Virtual Global Education Limited has announced its quarterly results for Q3FY26 ended December 31, 2025, showing a turnaround to profitability despite ongoing auditor concerns and documentation issues that continue to affect the company's financial reporting.

Q3FY26 Financial Performance

The company reported a significant improvement in its financial performance for the quarter:

For the nine months ended December 31, 2025, the company reported a net loss of ₹10.84 lakh compared to ₹35.78 lakh loss in the corresponding period last year.

Board Meeting Outcomes and Major Warrant Conversion

The Board of Directors meeting held on January 14, 2026, approved several key decisions including a significant warrant conversion:

The newly allotted equity shares rank pari-passu with existing equity shares, with remaining convertible warrants to be considered for conversion within 15 days of receiving balance amounts.

Persistent Auditor Concerns

The auditor's review report highlighted continuing issues that have affected the company since previous quarters:

Financial Irregularities

The auditor reiterated concerns about fraudulent activities by former CFO Mr. Ankit Sharma, involving misappropriation of ₹88.17 lakh through fictitious payments and unauthorized fund transfers. The amount remains unrecovered with no provision made in financial statements.

Documentation Issues

Several transactions lack adequate supporting documentation:

IPO Proceeds Compliance

Despite the ongoing concerns, Virtual Global Education confirmed no deviations in IPO proceeds utilization, stating funds were used as per the prospectus requirements under Regulation 32 of SEBI Listing Regulations.

Leadership Structure

The company continues to operate under the leadership changes implemented in November 2025, with Mr. Prasanna Mohapatra serving as Whole Time Executive Director and Mr. Navneet Kumar Mishra as Company Secretary and Compliance Officer.

While the company has achieved a quarterly profit turnaround and completed a major warrant conversion, the persistent auditor concerns regarding financial irregularities and documentation issues continue to pose challenges for stakeholder confidence and regulatory compliance.

Virtual Global Education Limited has announced a crucial board meeting scheduled for July 30th, 2025, to address several important matters, including the review of quarterly financial results and strategic corporate decisions.

Key Agenda Items

The board meeting, set to take place at the company's registered office in Delhi at 3:00 PM, will cover a wide range of topics:

1. Financial Results Review: The board will consider and approve the un-audited standalone and consolidated financial results for the quarter ended June 30th, 2025, along with the limited review report.

2. Annual General Meeting (AGM) Preparations:

   • Approval of the draft notice and finalization of the date, time, and other arrangements for the AGM for the financial year ended March 31st, 2025.
   • Approval of the draft Director's Report and related items.
   • Appointment of NSDL for conducting remote e-voting.
   • Appointment of a scrutinizer for e-voting at the AGM.

3. Board Composition and Management:

   • Consideration of re-appointing Mrs. Anubha Chauhan as an Independent Director for a second term.
   • Appointment of a new Company Secretary and Compliance Officer, who will also serve as a Key Managerial Personnel (KMP).

4. Potential Rights Issue: The board will discuss and potentially approve a proposal for issuing equity shares to existing shareholders on a rights basis, subject to necessary regulatory and statutory approvals.

5. Registered Office Relocation: Plans to shift the company's registered office within the same city will be considered.

Trading Window Closure

In compliance with SEBI regulations, the trading window for the company's securities is currently closed and will remain so until 48 hours after the declaration of the un-audited financial results.

Investor Implications

This board meeting holds significant importance for investors and stakeholders of Virtual Global Education Limited. The potential rights issue, if approved, could provide existing shareholders with an opportunity to increase their stake in the company. Additionally, the re-appointment of an independent director and the appointment of a new Company Secretary may influence the company's governance structure.

Investors should keep a close watch on the outcomes of this meeting, particularly the quarterly financial results and any decisions regarding the proposed rights issue, as these could potentially impact the company's stock performance and future direction.

The company has demonstrated its commitment to transparency by providing detailed information about the upcoming board meeting through its LODR (Listing Obligations and Disclosure Requirements) filing, ensuring that all stakeholders are well-informed about the agenda and potential outcomes.