Elango Industries Reports Narrowed Losses, Announces Key Leadership Changes
Elango Industries Limited reported a reduced net loss of Rs 4.89 lakhs for Q1 2025-26, down from Rs 9.59 lakhs in the previous year. Revenue increased to Rs 21.19 lakhs from Rs 4.32 lakhs. The company announced several leadership changes, including the re-appointment of Mr. S. Elangovan as Managing Director and the appointment of Mrs. Ashitha K as an Independent Director. New auditor appointments were made, subject to shareholder approval. An audit observation highlighted concerns over a Rs 1.09 crore electricity subsidy receivable, which the management considers recoverable.
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Elango Industries Limited , a Chennai-based company, has reported a reduction in net loss for the quarter ended June 30, 2025, alongside significant corporate governance updates and leadership changes.
Financial Performance
The company reported a net loss of Rs 4.89 lakhs for the quarter, an improvement from the Rs 9.59 lakhs loss recorded in the same period last year. Revenue from operations saw a substantial increase, rising to Rs 21.19 lakhs from Rs 4.32 lakhs year-over-year, indicating a positive trend in the company's core business activities.
| Particulars | Q1 2025-26 (Rs. in Lakhs) | Q1 2024-25 (Rs. in Lakhs) |
|---|---|---|
| Revenue from Operations | 21.19 | 4.32 |
| Net Loss | (4.89) | (9.59) |
Leadership Changes and Board Appointments
Elango Industries has made several key leadership changes:
Mr. S. Elangovan has been re-appointed as Managing Director for a five-year term from August 13, 2025, to August 12, 2030, subject to shareholder approval.
Mrs. Ashitha K has been appointed as an additional Independent, Non-Executive Women Director for a five-year term, effective August 13, 2025. She will also chair the Audit Committee, Nomination and Remuneration Committee, and Stakeholders Relationship Committee.
Dr. M. Ramasamy's tenure as Independent Director concluded on June 28, 2025.
Auditor Appointments
The company has made several auditor appointments:
- Mr. S Ganesan appointed as Secretarial Auditor for five years (FY 2025-26 to FY 2029-30)
- M/s. P Pattabiramen & Co re-appointed as Statutory Auditor for five years (FY 2025-26 to FY 2029-30)
- M/s. B. Panneer & Co appointed as Internal Auditor for FY 2025-26
All appointments are subject to shareholder approval at the forthcoming Annual General Meeting.
Audit Observations
The independent auditor's review report highlighted a qualified conclusion regarding a balance of Rs 1.09 crore under Loans & Advances, identified as an Electricity Subsidy receivable pending for an extended period. The auditors noted insufficient information to ascertain the recoverability of this balance, an issue persisting since March 2022.
In response, the company's management stated they are in the process of recovering the electricity subsidy and consider it recoverable, committing to take appropriate steps for its recovery.
Elango Industries continues to operate on a going concern basis, with its financial statements prepared accordingly. The company's board has approved these results and various corporate actions in its meeting held on August 13, 2025.
As the company navigates through its financial challenges and implements strategic changes in leadership and governance, stakeholders will be watching closely to see how these developments impact Elango Industries' future performance and market position.
Historical Stock Returns for Elango Industries
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +4.93% | +15.49% | +11.20% | -1.49% | +5.68% | +547.06% |
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