Haryana Financial Corporation Ltd. FY26 Results and Winding-Up Update

₹7.73 crore net profit announced for FY26; ₹12.32 crore total income reported.

Reader Takeaway: Profit reported amidst liquidation; delisting is the key event for shareholders.

What just happened

Haryana Financial Corporation Ltd. (HFC) has announced its financial results for the year ended March 31, 2026. The company reported a net profit of ₹7.73 crore for FY26, a significant turnaround from a net loss of ₹0.01 crore in the previous fiscal year. Total income for FY26 stood at ₹12.32 crore.

Crucially, HFC has ceased its lending operations since May 2010 and is in the process of winding up and delisting from the Bombay Stock Exchange (BSE).

Why this matters

For shareholders, the profit figure needs to be viewed in the context of the company's non-operational status and impending liquidation. The primary focus shifts from operational performance to the realization of value from asset liquidation and the delisting process. The company's auditor has raised a 'Going Concern' doubt, underscoring the liquidation scenario.

The backstory

HFC, a state-owned financial institution, has been moving towards winding up its operations. The State Government of Haryana has recommended liquidation and initiated the delisting process from the BSE. A committee has been formed to manage the winding-up, and a merchant banker is appointed for the delisting.

What changes now

The focus will now be on the execution of the delisting process and the orderly winding up of assets. Investors will await the final valuation and payout from the liquidation, which will determine the ultimate returns.

Risks to watch

Key risks include pending litigation from ex-employees and tax authorities, which could impact the final asset value. The auditor's 'Emphasis of Matter' regarding the going concern status highlights the uncertainty. Furthermore, the Gross Non-Performing Assets (NPA) stand at 100%, indicating the entire loan portfolio is non-performing.

Peer comparison

As HFC is in liquidation, direct peer comparison based on operational performance is not applicable. Its situation is unique, focusing on asset realization rather than business growth.

Context metrics (time-bound)

• Net Profit (FY26): ₹7.73 crore
• Total Income (FY26): ₹12.32 crore
• Accumulated Losses (as of 31.03.2026): ₹521.57 crore
• Paid-up Equity Capital (as of 31.03.2026): ₹207.66 crore
• Gross NPA (as of 31.03.2026): 100%
• Lending operations ceased: May 2010

What to track next

Investors should closely monitor updates on the delisting price finalization, the progress of the winding-up committee, and any resolutions to pending legal disputes.