Relic Technologies Limited (BSE: 511712) has announced its unaudited financial results for the quarter ended September 30, 2025, revealing a mixed performance across its standalone and consolidated operations. The company also disclosed plans to voluntarily strike off its non-operative subsidiary, Relic Pharma Limited.

Financial Highlights

Standalone Performance

• Net profit for Q2 stood at Rs 17.52 crore, up from Rs 9.75 crore in the previous quarter.
• Total income for the quarter was Rs 34.81 crore.
• For the half-year, net profit reached Rs 19.19 crore.

Consolidated Performance

• The company reported a consolidated net loss of Rs 2.30 crore for Q2.
• Half-yearly consolidated operations showed a net loss of Rs 353.39 crore.

Key Financial Metrics

Subsidiary Strike-Off Plans

The Board of Directors has approved the voluntary striking off of its non-operative subsidiary, Relic Pharma Limited. Key points regarding this decision include:

• Relic Pharma Limited had nil turnover and a negligible net worth of Rs 1.019 lakh.
• The strike-off process is expected to be completed by March 31, 2026, subject to regulatory approval.
• This move aligns with the company's strategy to streamline its operations and focus on core business activities.

Capital Structure Update

Relic Technologies' paid-up equity share capital increased to Rs 515 crore from Rs 360 crore, indicating a significant capital infusion or possible bonus issue.

Audit Review

The financial results were reviewed by the company's auditors, D. Kothary & Co., who provided an unmodified opinion, lending credibility to the reported figures.

Investor Considerations

While the standalone results show improvement, the consolidated performance indicates challenges within the group. Investors should note the following:

1. The stark difference between standalone and consolidated results suggests varying performances across the company's subsidiaries.
2. The decision to strike off Relic Pharma Limited may impact future consolidated results by eliminating a non-performing entity.
3. The increase in paid-up capital could provide the company with additional resources for growth or debt reduction.

As Relic Technologies navigates through these mixed results and structural changes, stakeholders will be watching closely to see how these developments translate into long-term value creation and improved financial health across the group.

Relic Technologies Limited, a company listed on the Indian stock exchange, has announced a significant change in its auditing arrangements. The company's statutory auditor, M/s. Vandana V. Dodhia & Co., Chartered Accountants, has tendered their resignation effective August 26, 2024.

Reasons for Resignation

The auditing firm cited medical reasons as the primary cause for their decision to step down. In their communication, they expressed concerns about their ability to provide justice to the professional commitments and manage the workload required for the audit due to these medical issues.

Auditor's Tenure and Last Submission

M/s. Vandana V. Dodhia & Co. was appointed as the statutory auditor for Relic Technologies on November 10, 2023. Their term was originally scheduled to conclude on August 26, 2024, coinciding with the date of their resignation.

The firm's last official submission for Relic Technologies was a Limited Review Report dated August 14, 2024, covering the financial quarter ended June 30, 2024.

No Other Material Reasons

In their resignation statement, the auditor confirmed that there were no other material reasons for their decision to step down beyond the cited medical issues. This transparency is crucial for maintaining investor confidence and complying with regulatory requirements.

Implications for Relic Technologies

This unexpected change in auditors may require Relic Technologies to swiftly appoint a new statutory auditor to ensure continuity in their financial reporting and compliance processes. The company will likely need to initiate the process of selecting and appointing a new auditing firm in the near future.

Shareholders and investors of Relic Technologies will be keen to see how the company manages this transition and ensures uninterrupted auditing services for its financial statements.