Shree Securities Limited reported a net loss of ₹2,739.14 lakh for the first quarter of FY26 (Q1FY26), ending June 30, 2026, compared to a net loss of ₹0.12 lakh in the same period last year. The Board of Directors approved the unaudited financial results on August 10, 2026, after postponing the meeting from August 4 due to delays in finalizing accounts. The significant loss was primarily driven by an exceptional item of ₹2,745 lakh, while revenue from operations increased to ₹66.70 lakh from ₹15.83 lakh in Q1FY25.

The company’s statutory auditors, R K Kankaria & Co., issued a limited review report under Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. In their report, the auditors highlighted an emphasis of matter regarding unsecured loans advanced to two parties totaling ₹3.15 crore at a concessional interest rate of 4% per annum, which is lower than prevailing bank rates. Additionally, the audit noted outstanding statutory dues, including TDS payable amounts ranging from ₹780 to ₹1.35 lakh that remained unpaid for over six months.

Financial Performance

Shree Securities saw its revenue from operations rise significantly to ₹66.70 lakh in Q1FY26, up from ₹15.83 lakh in Q1FY25. However, this growth was offset by a sharp increase in expenses. Total expenses stood at ₹60.84 lakh, compared to ₹15.95 lakh in the previous year’s corresponding quarter. Finance costs were the largest expense component at ₹38.75 lakh, followed by depository expenses of ₹11.91 lakh.

The profit before tax was negative ₹2,739.14 lakh, largely attributable to the exceptional item. Earnings per share (EPS) stood at ₹(0.343), compared to ₹(0.000) in Q1FY25. The company had no other operating income or gains from fair valuation of investments during the quarter.

Auditor Observations

R K Kankaria & Co., the statutory auditors, drew attention to specific balance sheet items in their review. They noted that Shree Securities had granted loans to Shreeji Shipping (₹2.00 crore) and Siddhi Marine Services LLP (₹1.15 crore) at 4% p.a. interest. This rate is below market standards, raising questions about related-party transaction fairness.

Furthermore, the auditors listed outstanding statutory dues as per Clause 3(vii)(a) of the Companies (Auditor's Report) Order, 2020 (CARO 2020). Outstanding TDS payables included ₹20,423 for AY 2023–24, ₹25,491 for AY 2025–26, and ₹1,35,024 for AY 2026–27. These amounts have been outstanding for more than six months. Shorter-term outstanding TDS payables included ₹1,43,786 and ₹3,63,781 for subsequent assessment years.

Shareholding Pattern

As of June 30, 2026, public shareholders held 79,79,98,000 shares, representing 100% of the shareholding. Promoter and promoter group shareholding was negligible, with only 2,000 non-encumbered shares held, accounting for 0.00% of total capital. No shares were pledged or encumbered by promoters. The company reported no investor complaints received, pending, or disposed of during the quarter.

Shree Securities Limited has appointed Gurdeep Singh as its Company Secretary and Compliance Officer, effective June 22, 2026. The Board of Directors approved the appointment during a meeting held on June 22, 2026, based on the recommendation of the Nomination & Remuneration Committee. Singh steps into the role to fill a casual vacancy created by the resignation of the previous Company Secretary and Compliance Officer.

The appointment designates Singh as a Key Managerial Personnel of the company in terms of Section 203 of the Companies Act, 2013, read with Rule 8 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, and Regulation 6 of the SEBI (Listing Obligation and Disclosure Requirement) 2015. He has also been designated as the Compliance Officer for compliance pursuant to Regulation 6(1) of the SEBI Listing Regulations and the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015.

Gurdeep Singh is a qualified Company Secretary and an Associate Member of the Institute of Company Secretaries of India (ICSI). His professional profile indicates extensive experience in corporate laws, secretarial compliances, corporate governance, regulatory affairs, board management, and compliance functions.

The decision was communicated to the stock exchanges in compliance with Regulation 30 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The filing was signed by Bhavya Dhiman, Managing Director & CEO of Shree Securities Limited.

Details of Appointment