Shree Rajeshwaranand Paper Mills Limited scheduled its 35th Annual General Meeting for September 26, 2026, to adopt the financial results for FY26 and address critical corporate governance matters following its exit from the Corporate Insolvency Resolution Process (CIRP).

The Gujarat-based paper manufacturer reported a net loss of ₹30.46 lakh for the fiscal year ended March 31, 2026, a significant improvement from the ₹7,237.38 lakh loss recorded in FY25. The company generated negligible operational revenue, with total income standing at just ₹0.02 lakh, primarily derived from non-operational sources such as fixed deposit interest.

Financial Performance and Balance Sheet Signals

The reduction in the net loss was largely driven by the absence of exceptional items in FY26. In the previous fiscal year, the company recognized exceptional losses of ₹6,008.32 lakh due to asset write-offs and liability adjustments required under the approved Resolution Plan. For FY26, total expenses amounted to ₹30.47 lakh, comprising employee benefits of ₹4.28 lakh and other expenses of ₹26.20 lakh.

The balance sheet reflects a debt-free position with zero borrowings as of March 31, 2026, compared to ₹28.51 lakh in short-term borrowings in the prior year. Total assets stood at ₹540.73 lakh, dominated by property, plant, and equipment valued at ₹538.71 lakh. Cash and cash equivalents declined to ₹0.13 lakh from ₹29.19 lakh in FY25.

What the Numbers Show

The company's equity structure underwent a drastic contraction during FY26 as part of the NCLT-approved Resolution Plan. Issued share capital fell from ₹1,245.00 lakh (12,450,000 shares) in FY25 to just ₹65.74 lakh (657,429 shares) in FY26. This capital reduction involved the cancellation of promoter shares and a consolidation ratio of 6:100 for public shareholders, resulting in a transfer of ₹11,792.57 lakh to the capital reserve account. Despite this restructuring, total equity remained negative at ₹-3,635.80 lakh due to accumulated past losses.

Corporate Governance and Regulatory Updates

The Hon'ble National Company Law Tribunal (NCLT), Ahmedabad Bench, granted the company an extension until September 27, 2026, to convene the AGMs for both FY24-25 and FY25-26. This extension acknowledges the procedural delays associated with implementing the Resolution Plan and modifying the shareholding structure.

Key agenda items for the upcoming AGM include:

• Adoption of the audited financial statements for FY26.
• Re-appointment of Mr. Pratik Ramjibhai Kakadia as a director upon retirement by rotation.
• Appointment of M/s. H. L. Saini & Co., Chartered Accountants, as statutory auditors to fill the casual vacancy left by M/s. K P J & Co.

Trading in the company's shares remains suspended on the BSE pending final approval for the new ISIN and trading permissions under the reduced capital structure. The management has filed the necessary applications for revocation of suspension and expects to resume operations in a phased manner once regulatory clearances are obtained.

Shree Rajeshwaranand Paper Mills Limited appointed M/s. H. L. Saini & Co. as its statutory auditor following the resignation of K P J & Co. The change, effective September 1, 2026, addresses a casual vacancy in the auditor’s office.

The Board of Directors approved the appointment during its meeting held on September 1, 2026. The new firm will hold office until the conclusion of the ensuing Annual General Meeting (AGM). Shareholders are expected to regularize this appointment at the AGM for FY27.

Auditor Resignation Details

K P J & Co., Chartered Accountants (FRN: 132942W), resigned from the position of statutory auditor with immediate effect. The firm cited preoccupation with other professional commitments as the reason for stepping down. In its resignation letter dated September 1, 2026, K P J & Co. confirmed there were no other circumstances requiring disclosure to shareholders or creditors.

The outgoing auditors had been appointed for the financial years 2024-25 and 2025-26 via a letter dated February 6, 2025.

New Auditor Profile

M/s. H. L. Saini & Co. is a Mumbai-based partnership firm established in 2013. Registered with the Institute of Chartered Accountants of India (ICAI) under FRN 136961W, the firm is headed by CA H. L. Saini. Its services include statutory audits, tax advisory, and insolvency-related assignments for listed and unlisted corporate entities.

NCLT Order on AGM Extension

The National Company Law Tribunal (NCLT), Ahmedabad Bench, granted the company a one-month extension to conduct its AGMs for FY25 and FY26. The order, passed on August 27, 2026, relates to proceedings under Section 97 of the Companies Act, 2013.

The NCLT noted that procedural formalities are being completed following the approval of the resolution plan and shareholding modifications. The company had previously obtained approval from BSE Limited for these changes. The Board has approved draft notices for the combined AGMs, which will be submitted to the exchange in due course.