SRM Energy Limited announced its unaudited financial results for the quarter and nine months ended December 31, 2025, revealing continued operational challenges and mounting financial pressures. The company, which has no active business operations, reported a net loss of ₹9.80 lakhs for Q3 FY26, showing a marginal improvement from the ₹11.55 lakhs loss recorded in the corresponding quarter of the previous year.

Financial Performance Overview

The company's financial performance reflects its non-operational status, with zero revenue from operations across all reported periods. The quarterly results demonstrate the company's ongoing struggle with operational expenses despite having no business activities.

Nine-Month Performance Analysis

The nine-month period ended December 31, 2025, presented a more concerning picture with substantially higher losses compared to the previous year. The company reported a net loss of ₹161.53 lakhs for the nine months, representing a significant deterioration from the ₹28.88 lakhs loss in the corresponding period of FY25.

Expense Structure and Cost Management

The company's expense structure for Q3 FY26 consisted primarily of employee benefits expense amounting to ₹7.12 lakhs and other expenses of ₹2.68 lakhs. Employee benefits expense showed a slight increase from ₹6.54 lakhs in Q3 FY25 to ₹7.12 lakhs in Q3 FY26. The nine-month period revealed a substantial spike in other expenses, rising from ₹9.23 lakhs in FY25 to ₹144.32 lakhs in FY26.

Going Concern and Financial Position

The company faces significant financial challenges that raise material uncertainty about its ability to continue as a going concern. Key concerns include:

• Accumulated losses have fully eroded the company's net worth
• Current liabilities exceed current assets as of December 31, 2025
• Employee salary dues of ₹24.43 lakhs remain unpaid
• No active business operations generating revenue

The auditors have issued a qualified opinion highlighting these material uncertainties regarding the company's continuity as a going concern and its ability to meet financial and operational obligations.

Corporate Developments

SRM Energy Limited is currently undergoing an acquisition process through an open offer initiated by acquirers as per SEBI regulations. The company's ability to meet statutory and administrative obligations depends on financial support from the parent company or prospective acquirer. During the previous quarter, the company liquidated its investment in erstwhile subsidiary SRM Energy Tamilnadu Private Limited for ₹1.00 lakh, transferring the shares to parent company Spice Energy Private Limited.

Capital Structure

The company maintains a paid-up equity share capital of ₹906.00 lakhs with a face value of ₹10 per share, which has remained unchanged across all reported periods. The earnings per share for Q3 FY26 stood at ₹(0.11) on both basic and diluted basis, showing improvement from ₹(0.13) in the corresponding quarter of the previous year.

SRM Energy Limited has received final observations from the Securities and Exchange Board of India (SEBI) regarding its Draft Letter of Offer for an open offer under the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The company informed BSE Limited about this development through an official communication dated January 23, 2026.

Open Offer Details

The open offer involves the acquisition of equity shares and change in control of SRM Energy Limited. The key parameters of the transaction are structured as follows:

Regulatory Compliance and Next Steps

The final observations from SEBI, dated January 23, 2026, mark a significant milestone in the open offer process. Following the receipt of these observations, Sobhagya Capital Options Private Limited, serving as the Manager to the Open Offer, will proceed with suitable actions as directed by the regulator.

The offer manager will now take steps to open the offer on behalf of the acquirers in accordance with the provisions of SEBI SAST Regulations. This development follows the company's previous intimation dated September 25, 2025, indicating the regulatory process has been ongoing for several months.

Corporate Governance Framework

The transaction involves a change in control of SRM Energy Limited in favor of the acquirers, Mr. Umesh Narpatchand Sanghvi and Mrs. Sapna Sanghvi. The entire process is being conducted under the framework of SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011, ensuring compliance with regulatory requirements for such corporate transactions.

The company has fulfilled its disclosure obligations under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, by informing the stock exchange about this regulatory development. Company Secretary and Compliance Officer Pankaj Gupta signed the official communication to BSE Limited, maintaining transparency in the corporate action process.