Unitech Limited announced the outcome of its Board meeting held on February 12, 2026, where directors approved key appointments and quarterly financial results under ongoing Supreme Court proceedings.

Board Meeting Decisions

The Board of Directors, in their meeting that commenced at 11:00 AM and concluded at 12:15 PM, approved two significant items:

Internal Auditor Profile

M/s Prem Arun Jain & Co., established in 1981 by late Mr. Arun Jain, is currently headed by Mr. Varun Jain with a team of 25 professionals. The firm comprises three partners and a dynamic team including Chartered Accountants, Company Secretaries, M.Com graduates, MBAs, and commerce graduates experienced in various auditing and financial procedures across multiple industries.

Financial Results Overview

The unitech group reported continued financial challenges in Q3FY26, with losses significantly widening compared to the previous year:

Exceptional Items Impact

The company recorded exceptional items of Rs 317.95 crore in Q3FY26, contributing significantly to widened losses. These items relate to corrections of financial inconsistencies inherited from erstwhile management, including Rs 190.00 crore related to a project erroneously recorded by previous management and Rs 127.95 crore related to tax provisions from 2017.

Supreme Court Proceedings

Unitech continues operating under government-appointed Board of Directors following Supreme Court directions from January 20, 2020. Recent developments include Supreme Court orders dated January 16, 2025, and January 22, 2026, directing dialogue between the company and banks for potential one-time settlement. NOIDA has approved revised layout plans for key projects in Sectors 96-97-98, 113, and 117 as per Supreme Court directions.

Outstanding Liabilities

The statutory auditors have issued a disclaimer of conclusion on the financial results, citing material uncertainty about the company's ability to continue as a going concern and various reconciliation issues inherited from previous management.

Unitech Group , a real estate company currently under government-appointed management, has reported a significant increase in net loss for the quarter ended September 30, 2025. The company's financial performance continues to be impacted by legacy issues and ongoing legal proceedings.

Key Financial Highlights

• Net loss widened to Rs 805.67 crore in Q2 FY26, compared to Rs 468.59 crore in the same period last year.
• Revenue from operations increased to Rs 138.08 crore, up from Rs 19.08 crore year-on-year.
• Outstanding loans from banks and financial institutions amount to Rs 10,530.22 crore.
• Unpaid public deposits stand at Rs 529.13 crore.

Ongoing Challenges and Management Efforts

Unitech Limited continues to operate under a government-appointed board following Supreme Court directions from January 2020. The company faces significant hurdles, including:

1. Pending approval of the Resolution Framework by the Supreme Court.
2. Material uncertainty regarding its ability to continue as a going concern.
3. Multiple legacy issues inherited from the previous management.

The current management is working on addressing these challenges, including:

• Seeking concessions and reliefs from the Supreme Court to fulfill obligations towards project completion and other liabilities.
• Exploring options for completing ongoing projects and generating additional revenues.
• Engaging in dialogue with banks and financial institutions to explore the possibility of One Time Settlement (OTS) for outstanding dues.

Auditor's Observations

The company's auditors have issued a disclaimer of conclusion, citing several concerns:

• Insufficient evidence for asset valuations
• Pending reconciliations across various financial items
• Lack of impairment assessment for investments in subsidiaries, joint ventures, and associates

Outlook

While Unitech Limited's increased revenue indicates some operational improvement, the company's financial health remains precarious. The resolution of ongoing legal matters and the Supreme Court's decisions on the proposed Resolution Framework will be crucial in determining the company's future trajectory.

Investors and stakeholders should closely monitor developments in the Supreme Court proceedings and the company's efforts to address its financial and operational challenges.