Paragon Finance Reports FY 2025-26 Annual Loss

Total Income stood at Rs 1.29 crore, while the Net Loss reached Rs 1.11 crore for the fiscal year.

Reader Takeaway: Revenue contraction and a shift to net losses highlight significant operational pressure for Paragon Finance.

What just happened

Paragon Finance has released its financial results for the fiscal year 2025-26, revealing a decline in performance compared to the previous year. The company recorded a loss of Rs 1.11 crore, a reversal from the profit of Rs 0.31 crore reported in FY 2024-25. Total income also saw a sharp decline to Rs 1.29 crore, down from Rs 2.80 crore.

Management and Governance Update

In response to the challenging financial climate, the board has approved significant reductions in executive remuneration effective May 1, 2026. Sanjay Kumar Gupta’s monthly pay has been reduced to Rs 1 lakh from Rs 3 lakh, while Aloke Kumar Gupta’s pay has been cut to Rs 50,000 from Rs 5 lakh. The company also announced the appointment of Mrs. Raveena Agrawal as a Non-Executive Independent Director and the resignation of Mr. Anshul Goenka from the same post, both effective August 31, 2026.

Risks to watch

Beyond the primary financial contraction, investors should monitor the ongoing litigation involving the company. Specifically, Paragon Finance is dealing with a case under the Negotiable Instruments Act, 1881, for which a quashing petition is currently pending before the High Court of Karnataka.

What to track next

The 40th Annual General Meeting, scheduled for September 26, 2026, will be the next critical touchpoint where these management changes and financial results will be formally considered.