Dharti Proteins Ltd (531171) Quarterly Report Analysis & Insights

Dharti Proteins Ltd

| Quarterly Financial Results Q3 FY 2025-26

⬤19th Mar 26

Summary : Dharti Proteins Limited is an inoperative company under CIRP with significant financial and regulatory challenges, facing a qualified audit opinion.

Quarterly Report Analysis & Insights

Financial Disclosures

Total Expenses: Q3 FY26: 3.82 Lakhs; 9M FY26: 11.33 Lakhs.
Depreciation and amortisation expense: Q3 FY26: 0.09 Lakhs; 9M FY26: 0.27 Lakhs.
Other expenses: Q3 FY26: 3.73 Lakhs; 9M FY26: 11.06 Lakhs.
Rs. 150.46 Lakhs in loans and advances are long outstanding bad debts.
Revenue from Operations: Q3 FY26: 0.44 Lakhs; 9M FY26: 2.93 Lakhs.
Other Income: Q3 FY26: 0.00 Lakhs; 9M FY26: 0.00 Lakhs.
Total Assets: 232.53 Lakhs (unaudited, before adjustments).
Total Liabilities: 378.95 Lakhs (unaudited, before adjustments).
Net Worth: -146.42 Lakhs (unaudited, before adjustments).
Paid up Equity Share Capital: 1027.72 Lakhs.
Standalone financial results.

Corporate Overview

Registered office in Ahmedabad, Gujarat, India.
Inoperative status and no trading/manufacturing activities.
Negative financial indicators and operating indicators.
Corporate Insolvency Resolution Process (CIRP) admitted by NCLT.
Non-compliance with MSMED Act regarding creditor classification and payment delays.
Outstanding loans and advances (Rs. 150.46 Lakhs) deemed bad debts, leading to asset overstatement and loss understatement.
Lack of clear evidence for accuracy and existence of other current assets and liabilities.
Non-payment of Listing Fees for the financial year.
Company is inoperative since last few years with no trading or manufacturing activities.
Factual reporting of board meeting outcomes and NCLT order.
Minimal revenue from operations (0.44 Lakhs for the quarter ended Dec 31, 2025).
Effectively zero due to inoperative status.

Risk Factors

Company is inoperative, no trading activities.
Significant doubt about going concern ability.
Assets overstated, losses understated.
Non-compliance with regulatory requirements.

Key Drivers

NCLT approved Corporate Insolvency Resolution Plan.
Shareholding restructuring for new promoters.
Potential for company revival post-CIRP.
Resolution of long-standing financial liabilities.

Auditor’s Report

Qualified Opinion
MSMED Act Compliances: Inability to determine classification of creditors, payment delays, and interest liability.
Going Concern: Company is inoperative, no trading/manufacturing, negative indicators, NCLT admitted CIRP, substantial doubt about continuing as a going concern.
Loans and Advances: Rs. 150.46 Lakhs outstanding, deemed bad debts, leading to overstatement of assets and understatement of losses.
Other Current Assets and Liabilities: No concrete evidence for accuracy and existence.
Financial results not prepared in accordance with applicable Indian Accounting Standards (Ind AS) and SEBI regulations.

Board Commentary

Company's ability to continue as a going concern is in substantial doubt.
Assets may be overstated and losses understated due to bad debts.
Non-compliance with MSMED Act regarding creditor payments.
NCLT Ahmedabad Bench admitted Corporate Insolvency Resolution Process (CIRP) application.
Non-compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.
Non-compliance with Companies Act, 2013 and Indian Accounting Standards (Ind AS).
Non-payment of Listing Fees for the financial year.
Resolution Plan involves reducing public shareholding to 25,000 equity shares.
Allotment of 50,000 equity shares to Financial Creditors.
Allotment of 4,25,000 equity shares to Successful Resolution Applicant and promoters.

Corporate Governance

Governance is influenced by the Corporate Insolvency Resolution Process (CIRP).
Audit Committee reviewed the financial results.
Non-compliance with SEBI Listing Obligations and Disclosure Requirements.
Non-compliance with Companies Act 2013 and Indian Accounting Standards (Ind AS).
Company under Corporate Insolvency Resolution Process (CIRP).

Management Discussion & Analysis

Future Strategy

Implementation of NCLT-approved Resolution Plan.
Restructuring of shareholding as per the Resolution Plan.

Operational Focus Areas

Managing the Corporate Insolvency Resolution Process (CIRP).
Implementing the NCLT-approved Resolution Plan.

Performance Drivers

Company is inoperative, hence no performance drivers.

Risk Control Measures

Resolution Plan under CIRP aims to restructure the company.

Critical Risks

Going concern risk due to inoperative status and negative financial indicators.
Risk of financial misstatement due to qualified audit opinion.
Regulatory non-compliance (MSMED Act, SEBI regulations, Companies Act).
Inability to recover significant outstanding loans and advances.