News Earnings JBFI Industries Reports ₹160 Lakhs Loss in Q3FY26 Amid Ongoing Insolvency ProceedingsJBFI Industries Reports ₹160 Lakhs Loss in Q3FY26 Amid Ongoing Insolvency Proceedings
JBFI Industries Limited reported a net loss of ₹160 lakhs for Q3FY26 ended December 31, 2025, compared to ₹114 lakhs loss in Q3FY25, while operating under Corporate Insolvency Resolution Process. The company generated minimal other income of ₹4 lakhs with no operational revenue, while total expenses decreased to ₹70 lakhs. For nine months ended December 31, 2025, net loss improved to ₹279 lakhs from ₹540 lakhs in the previous year. Auditors issued qualified opinion citing unprovided interest of ₹1,89,676 lakhs on borrowings and pending operational creditor claims of ₹12,848 lakhs.
*this image is generated using AI for illustrative purposes only.
JBFI Industries Limited has announced its unaudited financial results for the quarter ended December 31, 2025, revealing continued financial distress as the company operates under Corporate Insolvency Resolution Process. The Resolution Professional approved these results during a meeting held on January 30, 2026.
Financial Performance Overview
The company's financial performance for Q3FY26 reflects the challenging operational environment:
| Metric | Q3FY26 | Q3FY25 | Change |
|---|---|---|---|
| Total Income | ₹4 lakhs | ₹3 lakhs | +₹1 lakh |
| Total Expenses | ₹70 lakhs | ₹117 lakhs | -₹47 lakhs |
| Net Loss | ₹160 lakhs | ₹114 lakhs | -₹46 lakhs |
| Earnings Per Share | ₹(0.20) | ₹(0.14) | -₹0.06 |
The company reported no revenue from operations during the quarter, with total income comprising solely of other income amounting to ₹4 lakhs. Total expenses decreased to ₹70 lakhs from ₹117 lakhs in the previous year, primarily consisting of employee benefits expense of ₹17 lakhs and other expenses of ₹53 lakhs.
Nine-Month Performance Analysis
For the nine-month period ended December 31, 2025, JBFI Industries showed some improvement compared to the previous year:
| Parameter | 9M FY26 | 9M FY25 | Variance |
|---|---|---|---|
| Total Income | ₹13 lakhs | ₹4 lakhs | +₹9 lakhs |
| Total Expenses | ₹292 lakhs | ₹284 lakhs | +₹8 lakhs |
| Net Loss | ₹279 lakhs | ₹540 lakhs | +₹261 lakhs |
The reduced loss for the nine-month period was partly attributed to the absence of exceptional items, which had impacted the previous year's results by ₹260 lakhs.
Auditor Qualifications and Concerns
S.C. Ajmera & Co., the company's auditors, issued a qualified opinion highlighting several significant issues:
Interest Provision Concerns: The auditors noted that the company provided interest at 0% on borrowings aggregating to ₹2,47,379 lakhs, comprising term loans of ₹64,121 lakhs, cash credit of ₹1,71,862 lakhs, and Cumulative Redeemable Preference Shares of ₹11,396 lakhs. The aggregate unprovided interest as of December 31, 2025, amounts to ₹1,89,676 lakhs.
Operational Creditor Claims: An operational creditor of JBF RAK LLC has filed claims worth ₹12,848 lakhs (US$ 19,899,091.53) against the company, though no provision has been made for this claim.
Corporate Insolvency Status
JBFI Industries continues to operate under the Corporate Insolvency Resolution Process, having been admitted by the National Company Law Tribunal on January 25, 2024. The Committee of Creditors has approved one resolution plan, with the NCLT having reserved its order on the application for plan approval.
The company faces significant going concern issues, with manufacturing operations discontinued across all locations. Most lenders have assigned their debts to CFM Asset Reconstruction Private Limited, which subsequently sold them to Madelin Enterprises Private Limited under the SARFAESI Act 2002.
Key Operational Challenges
The company operates without several key positions, including Chief Executive Officer, Chief Financial Officer, and Company Secretary. Additionally, no Internal Auditor has been appointed as required under the Companies Act 2013.
The paid-up equity share capital remains unchanged at ₹8,187 lakhs, with a face value of ₹10 per share. Other equity excluding revaluation reserve stands at nil, reflecting the company's depleted financial position.
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