PS IT Infrastructure & Services Limited has released its unaudited financial results for the second quarter of fiscal year 2026, revealing a significant increase in net loss and notable changes in its financial position.

Key Financial Highlights

Financial Performance Analysis

PS IT Infrastructure & Services Limited reported a substantial increase in net loss before tax for Q2 FY26, reaching ₹120.01 lakhs compared to ₹44.32 lakhs in the same period last year. This represents a 170.8% increase in losses year-over-year.

The company's reserves and surplus turned negative, standing at ₹-2,080.44 lakhs, a significant decline from the positive ₹1,991.82 lakhs reported in the previous year. This shift indicates a considerable erosion of the company's financial cushion.

Balance Sheet Changes

Inventories saw a dramatic rise, increasing to ₹3,417.59 lakhs from ₹526.17 lakhs, marking a 549.5% increase. This substantial inventory buildup may suggest challenges in sales or potential changes in the company's operational strategy.

Conversely, trade receivables experienced a sharp decline, dropping to ₹4.00 lakhs from ₹2,523.13 lakhs, a decrease of 99.8%. This significant reduction in receivables could indicate improved collection efficiency or a substantial decrease in credit sales.

Short-term borrowings increased to ₹852.65 lakhs from ₹319.75 lakhs, representing a 166.7% rise. This increase in short-term debt may reflect the company's need for additional working capital or liquidity to support operations.

Management Approval and Audit Review

The Board of Directors approved these financial results in their meeting held on November 11, 2025. Additionally, the statutory auditors have conducted a limited review of the financial results, as mandated by regulatory requirements.

Conclusion

PS IT Infrastructure & Services Limited's Q2 FY26 results reflect challenging financial conditions, with widening losses and significant changes in key balance sheet items. The company's negative reserves and surplus, coupled with increased short-term borrowings, suggest potential financial stress that may require careful management and strategic planning in the coming quarters.

Investors and stakeholders may need to closely monitor the company's future performance and any strategic initiatives undertaken to address these financial challenges.

PS IT Infrastructure & Services Limited , a company operating in the Finance & Investments sector, has reported its financial results for the first quarter, revealing a mixed performance with increased revenue but a significant net loss.

Revenue Growth and Financial Performance

The company witnessed a substantial increase in revenue from operations, which rose to ₹64.33 lakh. This marks a significant improvement from the previous quarter, where the company reported nil revenue from operations.

Despite the revenue growth, PS IT Infrastructure & Services Limited reported a net loss of ₹94.31 lakh for the quarter. This loss is primarily attributed to a surge in total expenses, which escalated to ₹158.64 lakh from ₹8.34 lakh in the preceding quarter.

Key Financial Metrics

Expense Breakdown

The significant increase in expenses was largely due to the following factors:

1. Changes in Inventories: A major contributor to the expenses was the changes in inventories of finished goods, work-in-progress, and stock-in-trade, amounting to ₹135.59 lakh.
2. Finance Costs: The company incurred finance costs of ₹15.51 lakh.
3. Employee Benefit Expenses: ₹1.57 lakh was spent on employee benefits.
4. Other Expenses: Additional expenses of ₹5.97 lakh were reported.

Capital Structure

As of the reporting period, PS IT Infrastructure & Services Limited maintains:

• Paid-up Equity Share Capital: ₹5,376.00 lakh (Face value of ₹10 per share)
• Other Equity: -₹1,990.64 lakh

Management Commentary

The financial results were reviewed by the Audit Committee and subsequently approved by the Board of Directors. Kawarlal K. Ojha, the Managing Director, signed off on the financial statements.

Auditor's Review

Rajesh Kumar Gokul Chandra & Associates, the company's statutory auditors, conducted a limited review of the financial results. They stated that nothing has come to their attention that causes them to believe that the financial statements do not present a true and fair view in accordance with applicable accounting standards and generally accepted accounting principles.

Outlook

While the company has shown a significant improvement in revenue generation compared to the previous quarter, the substantial increase in expenses, particularly in inventory changes and finance costs, has led to a net loss. Investors and stakeholders will likely be watching closely to see how PS IT Infrastructure & Services Limited manages its expenses and capitalizes on its revenue growth in the coming quarters.

The company continues to operate in a single business segment of Finance & Investments, as per Indian Accounting Standard 108 "Operating Segment". The management's strategies to address the current loss and improve profitability will be crucial for the company's future performance.