, and the cash flow statement for the financial year. The audit report with an unmodified opinion on the audited financial results was adopted, although the broader financial statements received an adverse opinion. The company stated that it had no business operations during the year and incurred no employee benefit expenses, resulting in no impact from the new labour codes effective from November 21, 2025.

Procal Electronics India Limited has intimated that its Board of Directors will meet on Friday, May 29, 2026. The meeting is scheduled to be held at the company's registered office in Mumbai to discuss key financial matters.

Agenda for the Meeting

The primary purpose of the meeting is to consider the audited financial results for the quarter and financial year ended March 31, 2026. The board will also review the audit report issued by the statutory auditor regarding these results.

Key Business to be Transacted

The board is expected to deliberate on the following items:

• Consideration of the Audited Financial Results for the quarter and financial year ended March 31, 2026, pursuant to Regulation 33 of SEBI (LODR) Regulations, 2015.
• Review of the Audit Report issued by the Statutory Auditor on the said financial results.
• Any other matters with the permission of the chairman.

The meeting follows the requirements of Regulation 29 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.