LKP Finance Limited , a Mumbai-based financial services company, has reported a profit of Rs 583.15 lakhs for the quarter ended September 30, 2025, while simultaneously managing significant operational and financial developments.

Financial Performance

The company's Board of Directors approved the unaudited financial results for the quarter and half year ended September 30, 2025. While the specific details of revenue and other financial metrics were not disclosed, the reported profit indicates a positive financial performance for the quarter.

Leadership Transition

LKP Finance announced a change in its key management personnel:

Mr. Rishi Arya, the newly appointed Company Secretary & Compliance Officer, brings over 1.5 years of diverse professional experience to the role. He is a qualified Company Secretary and an Associate Member (A73634) of the Institute of Company Secretaries of India. Mr. Arya also holds a law degree from Dr. Bhimrao Ambedkar University, Agra.

Debt Management and Legal Challenges

The company reported significant developments related to its debt:

Write-back of Long-standing Loan

LKP Finance has written back Rs 1,474.24 lakhs from a long-standing loan liability that had been on its books for over twelve years. This loan was originally borrowed from M/s Bestride Consultancy Private Limited.

Ongoing Litigation

The company is currently facing litigation regarding borrowings of Rs 2,122.40 lakhs. A garnishee order from the Recovery Officer, DRT, Bangalore, claims Rs 2,500.00 lakhs plus interest. In response:

• LKP Finance has contested the claim
• Deposited Rs 1,126.22 lakhs (included in other non-financial assets)
• Investment in mutual funds worth Rs 613.44 lakhs has been attached by the Recovery Officer

The matter is pending before the Debt Recovery Appellate Tribunal, Chennai, with the outcome remaining uncertain.

Auditor's Observations

The company's statutory auditors, M/s. PARV & Co., have issued a qualified opinion in their limited review report. The qualifications primarily relate to:

1. Lack of balance confirmation/term sheet from two lenders for loans aggregating Rs 3,596.65 lakhs.
2. The ongoing litigation and uncertainty surrounding the Rs 2,122.40 lakhs borrowing.

The auditors stated that due to the absence of external confirmations and the pending litigation, they are unable to comment on potential adjustments or disclosures that may arise from these matters.

As LKP Finance navigates these financial and operational challenges, investors and stakeholders will likely be watching closely for further developments and their potential impact on the company's future performance.

LKP Finance Ltd, a company listed on the Bombay Stock Exchange (BSE: 507912), has announced a significant strategic shift in its business focus. The company's Board of Directors has approved a series of transformative decisions that signal a move away from its traditional financial services model towards the digital gifting and e-commerce sector.

Key Board Decisions

1. Name Change: The board has approved changing the company name from LKP Finance Ltd to Gyftr Limited, subject to necessary regulatory and shareholder approvals.

2. Business Pivot: Modifications to the main object clause of the company's Memorandum of Association have been approved to include:

   • Digital and physical gifting
   • Reward management
   • E-commerce solutions
   • Payment aggregator business

3. NBFC License Surrender: The company has decided to surrender its Non-Banking Financial Company (NBFC) license with the Reserve Bank of India (RBI).

4. Shareholder Approval Process: A postal ballot notice has been approved to seek shareholder consent for the name change and object clause alterations.

Corporate Action Details

The following table summarizes the key corporate actions approved by the board:

Regulatory Compliance

The company has emphasized that these changes are subject to various regulatory approvals, including:

• Reserve Bank of India
• Ministry of Corporate Affairs (for name availability)
• Shareholder approval
• Central Government approval

The board meeting where these decisions were made took place on October 25, commencing at 4:00 PM and concluding at 4:45 PM.

Implications and Outlook

This strategic pivot represents a significant shift for LKP Finance, moving from a traditional financial services model to a technology-driven gifting and e-commerce platform. The decision to surrender its NBFC license further underscores the company's commitment to this new direction.

The move into digital gifting, reward management, and e-commerce solutions suggests that the company is aiming to capitalize on the growing digital economy and changing consumer behaviors. The addition of payment aggregator business to its portfolio also indicates an intent to establish a presence in the fintech space.

As the company awaits regulatory and shareholder approvals, investors and market watchers will be keen to observe how this transition unfolds and its potential impact on the company's future growth and market position.