SDC Techmedia Reports Half-Year Loss and Appoints New Independent Director

SDC Techmedia Limited , a digital cinema technology company, has reported financial results for the half year ended September 30, 2025, along with a significant board appointment.

Financial Performance

The company reported a net loss of Rs 59.91 lakhs for the half year, compared to a loss of Rs 15.05 lakhs in the same period last year. This represents a substantial increase in losses year-over-year.

Revenue from operations declined marginally to Rs 506.52 lakhs from Rs 516.24 lakhs in the corresponding period of the previous year. The total revenue, including other income, stood at Rs 512.15 lakhs, down from Rs 536.59 lakhs.

Key Financial Metrics

Particulars (in Rs. Lakhs)	H1 2025	H1 2024
Revenue from Operations	506.52	516.24
Total Revenue	512.15	536.59
Total Expenses	572.06	551.64
Net Profit/(Loss)	(59.91)	(15.05)
Earnings Per Share (Rs.)	(0.92)	(0.23)

The company's total expenses increased to Rs 572.06 lakhs from Rs 551.64 lakhs, contributing to the wider loss. The earnings per share (EPS) deteriorated to Rs (0.92) from Rs (0.23) in the previous year's corresponding period.

Board Appointment

In a separate development, SDC Techmedia announced the appointment of Ms. Megha Saraf as an Additional Director (Non-Executive Independent) to its board. The appointment is effective from November 14, 2025, for a term of five years, subject to shareholder approval. Ms. Saraf's term is set to conclude on November 13, 2030.

Ms. Saraf brings significant expertise to the board, being a qualified Company Secretary and a member of the Institute of Company Secretaries of India. She has 11 years of experience in Corporate Law and Finance, which could prove valuable as the company navigates its current financial challenges.

Audit Observations

The company's financial results come with certain audit qualifications:

Out of the total trade receivables of Rs 7,35,40,827, year-end direct balance confirmations were not available. The management has made provisions for doubtful receivables amounting to Rs 1,03,55,356. However, the auditors were unable to confirm the adequacy of this provision due to the lack of balance confirmations.
The auditors highlighted TDS defaults appearing in TRACES amounting to Rs 12,68,979.02, pertaining to the period from FY 2014-15 up to FY 2025-26 (up to Q2). The impact of this statutory non-compliance on the company's liabilities could not be determined.

As SDC Techmedia addresses these financial challenges and governance updates, stakeholders will be watching closely to see how the new board appointment and management strategies might influence the company's future performance and compliance efforts.

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SDC Techmedia Limited, a digital cinema technology company, has reported a net loss for the half-year ended September 30, 2025, and announced the appointment of a new independent director. The company's financial results and board changes highlight its current position and future direction.

Financial Performance

SDC Techmedia Limited experienced a challenging half-year period, reporting a net loss of Rs 59.91 lakhs for the six months ended September 30, 2025. This marks a significant shift from the profit of Rs 30.43 lakhs recorded in the corresponding period of the previous year. The company's financial results reveal several key points:

Particulars	Half-Year Ended Sept 30, 2025 (Rs. in Lakhs)	Half-Year Ended Sept 30, 2024 (Rs. in Lakhs)
Total Revenue	512.15	1,117.10
Total Expenses	572.06	1,086.67
Net Profit/(Loss)	(59.91)	30.43
Earnings Per Share (Basic)	(0.92)	0.54

The company's total revenue declined to Rs 512.15 lakhs for the half-year, compared to Rs 1,117.10 lakhs for the same period in the previous year. This reduction in revenue, coupled with relatively stable expenses, contributed to the reported loss.

Appointment of New Independent Director

In a move to strengthen its board, SDC Techmedia Limited has appointed Ms. Megha Saraf as an Additional Non-Executive Independent Director. Key details of the appointment include:

Appointment Date: November 14, 2025
Term: Five-year term, subject to shareholder approval
Tenure: From November 14, 2025, to November 13, 2030

Ms. Saraf brings valuable experience to the board:

Qualified Company Secretary, member of the Institute of Company Secretaries of India
11 years of work experience in Corporate Law and Finance

The company has confirmed that Ms. Saraf is not related to any existing director and is not debarred from holding a directorship by any regulatory authority.

Audit Observations

The company's financial results come with certain audit qualifications:

Trade Receivables: Out of total trade receivables of Rs 7,35,40,827, the auditors were unable to confirm the adequacy of provisions made for doubtful receivables, which stands at Rs 1,03,55,356.
TDS Defaults: The auditors noted TDS defaults of Rs 12,68,979.02 appearing in TRACES, pertaining to the period from FY 2014-15 to FY 2025-26 (up to Q2).

Management's Response

Regarding the trade receivables, the management stated that obtaining balance confirmations from entities is beyond their control. They have identified entities likely to default and created provisions accordingly. The management believes that the net trade receivables are fully recoverable.

As for the TDS defaults, the management opines that these are mostly due to errors and that rectification will nullify the defaults.

The appointment of Ms. Megha Saraf and the company's efforts to address audit qualifications indicate SDC Techmedia's commitment to improving governance and financial management. However, the financial performance for the half-year period suggests ongoing challenges that the company will need to address in the coming months.