Shivom Investment & Consultancy Ltd has ceased NBFC activities and is pivoting to manufacturing. The auditor issued a Disclaimer of Opinion due to insufficient audit evidence, with asset verification pending. Trading remains suspended.
Shivom Investment & Consultancy Ltd: Audited Results, Disclaimer, and Business Pivot
Shivom Investment & Consultancy Ltd reported total income of ₹0.97 crore and net profit of ₹0.95 crore for the quarter ended March 31, 2026. For the year ended March 31, 2026, total income was ₹3.50 crore and net profit was ₹2.88 crore. Reader Takeaway: Auditor's disclaimer raises red flags, pivot to manufacturing yet to begin, trading suspended. ## What just happened The company has officially ceased all Non-Banking Financial Company (NBFC) activities following an NCLT-approved resolution plan. The statutory auditor, S Parth & Co, has issued a Disclaimer of Opinion on the financial results for the year ended March 31, 2026. This is due to an inability to obtain sufficient audit evidence as historical records are incomplete during the transition period. Asset and liability verification and valuation are ongoing. ## Why this matters The auditor's disclaimer significantly impacts the reliability of the reported financial figures. The cessation of the NBFC business means the company's core operations have ended, and its future hinges on a new manufacturing venture that has not yet commenced. The continued trading suspension restricts liquidity and market access for existing shareholders. ## The backstory Shivom Investment & Consultancy Ltd underwent a major capital restructuring as part of its insolvency resolution process approved on August 18, 2025. This involved significant changes to its equity structure, with the resolution applicant/promoter group set to hold approximately 94.99% of the post-restructuring capital. The company's shares have been under trading suspension, with an application for revocation filed on April 16, 2025, still pending. ## What changes now The company is transitioning from NBFC activities to manufacturing metal and metal-based products. Mr. Ravi Dhirajlal Vagadiya has been appointed as the Managing Director for five years from May 30, 2026. New statutory, secretarial, and internal auditors have also been appointed, signaling a governance overhaul. ## Risks to watch The primary risks include the ongoing lack of audited financial statements due to the disclaimer, the uncertainty surrounding the new manufacturing business's commencement and profitability, and the unresolved trading suspension. Verification of assets and liabilities is critical. ## Peer comparison Companies undergoing insolvency resolution often face auditor scrutiny and business pivots. However, a disclaimer of opinion is a severe concern. Compared to peers in the NBFC sector, Shivom's pivot to manufacturing and its current operational status without commenced activities make direct comparison challenging. ## Context metrics (time-bound) As of March 31, 2026, total assets stood at ₹38.25 crore, and total liabilities were ₹17.52 crore. The company reported total income of ₹0.97 crore and a net profit of ₹0.95 crore for the quarter ended March 31, 2026. ## What to track next Investors should monitor the progress on asset and liability verification, the official commencement of manufacturing operations, and any updates on the revocation of the trading suspension by the stock exchange.
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