MMTC Limited has announced the approval of its unaudited standalone and consolidated financial results for the quarter ended June 30, 2026. The board meeting also addressed a qualified conclusion from its independent auditors concerning a contingent liability related to the ‘Anglo Coal case,’ estimated at ₹82.82 crore. The company disagrees with the auditor’s qualification, disclosing this amount as a contingent liability.
MMTC Limited Board Approves Financial Results
The Board of Directors of MMTC Limited convened on August 11, 2026, to review and approve the company’s financial performance for the quarter ended June 30, 2026. The approved documents include the unaudited standalone and consolidated financial results, along with the corresponding limited review reports. These results are now available on the company’s website.
Auditor’s Qualified Conclusion on Contingent Liability
A significant point arising from the auditor’s review pertains to the ‘Anglo Coal case.’ The auditors noted that while the company has recognized a provision of ₹87.76 crore against an estimated present obligation of ₹170.58 crore, there is a non-recognition of provision to the extent of ₹82.82 crore. The company has treated this amount as a contingent liability rather than a provision. The independent auditors expressed a qualified conclusion, stating that this non-recognition constitutes a departure from accounting standards.
MMTC Limited’s management, however, respectfully disagrees with this qualification. They assert that the provision of ₹82.82 crore was not warranted on the reporting date and is appropriately disclosed as a contingent liability, considering accrued interest available with the Court. The management assesses that no separate or incremental outflow of resources is expected regarding this alleged differential liability.
Subsidiary and Joint Venture Financials
The consolidated financial results and segment information do not include the financials of MMTC Transnational Pte Ltd (MTPL), Singapore, as the company is under liquidation and its control has been transferred to the liquidators. Consequently, MMTC has no input regarding MTPL’s financials for the period. Similarly, financial results for MMTC Gitanjali Limited and Sical Iron Ore Terminal Ltd. were not received and consolidated. Free Trade Warehousing Pvt. Ltd.’s financial statements have also not been received since March 31, 2022.
Other Financial Disclosures
The financial statements also detail an interest-bearing advance/loan of ₹40 crore extended to CPF Trust on November 6, 2023. As of March 31, 2026, ₹35.50 crore has been repaid. Additionally, an amount of ₹5.43 crore was paid to Chennai Port Authority on July 17, 2026, as shortfall charges on land allotted for iron ore shipment in 2010.
Source: BSE
