TCFC Finance Limited has reported a net loss of ₹181.51 crore for the financial year ended March 31, 2026, reversing its performance from the previous year when it recorded a net profit of ₹121.69 crore. The board of directors approved the audited standalone financial results for the quarter and year ended March 31, 2026, during a meeting held on May 26, 2026. The statutory auditor of the company reviewed the financial results.

For the quarter ended March 31, 2026, the company reported a net loss of ₹553.82 lakh. Total revenue from operations for the quarter stood at a negative ₹786.55 lakh, primarily due to a net loss on fair value changes. In comparison, the total revenue from operations for the full year was a negative ₹157.87 lakh, down from a positive ₹231.31 lakh in the prior year.

Financial Performance

The company's total income for the year ended March 31, 2026, was negative ₹152.52 lakh, a sharp decrease from the total income of ₹283.64 lakh in the previous year. Total expenses for the year increased to ₹189.52 lakh from ₹144.64 lakh in the previous year. The basic and diluted earnings per share (EPS) for the year was negative ₹1.73, compared to a positive EPS of ₹1.16 in the previous year.

Share Capital Reduction

The board has fixed Thursday, June 4, 2026, as the record date for the purpose of giving effect to the reduction of the company's paid-up share capital. This reduction follows an order passed by the Hon'ble National Company Law Tribunal (NCLT), Mumbai Bench, on April 22, 2026. The reduction involves the cancellation and extinguishment of 5,33,334 equity shares of ₹10 each held by the company without payment of any consideration.

Consequently, the issued, subscribed, and paid-up equity share capital will be reduced from ₹10,48,21,290 divided into 1,04,82,129 equity shares to ₹9,94,87,950 divided into 99,48,795 equity shares. The company stated that this action is pursuant to a scheme approved by the NCLT and relates to shares held by the company itself, which cannot be held under the Companies Act.

Asset Position

As per the statement of assets and liabilities, the company's total assets stood at ₹11,018.86 lakh as of March 31, 2026, compared to ₹11,341.36 lakh in the previous year. Equity share capital remained at ₹1,048.21 lakh, while other equity decreased to ₹9,674.24 lakh from ₹9,853.79 lakh in the prior year. Cash and cash equivalents improved to ₹45.06 lakh from ₹10.02 lakh at the end of the previous financial year.

TCFC Finance Limited disclosed a compliance lapse concerning the disclosure of related party transactions for the financial year ended March 31, 2026, resulting in a monetary penalty. The company submitted its Annual Secretarial Compliance Report to BSE Limited on May 26, 2026, confirming adherence to most SEBI regulations while noting specific deviations.

The report, issued by M/s. Aabid & Co, Company Secretaries, identified a non-compliance with Regulation 23(9) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulation mandates that listed entities disclose related party transactions in the format specified by the board and within the prescribed timeline. Due to the delay in compliance, the stock exchange levied a fine of ₹5,900 on the company.

Compliance Status and Remedial Actions

The secretarial audit confirmed that the company has complied with the provisions of the SEBI Act, SCRA, and various other regulations, including those concerning insider trading and event disclosures. The report highlighted that the company successfully addressed observations from previous reports regarding website maintenance.

In the prior period, the company had failed to update changes to its website content within two working days as required by Regulation 46(3). The Annual Secretarial Compliance Report for FY26 states that the company has now complied with these provisions, ensuring timely updates on its website within the statutory timelines.

Key Compliance Indicators

The report provided a detailed breakdown of the company's compliance status across various operational and governance parameters for the review period.

The auditors clarified that the responsibility for compliance and the authenticity of documents lies with the management, while their role is limited to certification based on an examination of relevant records. The report does not constitute an audit or an opinion on the financial records of the company.