Sagar Diamonds Limited has announced its audited financial results for the year ended March 31, 2025, demonstrating a significant improvement in its financial performance despite continuing operational challenges. The diamond trading company, listed on the BSE SME platform, reported substantial reduction in losses compared to the previous financial year.

Financial Performance Overview

The company's financial results show marked improvement across key metrics for FY25:

The company's total income for FY25 stood at ₹71.98 lakh, comprising entirely of other income, as the company reported no revenue from operations during the year. This represents a decrease from ₹107.55 lakh in the previous year.

Expense Management and Cost Control

Sagar Diamonds demonstrated significant cost control measures during FY25. Total expenses dropped dramatically to ₹243.13 lakh from ₹7,574.79 lakh in the previous year. The major components of expenses included:

• Employee benefits expense: ₹68.84 lakh (compared to ₹184.40 lakh in FY24)
• Other expenses: ₹174.29 lakh (compared to ₹270.16 lakh in FY24)
• Finance costs: ₹2.30 lakh (compared to ₹4.31 lakh in FY24)

Notably, the company did not report any "balances written off/back on business halted" in FY25, compared to ₹7,120.23 lakh in the previous year, which significantly contributed to the improved performance.

Balance Sheet Position

The company's balance sheet as of March 31, 2025, shows total assets of ₹3,643.03 lakh compared to ₹3,561.38 lakh in the previous year. Key balance sheet highlights include:

Board Decisions and Corporate Governance

During the board meeting held on May 30, 2025, the directors approved several key decisions beyond the financial results. The board re-appointed M/s. Manish K Ramawati & Co., Chartered Accountants, as the company's statutory auditors based on the audit committee's recommendations. Additionally, Mrs. Manjula Poddar (CP No: 11252), Practicing Company Secretary, was re-appointed as the secretarial auditor for FY 2025-26.

The auditors provided an unmodified opinion on the annual audited financial results, confirming compliance with applicable accounting standards and regulatory requirements.

Cash Flow and Liquidity

The company's cash flow statement reveals improved operational cash generation. Net cash flow from operating activities was ₹39.26 lakh in FY25 compared to ₹44.89 lakh in the previous year. The company maintained a strong cash position with ₹1,874.76 lakh in cash and bank balances at the year-end, representing an increase from ₹1,808.50 lakh in the previous year.

Sagar Diamonds Limited, incorporated in July 2015, operates in the business of rough and polished diamonds, sale, export and trading of diamond studded jewellery and gold & silver items. The company's shares are listed on the Bombay Stock Exchange SME platform.

Sagar Diamonds Limited has announced its unaudited financial results for the half year ended September 30, 2025, revealing a significantly reduced net loss compared to the previous year. The company reported a net loss of ₹0.94 lakh for H1 FY26, marking a substantial improvement from the ₹182.91 lakh loss recorded in the corresponding period of the previous year.

Financial Performance Overview

The company's financial performance for the half year reflects the ongoing impact of suspended operations due to regulatory restrictions. With no revenue from operations, Sagar Diamonds relied entirely on other income sources during the period.

Expense Management and Cost Structure

The company demonstrated significant cost control during the period, with total expenses declining dramatically to ₹35.44 lakh from ₹208.20 lakh in H1 FY25. The major expense components included changes in inventories of finished goods and work-in-progress at ₹15.53 lakh, and depreciation and amortisation expenses of ₹19.91 lakh. Employee benefits expenses were minimal, while finance costs remained at zero during the period.

Balance Sheet Position

Sagar Diamonds maintained a stable balance sheet position as of September 30, 2025. The company's total assets stood at ₹3,676.91 lakh, representing a marginal increase from ₹3,643.03 lakh as of March 31, 2025.

Cash Flow and Liquidity

The company's cash position improved during the half year, with cash and cash equivalents increasing to ₹1,902.63 lakh from ₹1,874.76 lakh at the beginning of the period. Net cash flow from operating activities was negative at ₹6.63 lakh, while investing activities generated positive cash flow of ₹34.50 lakh, primarily from interest received.

Operational Status and Regulatory Challenges

According to the company's disclosure, operations remain halted due to restrictions imposed by regulators. The financial results have been prepared based on net realisable value, with the impact reflected in the profit and loss statement. The company indicated that it will take time to restart operations and is awaiting necessary consents from regulators to resume business activities.

Earnings Per Share Performance

The company's earnings per share improved significantly, with basic and diluted EPS at ₹-0.01 for H1 FY26 compared to ₹-1.45 in the corresponding period of the previous year. This improvement reflects the reduced losses during the current period despite the absence of operational revenue.