Oswal Agro Mills Announces FY2026 Audited Financial Results, Details Inter-Corporate Deposit Provision

Oswal Agro Mills Announces FY2026 Audited Financial Results, Details Inter-Corporate Deposit Provision​

Oswal Agro Mills Limited announced the audited financial results for the quarter and year ended March 31, 2026, following the meeting of its Board of Directors held on May 26, 2026. The company also released its consolidated financial statements, which featured a qualified opinion from the statutory auditors, Mehta Chokshi & Shah LLP.

The Board of Directors reviewed and approved the audited financial results (standalone and consolidated), along with the respective statements of assets, liabilities, and cash flows.

Standalone Financial Results​

The statutory auditors, M/s Mehta Chokshi & Shah LLP, issued the audit reports on the annual standalone financial results for the financial year ended March 31, 2026. The audit report provided an opinion stating that the standalone annual financial results give a true and fair view in conformity with applicable Indian Accounting Standards.

The auditors highlighted an "Emphasis of Matter" regarding the provision for an Inter-Corporate Deposit (ICD). A provision of Rs. 5,71,78,641 was made against an ICD and associated interest receivable extended to Eternys Infra Private Limited. Due to significant uncertainty regarding recoverability, the full provision, including the interest, was recognized as an exceptional item, reducing the carrying value of the ICD to Nil.

The consolidated financial results reported an Inter-Corporate Deposit (ICD) provision of Rs. 5,71,78,641, also recognized as an exceptional item, for the same amount and recipient, Eternys Infra Private Limited.

Consolidated Financial Results Highlights​

The consolidated results included the annual financial statements of the Parent Company and its Associate, Oswal Greentech Limited. The audit report provided a qualified opinion, citing several factors.

Key points from the qualified opinion included:

1. Associate Company Issues: A dispute regarding interest charged on Inter-Corporate Deposits (ICDs) with a borrower was raised, with the Associate Company having contested the resulting arbitration award before the Hon. High Court of New Delhi. Consequently, the Parent Company's Profit After Tax (PAT) and Investments (Non-current) were understated by Rs 2,086.73 lakh and Rs.5,772.67 lakh, respectively, to the extent of the Parent Company's share in the Associate.
2. ICD and Real-Estate Advances Uncertainty: The audit noted that the Associate Company had ICDs and real estate advances aggregating to Rs. 1,22,676.83 lakh outstanding as of March 31, 2026, which were subject to confirmation from counterparties that were not received. This uncertainty made it impossible to determine if adjustments or provisions for doubtful/irrecoverable amounts were necessary for these ICDs and advances.

Financial Performance Summary (Lakhs)​

The company's financial performance data for the year ended March 31, 2026, compared to the previous year, is presented below:

Balance Sheet and Cash Flow Snapshot (Lakhs)​

Consolidated Statement of Assets and Liabilities (As at March 31)​

Cash Flow Summary (Net Cash from Operations)​

The net cash generated from operating activities showed the following trend:

OSWALAGRO Stock Price Movement​

Today, Oswal Agro Mills Limited shares edged higher, gaining 4.60% to close at ₹48.12. The stock saw brisk activity during the session, trading on a volume of 60,362 shares.