Electrotherm (India) reports Q2 loss, qualified audit opinion

Electrotherm (India) Limited announced its unaudited standalone and consolidated financial results for the quarter and half-year ended September 30, 2025. The standalone results show a net loss of INR (21.71) Crore for the quarter and a net profit of INR 5.97 Crore for the half-year. Consolidated results reported a net loss of INR (21.62) Crore for the quarter and a net profit of INR 6.13 Crore for the half-year. Total revenue from operations for the quarter was INR 814.26 Crore for both standalone and consolidated figures.

The audit report includes a qualified opinion due to the non-provision of interest on loan accounts classified as non-performing assets. For the quarter ended September 30, 2025, unprovided interest amounts to INR 36.79 Crore (standalone) and INR 48.01 Crore (consolidated). The cumulative unprovided interest stands at INR 988.94 Crore (standalone) and INR 1307.16 Crore (consolidated) as of September 30, 2025, leading to an understatement of net loss.

The company also faces material uncertainties related to the going concern of its subsidiaries and joint venture, including actions by the Ministry of Coal affecting Bhaskarpara Coal Company Limited, and recovery proceedings against Hans Ispat Limited. Additionally, several accounts, including trade receivables and payables, are subject to confirmation or reconciliation.