Toyam Sports Limited has announced its financial results for the quarter and half-year ended September 30, 2026. The company reported a net loss of ₹42.02 lakh for the quarter. The results also highlight significant audit qualifications from ASGR & CO, particularly concerning the company’s approach to impairment of financial assets and non-compliance with certain statutory liabilities. These qualifications raise concerns about the valuation of assets and financial reporting accuracy.
Toyam Sports Financial Performance for Q2 FY27
Toyam Sports Limited has released its unaudited standalone financial results for the quarter and half-year ended September 30, 2026. The company recorded a net profit/(loss) of ₹-42.02 lakh for the quarter ended September 30, 2026, compared to a loss of ₹-26.73 lakh in the previous year’s corresponding quarter. For the half-year ended September 30, 2026, the net profit/(loss) stood at ₹-15.10 lakh.
Audit Qualifications Impact Financial Reporting
The accompanying limited review report by ASGR & CO, Chartered Accountants, has raised several significant qualifications that impact the interpretation of the financial statements. A primary concern is the company’s non-provision for impairment of financial assets using the expected credit loss (ECL) approach as per Indian Accounting Standard (Ind AS) 109. The auditors are unable to assess the potential future impact due to unrecognized impairment. Furthermore, the company has not conducted an impairment analysis for loans and advances as required by Ind AS 36. Other qualifications relate to the applicability of Section 45-IA of the RBI Act, SEBI notices and investigations, and non-compliance with statutory liabilities like Professional Tax and TDS. These qualifications cast doubt on the recoverability of certain assets and the overall accuracy of the financial reporting.
Key Financial Highlights (Standalone)
- Revenue from operations for the quarter ended September 30, 2026, was ₹5.50 lakh.
- Total income for the quarter was ₹5.50 lakh.
- Total expenses for the quarter amounted to ₹32.32 lakh, resulting in a net loss.
- Earnings per share (basic and diluted) for the quarter was ₹(0.005).
Consolidated Financial Overview
On a consolidated basis, Toyam Sports Limited reported a net profit/(loss) of ₹-7.57 lakh for the quarter ended September 30, 2026. The consolidated total income for the quarter stood at ₹132.61 lakh, with total expenses at ₹140.27 lakh. The auditors also expressed qualified conclusions on the consolidated financial results, citing similar issues related to financial asset impairment and other regulatory matters.
Related Party Transactions
The company also disclosed related party transactions for the year ended March 31, 2026. These include payments for rent, advances, and remuneration to key managerial personnel and entities associated with them. Details of these transactions and their respective balances were provided, reflecting ongoing financial dealings with related parties.
Source: BSE
