Olympic Cards Limited has disclosed a default on its term loan payment to HDFC Bank Ltd, marking a significant development for the Chennai-based wedding cards and stationery manufacturer. The company filed the mandatory disclosure with the Bombay Stock Exchange on January 30, 2026, regarding the payment default that occurred on December 31, 2025.

Default Details and Financial Impact

The total default amount stands at Rs. 0.1517 crore, breaking down into specific components that highlight the company's payment challenges.

Loan Facility Specifications

The defaulted payment relates to a substantial term loan facility that Olympic Cards had secured from HDFC Bank Ltd under specific terms and conditions.

Overall Debt Position

The disclosure provides insight into Olympic Cards' broader financial obligations and debt structure. The company's total outstanding borrowings from banks and financial institutions amount to Rs. 9.28 crore. As of September 30, 2025, the company's total financial indebtedness, including both short-term and long-term debt, stood at Rs. 12.23 crore.

Company Background

Olympic Cards Limited, incorporated in 1992 with CIN L65993TN1992PLC022521, operates from its registered office at 195, N.S.C. Bose Road, Chennai. The company has been in the wedding cards business for over 50 years, manufacturing a diverse range of products including wedding cards, greeting cards, business cards, office stationery, notebooks, diaries, calendars, and various printing materials. The company trades on BSE under script code 534190.

Regulatory Compliance

The disclosure was made in accordance with regulatory requirements mandating listed entities to inform stock exchanges about defaults on payment of interest or repayment of principal amounts on loans from banks and financial institutions. This transparency measure ensures that investors and stakeholders remain informed about material developments affecting the company's financial standing.

Olympic Cards Limited has reported a net loss of Rs 99.65 lakhs for the quarter ended September 30, 2025, according to the company's latest financial results. This loss represents a slight increase from the Rs 90.21 lakhs loss reported in the same quarter of the previous year.

Financial Performance

The company's financial performance for the quarter ended September 30, 2025, is summarized in the table below:

Despite an increase in total income from operations, which rose to Rs 305.47 lakhs from Rs 237.73 lakhs in the corresponding quarter of the previous year, the company continued to face challenges in achieving profitability.

Debt Settlement and Property Sale

In a significant development, Olympic Cards has fully settled its dues to Religare Finvest Ltd on October 30, 2025. The company utilized the proceeds from the sale of its property at Kannigaiper, Thiruvallur District, to clear this long-pending debt. The property was sold for a total consideration of Rs 18.00 crores.

The Board of Directors has taken this step to reduce finance costs, penalties, and fines payable on overdue amounts, which may potentially improve the company's financial position in the coming quarters.

Outstanding Liabilities

Despite the settlement with Religare Finvest, Olympic Cards still faces significant financial obligations:

1. Bank Dues:

   • HDFC Bank (Overdraft): Rs 5.92 crores
   • HDFC Bank (Term Loan): Rs 4.06 crores
   • ICICI Bank: Rs 52.74 lakhs

2. GST Dues: The company has pending GST dues totaling Rs 2.95 crores, with appeals pending for most amounts.

3. Employee-related Dues:

   • Employees Provident Fund: Rs 5.02 lakhs (for April 2025 to September 2025)
   • Employees State Insurance: Rs 4.96 lakhs (from August 2022 to September 2025)

Balance Sheet Overview

As of September 30, 2025, Olympic Cards reported:

• Total Assets: Rs 4,279.83 lakhs
• Total Liabilities: Rs 4,350.17 lakhs
• Negative Equity: Rs 70.34 lakhs

The negative equity position indicates that the company's liabilities exceed its assets, highlighting the financial challenges it continues to face.

Future Outlook

While the settlement of dues to Religare Finvest is a positive step, Olympic Cards Limited still faces significant financial hurdles. The company's ability to manage its remaining debt obligations and improve operational performance will be crucial for its future prospects.