Asian Hotels (West) Limited announced its unaudited financial results for the quarter ended December 31, 2025, revealing continued operational challenges and significant auditor concerns. The Board of Directors approved the results at their meeting held on February 13, 2026.

Standalone Financial Performance

The company's standalone operations showed a net loss of ₹88.48 lakhs for Q3 FY26, representing a substantial improvement from the ₹2,166.71 lakhs loss recorded in Q3 FY25. For the nine months ended December 31, 2025, the standalone loss stood at ₹231.93 lakhs compared to ₹2,214.61 lakhs in the corresponding period of the previous year.

The company continues to operate without revenue from operations, relying solely on other income of ₹143.72 lakhs in Q3 FY26. Total expenses decreased to ₹248.52 lakhs from ₹390.34 lakhs in the previous year quarter, primarily due to lower finance costs and other expenses.

Consolidated Performance Shows Contrasting Results

On a consolidated basis, the company reported significantly different results, posting a net profit of ₹2,165.37 lakhs for Q3 FY26 compared to ₹510.12 lakhs in Q3 FY25. The consolidated revenue from operations reached ₹11,082.28 lakhs in Q3 FY26.

Auditor Raises Serious Concerns

J.C. Bhalla & Co., the company's statutory auditors, expressed an adverse opinion on both standalone and consolidated financial results. The auditors highlighted several critical issues related to a ₹39,000 lakhs borrowing from Novak Hotels Private Limited, identified as the Saraf Group.

Key auditor concerns include:

• Disputed Interest and Expenses: The company has not recognized interest expense of ₹7,088.63 lakhs and reimbursement expenses of ₹1,429.29 lakhs as claimed by the lender
• Unreconciled Balance: An unreconciled balance of ₹242.64 lakhs exists in the borrowing amounts
• Framework Agreement Issues: Questions over the classification of amounts received as borrowings versus advances for asset sale
• Going Concern Uncertainty: Current liabilities exceed current assets by ₹41,917.84 lakhs as of December 31, 2025

Saraf Group Borrowing Details

The company disclosed that Novak Hotels Private Limited had advanced ₹37,100 lakhs until March 31, 2024, with an additional ₹1,900 lakhs during the year, totaling ₹39,000 lakhs. This amount was utilized for payments to creditors and regulatory expenses as part of the insolvency resolution process.

The auditors noted that the Framework Agreement provides Saraf Group with an option to acquire Hyatt Regency, Mumbai, the company's principal asset, raising questions about the true nature of these financial arrangements.

Regulatory and Compliance Issues

The auditors emphasized that the company has not filed necessary forms with the Ministry of Corporate Affairs regarding the charge creation on Hyatt Regency, Mumbai, indicating non-compliance with statutory requirements. Additionally, concerns were raised about the adequacy of shareholder approvals for the potential asset disposal arrangements.

Asian Hotels (East) Limited has announced a board meeting scheduled for February 13, 2026, to review and approve its quarterly financial performance. The hospitality company, which operates the Hyatt Regency Kolkata Hotel, issued the formal notice on January 30, 2026, in accordance with regulatory requirements.

Board Meeting Details

The meeting agenda includes consideration and approval of several key financial documents for the reporting period:

The board will specifically focus on the company's performance for the third quarter of FY26 and the cumulative nine-month period, providing stakeholders with comprehensive insights into the company's financial position.

Trading Window Restrictions

In compliance with SEBI (Prohibition of Insider Trading) Regulations, 2015, Asian Hotels (East) Limited has implemented strict trading restrictions. The company has closed the trading window for specific categories of individuals:

• Promoter and Promoter Group members
• Connected Persons
• Designated Persons
• Immediate relatives of the above categories

The trading window closure became effective from January 1, 2026, and will remain in place until 48 hours after the declaration of financial results for Q3 and nine months ended December 31, 2025.

Regulatory Compliance

The board meeting notice was issued pursuant to Regulation 29 of the SEBI Listing Regulations, 2015, demonstrating the company's commitment to maintaining transparency and regulatory compliance. The announcement ensures that all stakeholders are adequately informed about the upcoming financial disclosure.

The company has made the meeting notice available on its official website at www.ahleast.com , providing easy access to investors and other interested parties. This digital availability aligns with modern corporate governance practices and ensures wider dissemination of important corporate information.

Company Background

Asian Hotels (East) Limited operates as the owner of Hyatt Regency Kolkata Hotel, positioned in the hospitality sector. The company is incorporated with CIN L15122WB2007PLC162762 and maintains its registered office at the Hyatt Regency Kolkata Hotel premises in Salt Lake City, Kolkata. The upcoming financial results will provide insights into the company's operational performance and market position in the hospitality industry.