Purshottam Investofin reported a net loss of ₹179.42 lakh for the financial year ended March 31, 2026, a significant deterioration from the ₹36.84 lakh loss recorded in FY25. Total revenue declined 7.1% year-on-year to ₹717.92 lakh, driven by lower interest income and substantial fair value losses on trading assets.

The non-banking financial company (NBFC) executed a major capital raise during the period, issuing unsecured non-convertible debentures (NCDs) worth ₹30 crore. This move substantially increased total debt to ₹5,041.15 lakh, pushing the debt-to-equity ratio from 0.45 in FY25 to 0.91 in FY26. Despite the higher leverage, cash and cash equivalents surged to ₹1,482.32 lakh from just ₹42.22 lakh a year earlier.

Financial Performance

The company's core lending business saw interest income fall 16.1% to ₹641.71 lakh, down from ₹764.85 lakh in the prior year. While finance costs decreased significantly to ₹173.35 lakh from ₹279.29 lakh, this benefit was overwhelmed by a ₹493.79 lakh net loss on fair value changes. This loss stems primarily from unrealized declines in the company's securities held for trade and derivative positions.

Other income provided a partial offset, rising sharply to ₹76.03 lakh from ₹7.95 lakh, largely due to advisory and consultancy services revenue of ₹73.25 lakh. However, operating expenses remained elevated at ₹104.05 lakh, including ₹77.15 lakh in employee benefits and ₹151.93 lakh in depreciation.

Balance Sheet & Capital Structure

Total assets expanded by 27.5% to ₹10,612.25 lakh, supported by the new debt inflow and an increase in investments to ₹1,012.98 lakh. Loans outstanding remained relatively stable at ₹6,385.92 lakh (net), with gross loans standing at ₹6,430.49 lakh.

The impairment allowance on financial instruments reversed to a credit of ₹47.01 lakh, compared to a charge of ₹96.26 lakh in FY25. Gross non-performing assets (NPA) declined to ₹37.94 lakh from ₹79.56 lakh, indicating improved asset quality within the loan book.

What the Numbers Show

The divergence between the sharp rise in other income and the decline in core interest income highlights a shift in revenue composition. Advisory fees now constitute nearly 10.6% of total revenue, up from less than 1% in the previous year. Simultaneously, the heavy reliance on debt financing—evidenced by the doubling of the debt-to-equity ratio—suggests the company is leveraging its balance sheet to fund liquidity or investment activities rather than organic loan growth.

Corporate Actions & Governance

The Board did not recommend a dividend for FY26, opting to retain resources for future growth opportunities. Mr. Sahib Singh Gusain retires by rotation at the upcoming 37th Annual General Meeting (AGM) on September 30, 2026, and offers himself for re-appointment. The AGM will also seek shareholder approval for related party transactions with Prabhushar Algotech Private Limited up to ₹7 crore and alterations to the object clause of the Memorandum of Association.

Prabhusr Algotech Private Limited has acquired a 7.72% stake in Purshottam Investofin Limited through open market purchases. The transaction involved the acquisition of 5,72,869 equity shares, bringing the entity's total holding to 11.70%.

The acquisition was disclosed to BSE Limited on September 1, 2026, pursuant to Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The bulk of the share purchase occurred on August 31, 2026, with smaller transactions recorded on August 26 and 27, 2026.

Acquisition Details

The acquirer, Prabhusr Algotech Private Limited (formerly Pranidhi Ventures Private Limited), acted in concert with Pramod Kumar Jain and Vinita Jain. The following table outlines the change in shareholding:

No shares were encumbered or pledged as part of this transaction. The total voting capital of Purshottam Investofin remains unchanged at ₹7,42,32,950, comprising 74,23,295 equity shares of face value ₹10 each.

What the Numbers Show

The acquisition significantly consolidates control within the promoter group. By increasing its individual stake from 3.98% to 11.70%, Prabhusr Algotech now holds more than double the voting rights compared to its pre-acquisition position. The combined group holding of 12.91% represents a substantial increase from the previous 5.19%, indicating a deliberate move to strengthen ownership concentration through open market activity rather than preferential allotment.