Pokarna Limited has disclosed to stock exchanges that it received an Income Tax Assessment Order for Assessment Year 2024-25, resulting in a demand of Rs.1.28 crore including interest. The company made this disclosure under Regulation 30 of SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

Assessment Order Details

The Income Tax Assessment Order was issued by the Assessment Unit of the Income Tax Department under section 143(3) read with section 144B of the Income Tax Act. The order is dated February 25, 2026, and was received by the company on February 26, 2026.

Nature of Violations

The assessing officer proposed certain additions with respect to returned income in the assessment order. The company received this order for the income tax return filed for assessment year 2024-25, wherein specific adjustments were made to the originally filed return.

Company's Response and Impact

Pokarna Limited has indicated that based on advice from tax advisors, the company believes the aforementioned demand is not maintainable. The company is in the process of preferring an appeal against the said order.

The company has stated that there is no immediate impact on the financials, operations, or other activities due to this assessment order. This disclosure was made by Company Secretary and Compliance Officer Pratima Khandu Gulankar as part of the company's regulatory compliance obligations.

Regulatory Compliance

The disclosure was made pursuant to SEBI Circular No. HO/49/14/14(7)2025-CFD-POD2/1/3762/2026 dated January 30, 2026, along with the standard listing regulations. The company provided detailed information about the nature of the order, potential violations, and the expected impact on business operations as required under the regulatory framework.

Pokarna Limited has reported its consolidated financial results for Q3, showing significant decline across key financial metrics. The company's net profit dropped substantially while revenue and profitability margins faced pressure during the quarter.

Financial Performance Overview

The company's consolidated financial performance for Q3 demonstrates challenging operating conditions with substantial declines in revenue and profitability. Despite the downturn, the company maintained reasonable EBITDA margins above 30%.

Profitability Analysis

The company's EBITDA performance reflects the impact of lower revenue on operational efficiency. While EBITDA declined significantly to ₹407 million from ₹776 million, the margin compression was relatively contained at 452 basis points.

Business Performance

The revenue decline of nearly 40% indicates significant market challenges faced by the company during the quarter. The proportional decline in EBITDA suggests that the company maintained reasonable cost control measures despite the revenue pressure. The company continues to operate with healthy margins despite the challenging business environment.