Unitech Limited Board Approves Un-audited Financial Results for Q1 FY27

Unitech Limited announced that its Board of Directors, in a meeting held on Thursday, 13th August 2026, approved the Un-audited Financial Results (Standalone and Consolidated) for the quarter ended 30th June 2026. The meeting commenced at 09:30 a.m. and concluded at 11:45 a.m. Copies of the Limited Review Report from the Statutory Auditors on both Standalone and Consolidated Financial Results were enclosed with the disclosure.

Further details within the auditor's report highlight significant ongoing issues. The company's financial statements are prepared on a going concern basis, despite erosion of net worth and incurred losses. The management is addressing challenges in meeting obligations and servicing current liabilities, including bank loans and public deposits. The company also faces various pending litigation matters. The new management has inherited projects with substantial construction and residual works to be completed.

The auditor's report expresses a disclaimer of conclusion, stating that due to legacy issues inherited by the new management, they have not been able to obtain sufficient appropriate evidence to provide a basis for expressing a conclusion on whether the Un-audited Standalone Financial Results are prepared in accordance with applicable accounting standards and regulations, or if they contain material misstatements. Specific concerns include the non-impairment assessment of investments, insufficient evidence for recognition of fair value of estimated loss allowance on loans and advances, and potential understatement of losses due to unprovided interest on public deposits.

The company is engaged in various processes including reconciling balances, estimating contingent liabilities, conducting physical verification of assets, assessing net realizable value of inventories, and conducting impairment assessments for investments. The company also faces issues related to trade payables, outstanding statutory liabilities, and delays in repayment of non-convertible debentures and term loans.

Significant ongoing legal and financial restructuring efforts are noted, including the Resolution Framework for Unitech Group pending before the Hon'ble Supreme Court, One Time Settlement (OTS) discussions with secured creditors, and efforts to resolve issues with Noida and Greater Noida Authorities. The company also has pending matters related to a forensic audit and has not yet appointed at least one woman director on its Board.