Adcon Capital Services Limited announced the approval of its unaudited financial results for the third quarter ended December 31, 2025. The company's Board of Directors considered and approved these results during a meeting held on February 14, 2026, in compliance with regulatory requirements.

Board Meeting Details

The board meeting commenced at 03:45 p.m. and concluded at 04:15 p.m. on February 14, 2026. The meeting was conducted under the provisions of Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Managing Director Piyush Saraf (DIN: 02578675) digitally signed the announcement from Mumbai.

Financial Results Approval

The board approved the unaudited financial results for the third quarter ended December 31, 2025, along with the Limited Review Report. These results were prepared in accordance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company confirmed that the unaudited financial results and Limited Review Report would be made available on the company's website.

Auditor's Review and Observations

M/s Maheshwari & Co. Chartered Accountants (Firm Registration No. 105834W) conducted the limited review of the financial results. The review was performed in accordance with Standard on Review Engagements (SRE) 2410, "Review of Interim Financial Information Performed by the Independent Auditor of the Entity" issued by the Institute of Chartered Accountants of India.

The auditors noted that the financial results were prepared in accordance with Indian Accounting Standard 34 "Interim Financial Reporting" (Ind AS 34) and other accounting principles generally accepted in India.

Significant Matter Highlighted

The auditors drew attention to a significant matter in their review report. They noted that the company has not booked interest income on outstanding loans and advances given to various parties. The total amount of such loans stands at Rs. 3,673.32 lakhs. The auditors stated that no supporting documents were provided to enable them to determine the interest rates applicable on these loans and advances.

Regulatory Compliance

The financial results disclosure was made pursuant to Regulation 30 of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company maintains its registered office at 417, Chetak Centre NX, Near Hotel Shreemaya RNT Marg, Indore, Madhya Pradesh, 452001, with CIN: L67120MP1994PLC008511.

Adcon Capital Services Limited, a finance and investment company, has reported a significant increase in its financial performance for the first quarter.

Financial Highlights

Key Performance Indicators

Adcon Capital Services has shown remarkable growth in its Q1 results. The company's net profit soared to ₹48.39 lakhs, representing a 182% increase from ₹17.14 lakhs in the corresponding quarter of the previous year. This substantial growth was primarily driven by a significant rise in interest income, which more than doubled to ₹93.10 lakhs from ₹40.36 lakhs in Q1 of the previous year.

Revenue and Operational Performance

The company's revenue from operations witnessed a robust growth of 98%, reaching ₹93.10 lakhs compared to ₹46.99 lakhs in the same quarter last year. This growth was entirely attributed to higher interest income, as the company did not report any other operational income for the quarter.

Expenses and Profitability

While the company's total expenses increased to ₹28.44 lakhs from ₹24.05 lakhs in the previous year, the rise was proportionally less than the revenue growth. Notably, finance costs emerged as a significant expense item at ₹22.17 lakhs, up from zero in the corresponding period last year. Despite this increase in expenses, the company managed to substantially improve its profitability.

Segment Performance

Adcon Capital Services Limited operates in a single business segment of Finance & Investments, as per the Indian Accounting Standard (IndAS) 108 "Operating Segment".

Balance Sheet Position

The company's paid-up equity share capital stood at ₹3,181.28 lakhs, with a face value of ₹1 per share.

Auditor's Observation

It's worth noting that the company's auditors have observed that interest income is not being recognized on outstanding advances. Due to insufficient information, they were unable to calculate the appropriate interest income that should be recognized on such advances. This observation may have implications for the company's reported financial figures and should be considered by investors and analysts.

Conclusion

Adcon Capital Services Limited has demonstrated strong financial performance in Q1, with significant growth in both revenue and profitability. However, the auditor's observation regarding interest income recognition on outstanding advances warrants attention and may require further clarification from the company management.

Investors and stakeholders should consider both the impressive growth figures and the auditor's note while evaluating the company's overall financial health and future prospects.