Simbhaoli Sugars Limited Posts Unaudited Results as Company Undergoes Corporate Insolvency Resolution Process

Simbhaoli Sugars Limited Posts Unaudited Results as Company Undergoes Corporate Insolvency Resolution Process​

Simbhaoli Suggars Limited, which is currently operating under the Corporate Insolvency Resolution Process (CIRP), has reported its standalone unaudited financial results for the quarter ending June 30, 2026. The results were reviewed and taken on record by the Interim Resolution Professional (IRP).

During a meeting convened by the IRP on August 12, 2026, key operational and governance matters related to the company were discussed and approved.

Governance and Personnel Updates​

The management structure saw changes during the CIRP period. Ms. Gursimran Kaur Mann continued as a Non-Executive Director (Member of Suspended Board) with effect from August 1, 2026, following the completion of her tenure as Managing Director. Similarly, Mr. Roop Rajinder Singh resigned from his position as Corporate Human Resource Head effective July 1, 2026.

The company has been managed by the appointed IRP, Anurag Goel (IBBI/IPA-001/IP-P-00876/2017-18/11460), since the commencement of the CIRP process on July 11, 2024.

Financial Performance Overview​

The standalone unaudited financial results for the quarter ending June 30, 2026, reflected a substantial net loss. The IRP's auditor issued an adverse conclusion based on the review of these results, noting the company's negative net worth and working capital.

Key elements that led to the adverse finding included defaults in payments to banks and creditors, substantially lower sugarcane availability at the Chilwariya sugar mill, and the filing of recovery proceedings against guarantors by the Punjab National Bank (PNB), which had declared the company and its suspended Board members as fraudulent in the loan account.

A summary of the standalone unaudited financial results for the quarter ending June 30, 2026, is presented below:

Adverse Conclusions and Audit Findings​

The Independent Auditor's Limited Review Report highlighted several factors that impacted the financial presentation:

• Interest Liabilities: No provision for interest expenses on borrowings from banks was made in the standalone results for the quarter ending June 30, 2026 (Previous Quarter ended June 30, 2025 amount: ₹8360.277 Lakhs; current amount: ₹9350.66 Lakhs).
• Related Party Debt: No provision for interest payable on unsecured loans from a related company was made during the CIRP period (Current quarter: ₹10.92Lakhs; Previous Quarter: ₹10.92Lakhs). The accumulated interest expense not provided for up to June 30, 2026, aggregates to ₹83.43 Lakhs.
• Farmer Dues: No provision was made for the interest liability on delayed payment of sugar cane dues to farmers, with claims amounting to ₹12,163.25 Lakhs filed before the IRP office as of July 11, 2024.

Segment Performance​

The company's performance across its operational segments showed a loss before finance costs and tax for the quarter ending June 30, 2026. The segment results are detailed below:


The total segment loss before finance costs and tax was (1,645.50) Lakhs. Segment assets totaled 1,71,688.15 Lakhs across Sugar, Distillery, and Unallocated categories.

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SIMBHALS Stock Price Movement​

On Wednesday, shares of Simbhaoli Sugars Limited edged higher in the market, gaining 0.14% to settle at ₹7.04. The stock recorded a total traded volume of 26,661 shares during the session.