Royal India Corporation Ltd has rectified an inadvertent error in its Independent Auditor's Report for the financial year ended March 31, 2026, changing the audit opinion from Qualified to Unmodified. The company submitted the revised report to the BSE on June 12, 2026, following a notification from its statutory auditors, RAKCHAMPS & Co. LLP, regarding a clerical and copy-paste error in the document filed on May 30, 2026. The correction ensures the report accurately reflects the auditors' conclusion on the consolidated financial statements.

The Board of Directors had approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, on May 30, 2026. The results, prepared in accordance with Indian Accounting Standards (Ind AS), were initially accompanied by the erroneous auditor's report. The revised filing includes the corrected Independent Auditor's Report for the consolidated financial statements, along with a clarification letter from the auditors.

For the financial year ended March 31, 2026, the company reported a consolidated profit of ₹5214.14 lakh, compared to ₹1082.73 lakh in the previous year. Total income rose to ₹12309.61 lakh from ₹22273.07 lakh in the prior year. The standalone financial results showed a profit of ₹5300.25 lakh for the current year, up from ₹1082.73 lakh in the previous year.

The auditors identified allowance for credit losses and inventory valuation as key audit matters. They drew attention to a provision created towards compensation payable, as per management's assessment, and its consequential financial impact on liabilities as at March 31, 2026. The auditors confirmed that the company has adequate internal financial controls over financial reporting that were operating effectively as of the balance sheet date.

The company reported that it had earned a cash profit in the financial year 2025-26 and the immediately preceding financial year 2024-25. Additionally, the auditors stated that no material uncertainty exists regarding the company's ability to meet its liabilities within a period of one year from the balance sheet date.

Royal India Corporation Limited reported a standalone profit of ₹5300.25 lakh for the financial year ended March 31, 2026, a significant increase from ₹1082.73 lakh in the previous year. The Board of Directors approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026, at a meeting held on May 30, 2026. M/s. Rakchamps & Co. LLP, the Statutory Auditors, issued an unmodified audit report on the standalone financial statements, while the consolidated financial statements received a qualified opinion due to internal control deficiencies and subsidiary transactions. The company published an extract of these audited results in the Financial Express and Mahasagar newspapers on June 1, 2026, pursuant to Regulation 30 and 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance

The standalone financial results for the year ended March 31, 2026, show a revenue from operations of ₹4605.48 lakh, down from ₹22002.13 lakh in the previous year. Profit before tax for the year stood at ₹7778.50 lakh, compared to ₹1148.50 lakh in the prior year. The company reported basic earnings per share (EPS) of ₹4.42 for the current year, compared to ₹0.99 in the previous year.

Consolidated Results and Audit Observations

For the consolidated financial statements, the company reported a profit of ₹5214.14 lakh for the year ended March 31, 2026, compared to ₹1082.73 lakh in the previous year. The auditors issued a qualified opinion on the consolidated results, citing that the company did not maintain adequate documentation of internal financial controls for key business processes such as Payroll, Fixed Assets, Purchases, and Cash & Bank. This deficiency was identified as a material weakness. Additionally, the auditors noted that the financial statements of a subsidiary, reflecting total assets of ₹2293.06 lakhs and a total loss of ₹103.34 lakhs, were audited by other auditors.

Board Decisions and Compliance

Alongside the financial results, the Board re-appointed M/s. M. Borar & Co., Chartered Accountants, as the Internal Auditor for the financial year 2026-2027. The Board also noted the Secretarial Compliance Report issued by M/s. Mayank Arora & Co. The company confirmed that it has earned cash profit in the financial year 2025-26 and the immediately preceding financial year 2024-25. The auditors confirmed that no material uncertainty exists regarding the company's ability to continue as a going concern.