Shree Hanuman Sugar & Industries Limited has announced its unaudited financial results for the quarter ended December 31, 2025, revealing continued operational challenges as the company navigates through the Corporate Insolvency Resolution Process (CIRP). The sugar manufacturer reported a net loss of ₹18.68 lakhs for the third quarter of FY26, highlighting the financial difficulties faced by the company.

Financial Performance Overview

The company's quarterly performance showed minimal revenue generation with total income reaching ₹3.66 lakhs for Q3 FY26, compared to zero income in the corresponding quarter of the previous year. However, operational expenses significantly outweighed income, leading to substantial losses.

Operational Challenges and CIRP Status

The company has been operating under the CIRP framework since September 27, 2024, following an order from the Hon'ble NCLT Kolkata Bench. The insolvency proceedings were initiated by Stress Assets Stabilization Fund, invoking corporate guarantee in the matter of Eastern Sugar & Industries Limited. Mr. Sandeep Khaitan, initially appointed as Interim Resolution Professional, was later confirmed as the Resolution Professional during the first Committee of Creditors meeting held on October 28, 2024.

Business Segment Performance

The company operates in two primary segments - sugar and construction. However, only the sugar segment showed any activity during the reporting period. The segment-wise analysis revealed that the sugar division generated the entire income of ₹3.66 lakhs for Q3 FY26 while also accounting for the complete loss of ₹18.68 lakhs.

Mill Operations and Future Outlook

A critical factor affecting the company's performance is the non-operational status of its sugar mill located in Motihari, Bihar. The facility remains closed due to multiple challenges including cost ineffectiveness resulting from outdated plant and machinery, severe financial constraints, and ongoing labor unrest at the mill. These operational disruptions have significantly impacted the company's ability to generate meaningful revenue from its core sugar manufacturing business.

Regulatory Compliance and Audit Opinion

The financial results were reviewed by BDS & CO., Chartered Accountants, who issued a qualified opinion due to going concern issues arising from the company's admission into the insolvency process. The auditors noted that while the financial statements have been prepared on a going concern basis as per Indian Accounting Standard-1, the CIRP proceedings raise significant concerns about the company's ability to continue operations. The Committee of Creditors reviewed and took note of these financial results during their meeting held on February 12, 2026, which commenced at 6:45 PM and concluded at 7:15 PM.

Shree Hanuman Sugar & Industries , currently undergoing Corporate Insolvency Resolution Process (CIRP), has reported a significant net loss for the half-year ended September 30. The company's financial results reveal a challenging period marked by minimal income and ongoing insolvency proceedings.

Financial Performance

The sugar manufacturer reported a net loss of Rs 52.54 crore for the half-year, with minimal revenue of Rs 0.69 crore from its sugar segment. This decline in financial performance is reflected in the following key figures:

Insolvency Proceedings and Operational Challenges

The company's financial struggles are further highlighted by its ongoing Corporate Insolvency Resolution Process:

• CIRP initiated under the Insolvency and Bankruptcy Code 2016
• The sugar mill at Motihari, Bihar remains non-operational due to financial constraints and operational challenges

Auditor's Opinion

While specific details about the auditor's opinion are not provided, it's important to note that companies under CIRP often face scrutiny regarding their ability to continue as a going concern.

The significant gap between the company's income and expenses, coupled with the insolvency process and non-operational status of its sugar mill, presents a challenging outlook for Shree Hanuman Sugar & Industries. Stakeholders and potential investors should closely monitor the progress of the CIRP and any potential resolutions that may emerge from this process.