KBS India Limited Reports Profit in Q2 FY26, Auditors Raise Concerns

KBS India Limited, a company listed on the Bombay Stock Exchange, has reported a turnaround in its financial performance for the quarter ended September 30, 2025. The company's board approved the un-audited financial results in a meeting held on November 7, 2025.

Financial Highlights

Metric	Q2 FY26	Q2 FY25	Change
Net Profit/(Loss)	₹5.12	(₹6.30)	Improved
Revenue from Operations	₹84.27	₹80.52	+4.66%
Total Income	₹96.23	-	-
Total Expenses	₹89.39	-	-
Basic EPS	₹0.01	(₹0.01)	Improved

All financial figures in lakhs, except EPS

KBS India Limited has shown a notable improvement in its financial performance, turning a net loss from the previous year into a profit. The company reported a net profit of ₹5.12 lakh for the quarter ended September 30, 2025, compared to a net loss of ₹6.30 lakh in the same period last year.

Revenue from operations saw a modest increase of 4.66%, rising to ₹84.27 lakh from ₹80.52 lakh year-over-year. The total income for the quarter stood at ₹96.23 lakh, while total expenses were reported at ₹89.39 lakh.

The company's earnings per share (EPS) also improved, moving from a loss of ₹0.01 per share in the previous year to a profit of ₹0.01 per share in the current quarter.

Auditor Concerns

Despite the improved financial performance, the auditors have highlighted two key concerns in their report:

Unprovided gratuity liability: The auditors noted that the company has not made provisions for gratuity liabilities.
Outstanding loans and balances: The auditors pointed out significant outstanding amounts related to KBS Capital Management Singapore:
- Loans amounting to ₹16.65 crore
- Current account balance of ₹8.02 lakh

It's important to note that KBS Capital Management Singapore has been struck off, and no provisions have been made for these outstanding amounts.

Corporate Disclosure

As per the LODR (Listing Obligations and Disclosure Requirements) data, the company's board meeting to approve these results was held on November 7, 2025. The meeting commenced at 2:00 PM and concluded at 3:15 PM.

Investors and stakeholders should consider both the improved financial performance and the auditors' concerns when evaluating the company's overall financial health and future prospects.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+2.12%	-1.53%	+25.32%	-66.43%	-81.04%	-37.74%

KBS India Limited recently disclosed a substantial equity share sale transaction, as reported to the Bombay Stock Exchange (BSE). The company's announcement, made in compliance with the Securities and Exchange Board of India (SEBI) regulations, reveals important changes in its shareholding structure.

Transaction Details

Aspect	Details
Sellers	Ketan Babulal Shah and Jeet Ketan Shah
Number of Shares Sold	503,424 equity shares
Transaction Date	October 17, 2025
Disclosure Date	October 18, 2025
Regulatory Framework	SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011
Transaction Method	Sold on the floor of the stock exchange

Regulatory Compliance

The disclosure was made under Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. This regulation mandates prompt disclosure of significant changes in shareholding to ensure transparency in the stock market.

Company's Response

KBS India Limited promptly informed the BSE about this transaction, demonstrating its commitment to regulatory compliance and shareholder transparency. The company's Chairman & Managing Director, Tushar Suresh Shah, signed off on the disclosure document.

Market Implications

Such significant share sales by key shareholders often attract investor attention. Market participants may closely monitor any potential shifts in the company's ownership structure or strategic direction following this transaction.

Investors and market analysts may want to keep an eye on KBS India Limited's future announcements and performance to assess any potential effects of this shareholding change on the company's operations and market position.