Phantom Digital Effects Limited Acknowledges Fine from NSE Over Delayed Financial Reporting; Outlines Compliance Steps

Phantom Digital Effects Limited Acknowledges Fine from NSE Over Delayed Financial Reporting; Outlines Compliance Steps​

Phantom Digital Effects Limited, following a Board meeting on July 15, 2026, has addressed a fine levied by the National Stock Exchange of India (NSE) concerning the delayed submission of Audited Financial Results for the financial year ended March 31, 2026. The company has detailed its ongoing audit progress and outlined significant corrective measures to ensure timely regulatory compliance moving forward.

The NSE had imposed a fine related to non-compliance with Regulation 33 of the SEBI (Listing Obligations & Disclosure Requirements) Regulations, 2015. Based on the details provided by the Exchange regarding the delay in filing the Audited Financial Results (Standalone and Consolidated), the financial imposition is as follows:


The total fine payable, inclusive of GST @18%, amounts to Rs. 171,100.

Operational Context and Audit Status​

The Board noted that the delay in compliance with Regulation 33 of the SEBI LODR Regulations stems from complexities encountered during the financial year 2025-26. During this period, the company completed the acquisition of two overseas subsidiaries: Milk Visual Effects Limited in the United Kingdom and Tippet Studio Inc. in the USA. The financial statements of both acquired companies are currently being consolidated with Phantom Digital Effects Limited for the first time for the FY 2025-26.

The Board reviewed the progress of the audit process, noting that the audit is at an advanced stage of completion. Management confirmed that substantial progress has been achieved in the financial closing and consolidation process, and all efforts are being made to complete the remaining procedural formalities on priority. Upon finalizing these steps, the company plans to convene meetings of the Audit Committee and the Board of Directors for approval of the Audited Financial Results at the earliest opportunity.

Commitment to Governance and Corrective Measures​

The Board expressed sincere regret regarding the delay in compliance with Regulation 33 of the SEBI LODR Regulations, reiterating that timely financial reporting and regulatory adherence are paramount to the company.

To prevent recurrence of similar instances, the Board advised Management to institute several corrective and preventive measures. These actions include:

• Strengthening the financial closing process by establishing well-defined internal timelines and conducting periodic monitoring of key reporting milestones.
• Enhancing coordination between the company's internal finance team and its overseas subsidiaries to ensure the timely availability and consolidation of necessary financial information.
• Instituting regular review meetings with Management to monitor progress on financial closing, consolidation, and audit processes, allowing critical issues to be promptly addressed.
• Providing periodic status updates to both the Audit Committee and the Board as needed for the timely oversight of financial reporting and regulatory compliance matters.

The company affirmed its unwavering commitment to maintaining the highest standards of corporate governance, transparency, and regulatory compliance, expressing confidence that these implemented corrective measures will strengthen the compliance framework. Mr. Rajesh Kumar Samal, Company Secretary & Compliance Officer, was authorized to submit the Board comments to the NSE and initiate steps toward a waiver of the fine with the appropriate Committee of the Exchange.

PHANTOMFX Stock Price Movement​

Shares of Phantom Digital Effects Limited slipped by 1.13% to settle today at ₹187.25, reporting a decline of ₹2.15 from the previous close. The stock traded a volume of 13,800 shares during the session.