Nova Iron & Steel Limited has announced its unaudited financial results for the quarter ended June 30, 2026. The company’s independent auditors have issued a qualified conclusion due to unrecognized interest on borrowings from certain lenders and a material uncertainty regarding its going concern status, citing operational disruptions and litigations. Despite these concerns, the management has prepared the financial statements on a going concern basis.
Unaudited Financial Results Released
Nova Iron & Steel Limited has disclosed its unaudited standalone financial results for the quarter ending June 30, 2026. The company’s Board of Directors reviewed and approved these results on September 11, 2026. The financial statements were prepared in accordance with Indian Accounting Standards (Ind AS) 34.
Qualified Auditor Conclusion
The independent auditor’s review report highlights a qualified conclusion on the financial results. This qualification stems from the company’s failure to recognize interest on borrowings outstanding with respect to certain lenders within the finance costs for the quarter ended June 30, 2026. The impact of this omission is stated as unascertainable due to the lack of required information.
Going Concern Uncertainty
Furthermore, the auditor draws attention to a material uncertainty related to the company’s going concern assumption. The company has experienced disruptions, including the loss of its manufacturing base due to charge enforcement by lenders and pending litigations. While the management has commenced repaying dues and trading activities, these factors indicate a potential threat to the going concern status. Despite this, the financial results have been prepared on a going concern basis, with management citing reasons detailed within the accompanying notes.
Financial Highlights
For the quarter ended June 30, 2026, the company reported a Net Profit/Loss (-) after tax of ₹85.87 Lakhs. This compares to a loss of ₹534.79 Lakhs in the previous quarter ended March 31, 2026. Basic and Diluted Earnings Per Share (EPS) before exceptional items were ₹0.61 for the quarter ended June 30, 2026, compared to ₹0.62 for the same period in the prior year.
Exceptional Items
The financial results include Exceptional Items amounting to ₹310.62 Lakhs for the quarter, contributing to a profit before tax of ₹85.87 Lakhs after considering these items.
Source: BSE
