Kimia Biosciences Approves Q1 Results, Appoints New CFO, and Raises ₹2 Crore Loan
Kimia Biosciences announced Q1 FY2024 results with revenue growth of 5.29% but a 57.97% decrease in profit. The company appointed Mr. Pradip Kumar Sharma as the new CFO and approved an unsecured loan of ₹2 crores at 8% interest. The Board also addressed a BSE warning letter regarding compliance with SEBI regulations on annual report submission.
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Kimia Biosciences Limited , a pharmaceutical company, has announced several key developments following its recent board meeting. The company's Board of Directors convened on August 14 to discuss and approve various matters crucial to its operations and financial standing.
Financial Results Approval
The Board approved the unaudited standalone financial results for the quarter ended June 30. According to the financial statement:
| Particulars (₹ in Lakhs) | Q1 (Unaudited) | Q1 (Unaudited) | % Change |
|---|---|---|---|
| Revenue from Operations | 2,358.41 | 2,239.93 | 5.29% |
| Total Income | 2,443.10 | 2,248.26 | 8.67% |
| Total Expenses | 2,373.96 | 2,070.06 | 14.68% |
| Profit before Tax | 69.14 | 178.20 | -61.20% |
| Profit for the Period | 60.40 | 143.70 | -57.97% |
The company's revenue from operations showed a modest growth of 5.29% year-over-year, while total income increased by 8.67%. However, the profit for the period decreased significantly by 57.97% compared to the same quarter last year.
Appointment of New CFO
In a strategic move to strengthen its financial leadership, Kimia Biosciences appointed Mr. Pradip Kumar Sharma as the new Chief Financial Officer (CFO), effective immediately. Mr. Sharma brings over 10 years of experience in finance, accounting, taxation, and treasury management. His extensive background includes holding senior leadership positions in several listed companies, which is expected to contribute significantly to Kimia Biosciences' financial strategies and corporate governance.
Unsecured Loan Approval
The Board has approved raising an unsecured loan of ₹2 crores at an interest rate of 8% per annum. This decision aims to bolster the company's financial position and provide additional working capital for its operations.
BSE Warning Letter
During the meeting, the Board noted and discussed a warning letter dated July 25 received from BSE Limited. The letter pertains to the company's compliance with Regulation 34 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, regarding the submission of the Annual Report for the financial year ended March 2024. BSE observed that Kimia Biosciences had neither disclosed intimation for extension nor submitted an extension letter from ROC Delhi to the Exchange.
The warning letter emphasizes the importance of timely and accurate disclosure of all material matters, including financial situation, performance, ownership, and governance, as per Regulation 4(2)(e) of SEBI LODR regulations 2015. BSE has advised the company to be more diligent in future disclosures to avoid such lapses and ensure compliance with SEBI regulations.
Kimia Biosciences' management is expected to address these compliance issues and strengthen its disclosure practices to maintain transparency with its stakeholders and regulatory bodies.
Historical Stock Returns for Kimia Biosciences
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -2.60% | -4.91% | -4.17% | -19.77% | -31.56% | +3.92% |
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