Setco Automotive FY26 Consolidated Audited Financials Issued with Modified Opinion
Setco Automotive Limited's FY26 consolidated audited financial statements have a modified opinion due to non-compliance with IFRS 10 for a subsidiary. The company reported a net loss of ₹428 lakhs on total income of ₹81,674 lakhs for FY26. Management believes there is no impact from the audit qualification.
A modified audit opinion, especially concerning IFRS compliance for a subsidiary, can raise concerns about financial transparency and the true financial health of the group, potentially impacting investor perception and valuation. However, the management's view of 'No Impact' mitigates the immediate severity.
The announcement details a modified audit opinion on the company's consolidated financial statements, which indicates potential issues with financial reporting or subsidiary compliance, negatively impacting investor confidence.
Setco Automotive Limited has announced that its statutory auditors, M/s. Sharp & Tannan Associates, Chartered Accountants, have issued an audit report with a modified opinion on the Consolidated Annual Audited Financial Statements for the financial year ended March 31, 2026.
The modification stems from the auditor's finding that consolidated financial statements for Setco Automotive (UK) Limited, a subsidiary, were not prepared as required by International Financial Reporting Standards (IFRS) 10. The auditors believe consolidated financial statements are necessary for a proper understanding of the Group's state of affairs.
The audited figures for the financial year ended March 31, 2026, show a Turnover/Total Income of ₹81,674 lakhs, Total Expenditure of ₹79,221 lakhs, resulting in a Net Profit/(Loss) of (₹428) lakhs and Earnings Per Share of (₹0.01). Total Assets stood at ₹53,438 lakhs, Total Liabilities at ₹1,24,255 lakhs, and Net Worth at (₹70,817) lakhs.
Management has stated there is 'No Impact' from this audit qualification, and they are unable to estimate further impact. The qualification has appeared for the first time. The declaration was submitted on September 1, 2026, with the audit report dated August 31, 2026.
A plain-language summary of a public exchange filing by Setco Automotive Limited. Read the original for the full detail.