News Earnings Interworld Digital Limited Reports Q3FY26 Loss of ₹6.43 Lacs Amid Ongoing Business Recovery EffortsInterworld Digital Limited Reports Q3FY26 Loss of ₹6.43 Lacs Amid Ongoing Business Recovery Efforts
Interworld Digital Limited reported a net loss of ₹6.43 lacs for Q3FY26 ended December 31, 2025, compared to ₹5.20 lacs loss in Q3FY25, with zero revenue from operations. The nine-month loss widened to ₹18.31 lacs from ₹15.76 lacs in the previous year. The company continues to face challenges from alleged fraudulent activities by former MD Manmohan Gupta, who reportedly shifted the entire business to his own entities. The Board approved these results on February 2, 2026, while the company works on business recovery efforts.
*this image is generated using AI for illustrative purposes only.
Interworld Digital Limited has announced its unaudited financial results for the third quarter of fiscal year 2026, revealing continued operational challenges and financial losses. The company reported a net loss of ₹6.43 lacs for the quarter ended December 31, 2025, marking a deterioration from the ₹5.20 lacs loss recorded in the corresponding quarter of the previous year.
Financial Performance Overview
The company's financial performance reflects ongoing operational difficulties, with zero revenue generation across all quarters. The quarterly results demonstrate the persistent impact of past corporate governance issues on the company's business operations.
| Financial Metric: | Q3 FY26 | Q3 FY25 | Nine Months FY26 | Nine Months FY25 |
|---|---|---|---|---|
| Net Sales/Revenue: | - | ₹1.06 lacs | - | ₹2.70 lacs |
| Total Income: | - | ₹1.06 lacs | - | ₹2.70 lacs |
| Total Expenses: | ₹6.43 lacs | ₹6.26 lacs | ₹18.31 lacs | ₹18.46 lacs |
| Net Loss: | (₹6.43 lacs) | (₹5.20 lacs) | (₹18.31 lacs) | (₹15.76 lacs) |
Expense Analysis
Despite the absence of revenue, the company continues to incur operational expenses. Employee benefit expenses remained relatively stable at ₹3.13 lacs for Q3FY26 compared to ₹3.39 lacs in Q3FY25. Other expenses increased to ₹3.30 lacs from ₹2.15 lacs in the corresponding previous quarter, contributing to the overall expense burden of ₹6.43 lacs.
Corporate Governance Challenges
The company's auditors have highlighted significant concerns regarding past fraudulent activities. According to the auditor's observations, former MD Manmohan Gupta allegedly shifted the entire business of the company, including its intellectual property, to his own entities, resulting in the current absence of operational revenue. The company has constituted an investigation committee to recover the business and assets.
Regulatory and Compliance Issues
The company faces several regulatory challenges that impact its operations:
- ROC Fees: Outstanding fees of ₹55.97 lacs related to authorized capital increase from ₹21 crores to ₹70 crores during FY 2010-2011, with a writ petition pending in Delhi High Court
- Statutory Dues: Outstanding obligations of ₹1.91 crore including Service Tax, TDS, and Professional Tax since FY 2009-10
- Listing Compliance: Unpaid Annual Listing Fees to BSE since 2018-19, resulting in trade-for-trade basis trading restrictions
Board Meeting and Approvals
The Board of Directors convened on February 2, 2026, at the company's registered office in New Delhi to consider and approve the standalone unaudited financial results. The meeting, which commenced at 12:00 PM and concluded at 2:05 PM, also approved the Limited Review Report for the quarter and nine months ended December 31, 2025. The company maintains a paid-up equity share capital of ₹4,783.77 lacs with a face value of Re. 1 per share, remaining unchanged across all reporting periods.
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