Microse India Reports ₹1.72 Crore Loss for FY26

Microse India recorded a net loss of ₹1.72 crore for the year ending March 31, 2026, a significant shift from a profit in the previous year. Revenue from operations also turned negative at ₹-1.18 crore.

Reader Takeaway: Trading losses drive annual loss; NBFC compliance issue noted.

What just happened

Microse India Limited announced its financial results for the fiscal year ended March 31, 2026. The company registered a net loss of ₹1.72 crore (₹172.32 lakh). This contrasts with a profit of ₹0.96 crore reported for the year ended March 31, 2025.

Revenue from operations for the fiscal year was ₹-1.18 crore (₹-118.23 lakh), down from ₹1.36 crore in the prior year. The company clarified that its revenue from operations primarily includes losses stemming from Futures and Options (F&O) trading activities.

In the fourth quarter of FY26, Microse India reported a loss of ₹0.21 crore (₹-21.36 lakh), compared to a profit of ₹1.10 crore in the same quarter last year. Quarterly revenue from operations stood at ₹0.0314 crore (₹3.14 lakh).

Why this matters

The net loss and negative revenue highlight challenges in the company's core trading operations. Investors need to understand the volatility associated with F&O trading and its impact on the company's bottom line. Additionally, an observation by the independent auditor regarding the financial reporting format raises governance and compliance questions for NBFCs.

The backstory

In the fiscal year ended March 31, 2025, Microse India had reported a profit of ₹0.96 crore on revenue of ₹1.36 crore. The shift to a loss-making position in FY26, driven by F&O trading, signals a significant change in performance.

What changes now

Investors will closely watch how Microse India manages its F&O trading activities to mitigate losses. The company must also address the auditor's concern regarding the financial reporting format to comply with NBFC regulations. The resignation of M/s Laddha & Laddha as Internal Auditors and the appointment of M/s ARK Jain & Associates for FY 2026-27 is an operational change.

Risks to watch

The primary risk lies in the volatile nature of F&O trading, which has directly impacted profitability. The auditor's 'Emphasis of Matter' note regarding the financial reporting format, even if the opinion is not modified, points to a potential compliance gap that could attract regulatory scrutiny.

Auditor and compliance remarks

The independent auditor pointed out that Microse India, classified as an NBFC, used a financial reporting format applicable to non-NBFC entities, contrary to SEBI circular guidelines. While the auditor's opinion is not modified on this matter, it highlights a deviation from prescribed standards.

Context metrics

• Total assets decreased to ₹1.53 crore as of March 31, 2026, from ₹5.07 crore in the previous year.
• Short-term borrowings reduced to ₹1.03 crore from ₹2.95 crore.
• Equity share capital stood at ₹2.16 crore as of March 31, 2026.

What to track next

Investors should monitor the company's future financial results, focusing on the performance of its F&O trading segment and any improvements in reporting compliance with NBFC regulations.