SPEL Semiconductor FY26 loss widens; removes CFO
SPEL Semiconductor Limited reported a widened net loss of ₹2,384.11 lakh for the fiscal year ended March 31, 2026, alongside a decline in revenue from operations to ₹628.00 lakh. The board approved the audited results, continued the suspension of factory operations, and removed the Chief Financial Officer. The statutory auditors issued a qualified opinion highlighting material uncertainties regarding the company's status as a going concern.
*this image is generated using AI for illustrative purposes only.
SPEL Semiconductor Limited has reported a net loss of ₹2,384.11 lakh for the fiscal year ended March 31, 2026. The company's board approved the audited financial results during a meeting held on May 19, 2026. The performance reflects operational challenges, including the suspension of factory operations and the breakdown of major plant and machinery during the fourth quarter.
Financial Performance
For the year ended March 31, 2026, the company recorded a total income of ₹853.07 lakh, compared to ₹951.90 lakh in the previous fiscal year. Revenue from operations declined to ₹628.00 lakh from ₹786.42 lakh in the prior year. Total expenditure for the period was reported at ₹13,548.88 lakh. Consequently, the company reported a basic and diluted earnings per share (EPS) of (₹5.17) for the year.
| Metric | FY 2025-26 (₹ in Lakhs) | FY 2024-25 (₹ in Lakhs) |
|---|---|---|
| Revenue from Operations | 628.00 | 786.42 |
| Total Income | 853.07 | 951.90 |
| Total Expenditure | 13,548.88 | 17,575.70 |
| Net Profit/(Loss) | (2,384.11) | (2,104.56) |
| Earnings Per Share | (5.17) | (4.56) |
Auditor's Qualified Opinion
The statutory auditors, Venkatesh & Co., issued a qualified opinion on the standalone financial results. The qualification centers on material uncertainties that cast significant doubt on the company's ability to continue as a going concern. Key factors cited include the company's history of incurring losses and generating negative cash flows, significant reduction in employee strength due to resignations, and the breakdown of critical plant and machinery which halted production activities in the fourth quarter.
Additionally, the auditors noted that trade receivables amounting to ₹58.76 lakh and trade payables amounting to ₹326.98 lakh as of March 31, 2026, are subject to confirmation and reconciliation. The absence of independent balance confirmations prevented the auditors from determining the necessity of adjustments regarding these balances.
Operational and Management Updates
In response to the auditor's concerns, the management stated that it is taking active steps to dispose of 8.14 acres of surplus lease land to minimize liabilities. The company is also awaiting the release of India Semiconductor Mission 2.0 incentive guidelines for availing capital expenditure subsidies. Furthermore, SPEL Semiconductor is pursuing low-cost debt funding for business revamping and exploring potential customer collaborations for growth.
The board also approved the continuation of the suspension of factory operations, as previously decided in the meeting held on January 14, 2026. Additionally, the board approved the removal of the services of Mr. Thiruvenkatachari Parthasarathy as the Chief Financial Officer, effective from the close of business hours on May 19, 2026. The disclosure regarding the change was made pursuant to Regulation 30 of the SEBI (LODR) Regulations, 2015. The reason cited for the cessation was removal due to continuous absence from office.
Regulatory Disclosure
Pursuant to Regulation 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company published newspaper advertisements pertaining to the audited financial results for the quarter and year ended March 31, 2026. The advertisements were published in Trinity Mirror and Makkal Kural on May 21, 2026. The information is also available on the company's website.
Historical Stock Returns for SPEL Semiconductor
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +0.62% | -1.63% | -6.40% | -9.72% | +11.46% | +809.73% |
Will the proceeds from the disposal of 8.14 acres of surplus lease land be sufficient to meaningfully reduce SPEL Semiconductor's liabilities and extend its operational runway?
How might the release of India Semiconductor Mission 2.0 incentive guidelines impact SPEL Semiconductor's ability to secure capital expenditure subsidies and revive its manufacturing operations?
Could the ongoing suspension of factory operations and the going concern qualification trigger any regulatory action from SEBI or stock exchanges regarding SPEL Semiconductor's listing status?
18
Access Market Heat-map & Insights 
Create, Save & Share your Screener 
Use 200+ Screening Filters 
