Transglobe Foods Reports Net Loss of Rs 10.20 Lakhs in Half-Year Results, Auditors Highlight Going Concern Uncertainty

Transglobe Foods Limited has released its unaudited financial results for the quarter and half-year ended September 30, 2025, revealing continued financial challenges for the company.

Financial Performance

The company reported a net loss of Rs 4.96 lakhs for the quarter ended September 30, 2025, and a cumulative net loss of Rs 10.20 lakhs for the half-year period. Notably, Transglobe Foods generated no revenue from operations during the quarter, indicating significant operational challenges.

Expense Breakdown

The company's total expenses for the quarter amounted to Rs 5.21 lakhs, primarily consisting of:

Expense Category	Amount (in Rs lakhs)
Employee benefits	1.82
Finance costs	1.39
Other expenses	2.30

Accumulated Losses and EPS

As of September 30, 2025, Transglobe Foods' accumulated losses reached Rs 90.08 lakhs, reflecting the company's ongoing financial difficulties. The earnings per share (EPS) for the quarter stood at negative Rs 3.42.

Auditor's Review and Going Concern Uncertainty

In their limited review report, the auditors, Bilimoria Mehta & Co., highlighted a material uncertainty regarding the company's ability to continue as a going concern. This assessment is based on the company's net losses and accumulated losses.

Management's Response and Future Outlook

Despite the financial challenges, the company's management remains optimistic about its future prospects:

Deferral Agreements: Transglobe Foods has secured deferral agreements from lenders to postpone loan repayments until March 31, 2026.
Revenue Generation: Management believes it can generate sufficient revenue to repay borrowings in the future.

Board Meeting and Approvals

The company's Board of Directors met on November 11, 2025, and approved the unaudited standalone financial results for the quarter and half-year ended September 30, 2025. The meeting, which began at 3:00 PM and concluded at 4:30 PM, also took on record the Limited Review Report from the auditors.

Investors and stakeholders should closely monitor Transglobe Foods' future performance and any strategic initiatives the company may undertake to address its financial challenges and improve its operational results.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+1.85%	-12.03%	+8.48%	+54.04%	+68.87%	+63.32%

Transglobe Foods Limited, a Mumbai-based company, has released its unaudited standalone financial results for the quarter ended June 30, revealing a net loss and raising questions about its ability to continue as a going concern.

Financial Performance

The company reported a net loss of ₹5.23 lakhs for the quarter ended June 30. This loss contributes to Transglobe Foods' accumulated losses, which now stand at ₹85.10 lakhs. The financial results were approved by the company's Board of Directors at a meeting held on August 12.

Auditor's Review and Going Concern Uncertainty

Bilimoria Mehta & Co., the company's statutory auditors, conducted a review of the financial results. In their report, the auditors highlighted a material uncertainty related to Transglobe Foods' ability to continue as a going concern. This assessment is based on the company's recent financial performance and accumulated losses.

Management's Perspective

Despite the concerns raised by the auditors, Transglobe Foods' management remains optimistic about the company's future. The management has cited several factors supporting their view:

Deferral of Repayments: The company has received deferral letters from creditors regarding the repayment of borrowings and interest.
Revenue Generation: Management expressed confidence in the company's ability to generate sufficient revenue to repay its borrowings and other liabilities.
Going Concern Basis: Based on these factors, the management believes that the use of the going concern basis of accounting remains appropriate for the preparation of financial statements.

Regulatory Compliance

The financial results were prepared in accordance with the Indian Accounting Standard 34 (Ind AS 34) and other accounting principles generally accepted in India. The company has submitted these results in compliance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

As the company navigates through these financial challenges, stakeholders will be closely watching Transglobe Foods' performance in the coming quarters to assess its ability to turn around its financial situation and address the going concern uncertainties.