Rathi Bars Limited has announced its unaudited financial results for the quarter and half-year ended September 30, 2026. The company reported a significant net loss of ₹1,138.25 lakhs for the quarter, and a net loss of ₹1,138.25 lakhs for the half-year ended September 30, 2026. Notably, the auditor’s report flags material uncertainty regarding the company’s ability to continue as a going concern, citing significant doubt due to ongoing operational suspensions, proposed asset monetization, and outstanding litigation.
Rathi Bars Reports Significant Net Loss for Q2 FY27
Rathi Bars Limited has disclosed its unaudited financial results for the quarter and half-year ended September 30, 2026. The company recorded a net loss of ₹1,138.25 lakhs for the quarter, a substantial downturn from the previous year. For the half-year period, the net loss stood at ₹1,138.25 lakhs, reflecting ongoing financial challenges.
Auditor Flags Going Concern Uncertainty
Adding to the financial concerns, the independent auditor, Masar & Co., has highlighted a material uncertainty in its review report. The auditor notes that based on information and explanations, the company’s manufacturing operations have remained suspended up to the end of the quarter due to several factors, including income-tax search proceedings, environmental restrictions, amendments to operating consents, and increased power tariffs. Furthermore, the proposed monetization of assets for repayment of bank dues may significantly affect future operations. These factors collectively indicate the existence of material uncertainty that casts significant doubt on the Company’s ability to continue as a going concern.
Key Financials and Provisions
The company’s revenue from operations for the quarter was minimal at ₹1.50 lakhs. Total expenses for the quarter amounted to ₹1,139.75 lakhs, leading to a loss before exceptional items and tax of ₹1,138.25 lakhs. The statement also shows that the company recognized a provision for bad and doubtful debts of ₹9.96 crore during the quarter. The auditor’s report also pointed out that certain cash credit and term loan facilities have been classified as Non-Performing Assets (NPA) and remain unpaid. An amount of ₹64.21 crore outstanding towards TREDS financiers also remains unpaid and is under litigation.
Balance Sheet Highlights
As of September 30, 2026, Rathi Bars Limited’s total assets stood at ₹23,012.14 lakhs. The equity share capital remained stable at ₹1,633.04 lakhs, while other equity saw a decrease to ₹4,163.66 lakhs from ₹6,863.70 lakhs as of March 31, 2026. Total liabilities were ₹17,215.44 lakhs, with current liabilities being the larger component at ₹16,372.95 lakhs.
Source: BSE
