KMS Medisurgi Limited has formally communicated to BSE Limited regarding its exemption from corporate governance reporting requirements for the quarter ended 31st December 2025. The company cited its listing status on the BSE SME Platform as the basis for this exemption under SEBI regulations.

Regulatory Exemption Details

The exemption is granted under Regulation 15(2) of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015. This regulation specifically exempts certain categories of listed entities from compliance with corporate governance provisions.

Scope of Corporate Governance Exemptions

Under the regulatory framework, companies listed on SME exchanges are exempt from multiple corporate governance requirements. The exemption covers a comprehensive range of regulations and provisions that typically apply to mainboard listed companies.

The specific regulations from which SME-listed companies are exempt include:

• Regulations 17, 17A, 18, 19, 20, 21, 22, 23, 24, 24A, 25, 26, and 27
• Clauses (b) to (i) and (t) of sub-regulation (2) of regulation 46
• Para C, D and E of Schedule V

Alternative Exemption Criteria

The SEBI regulations also provide exemptions for companies meeting specific financial thresholds. Companies with paid-up equity share capital not exceeding ₹10.00 crores and net worth not exceeding ₹25.00 crores as on the last day of the previous financial year are also eligible for similar exemptions.

Company Communication

KMS Medisurgi Limited's communication to BSE was signed by Managing Director Siddharth Kanakia (DIN: 07595098) on 13th January 2026. The company formally requested BSE to take note of this exemption status for their records.

This regulatory exemption allows SME-listed companies like KMS Medisurgi Limited to focus on their core business operations while maintaining compliance with applicable regulations specific to their listing segment.

KMS Medisurgi Limited , a company listed on the BSE SME platform, has announced its financial results for the half-year ended September 30. The company reported a profit of Rs 29.63 lacs, with revenue from operations standing at Rs 661.66 lacs.

Financial Highlights

The company's performance shows a slight decrease compared to the previous half-year, where it reported a profit of Rs 36.10 lacs.

Balance Sheet Overview

As of September 30, KMS Medisurgi's balance sheet reflects the following:

Auditor's Observations

The company's auditors, H H Dedhia & Associates, have highlighted two areas of concern in their limited review report:

1. Employee Benefit Accounting: The auditors noted that the company's method of accounting for post-employment benefits and other long-term employee benefits under defined benefit plans deviates from AS-15 on Employee Benefits. The quantum of this deviation could not be ascertained due to the lack of an actuarial report.

2. Inventory Valuation: The closing stock, valued at Rs 295.45 lacs, has been physically verified and valued by the management. However, the auditors were unable to comment on the movement of stock and the accuracy of this value due to ongoing reconciliation processes.

Management's Response

The company's management, led by Managing Director Siddharth Kanakia, has acknowledged these points and is working on addressing them. They have stated that the company is in the process of reconciling stock records with books of accounts.

Market Implications

While KMS Medisurgi has shown profitability, the auditor's observations may raise some concerns among investors. The company's ability to address these issues in the coming months could be crucial for maintaining investor confidence.

It's important to note that as a company listed on the BSE SME platform, KMS Medisurgi is exempt from certain regulatory requirements, including the adoption of IND-AS for financial reporting.

Investors and stakeholders are advised to consider both the financial performance and the auditor's observations when evaluating the company's overall position.