Kesar Enterprises Limited has released its unaudited financial results for the quarter ended September 30, 2026. The company reported a net loss of ₹1,756.12 lakhs for the quarter. Furthermore, a material uncertainty exists regarding the company’s ability to continue as a going concern, as its current liabilities exceeded current assets by ₹32,384.46 lakhs as of that date.
Financial Performance for Q2 FY27
Kesar Enterprises Limited announced its unaudited financial results for the quarter and half-year ended September 30, 2026, following a Board of Directors meeting on November 13, 2026. The company reported a net loss of ₹1,756.12 lakhs for the quarter ended September 30, 2026. For the six-month period, the net loss stood at ₹3,609.18 lakhs.
Going Concern Uncertainty
A significant disclosure in the report highlights a material uncertainty concerning the company’s ability to continue as a going concern. As of September 30, 2026, the company’s current liabilities exceeded its current assets by ₹32,384.46 lakhs. This situation, coupled with the net loss incurred during the quarter, indicates potential doubts about the company’s long-term operational viability. Despite these challenges, the financial statements have been prepared on a going concern basis.
Operational and Financial Highlights
The company’s revenue from operations for the quarter ended September 30, 2026, was a mere ₹2.05 lakhs, a substantial decrease compared to ₹1,365.78 lakhs in the same period of the previous year. Total expenses for the quarter amounted to ₹1,847.13 lakhs.
For the six months ended September 30, 2026, total income was ₹121.22 lakhs, while total expenses reached ₹3,730.40 lakhs, leading to a net loss after tax of ₹3,609.18 lakhs.
Segmental Performance
The segmental results indicate significant losses across all segments. The Sugar segment reported a loss of ₹733.95 lakhs for the quarter, while the Cogen and Spirits segments reported losses of ₹355.95 lakhs and ₹141.16 lakhs respectively. The total loss before tax from segments was ₹1,231.06 lakhs.
Balance Sheet Position
As of September 30, 2026, the total assets of the company stood at ₹42,993.17 lakhs. The equity share capital remained at ₹1,007.97 lakhs, but other equity showed a significant negative balance of ₹6,193.27 lakhs (as of March 31, 2026, it was ₹6,193.27 lakhs, indicating a further deterioration). Total liabilities were ₹39,388.30 lakhs, with current liabilities at ₹33,658.43 lakhs.
Cash Flow Update
The cash flow from operating activities for the six months ended September 30, 2026, showed a net cash used of ₹1,007.86 lakhs. Investing activities used ₹325.43 lakhs, while financing activities generated ₹318.93 lakhs. The net decrease in cash and cash equivalents for the period was ₹363.50 lakhs, with the closing balance at ₹62.52 lakhs.
Other Disclosures
The company also noted that due to the seasonal nature of the business, performance in the current quarter is not comparable to the previous quarter. It has incurred substantial losses, leading to the erosion of its net worth, and is actively seeking investors and monetizing non-operating assets. The company has defaulted on a term loan from the Sugar Development Fund, leading to a Company Petition filed in NCLT.
Source: BSE
