Kaynes Technology has issued a clarification regarding the classification of cash flows from financing activities for the financial year ended March 31, 2026. The management confirmed that this adjustment is purely a presentational correction within the statement of cash flows. The reclassification does not impact the company’s total cash flow, closing cash and cash equivalents, profit and loss, balance sheet, or earnings per share, ensuring no change to the underlying financial position.
Understanding the Reclassification
Following the filing of the financial statements for the year ended March 31, 2026, on May 13, 2026, management identified an error in the categorization of specific financing activities. The company has since rectified the presentation to ensure greater clarity in its consolidated and standalone financial reporting. It is important to note that this change does not alter the company’s overall cash position, as the transactions were already correctly captured in the books of account.
Impact on Financial Presentation
The correction involves shifting figures between line items such as long-term borrowings, short-term borrowings, and interest expenses. For the consolidated statement, the revised figure for long-term borrowings is 3,621.27, while short-term borrowings are (2,700.62) and interest expense is (1,139.98). Similar adjustments were made to the standalone statement to reflect accurate classification standards.
Audit Confirmation
The Audit Committee and the Board of Directors have been briefed on this reclassification. Furthermore, the company’s Statutory Auditors have confirmed that this correction is limited to the statement of cash flows and does not have any impact on their previously issued audit opinion on the Consolidated and Standalone Financial Statements for the fiscal year ending March 31, 2026.
Source: BSE
