Scan Projects FY26 Financials and Merger Update

Revenue grew by 31.4% to Rs 15.69 crore, while Profit After Tax rose by 20.3% to Rs 0.71 crore.

Reader Takeaway: Strong operational growth and merger synergies are balanced against a critical qualified audit report requirement.

What just happened

Scan Projects Limited has published its 34th Annual Report for the fiscal year ended March 31, 2026. The company showcased improved profitability, with EBITDA jumping over 100% to Rs 0.63 crore. The Board has decided against recommending a dividend for the current financial year.

Why this matters

The company is aggressively pursuing a merger with Chanderpur Industries Private Limited to consolidate its position in the turnkey projects market. While the BSE has provided a 'No Adverse Observation' regarding the merger, the process now rests with the National Company Law Tribunal (NCLT).

Auditor and Governance Update

A significant highlight for investors is the 'Qualified Audit Report' identified in the company's Form A. This indicates that the statutory auditors have expressed reservations regarding certain financial disclosures or accounting practices. Shareholders are encouraged to examine the full audit report for specific details on the audit qualifications.

Related Party Transactions

The company maintains extensive business ties with Chanderpur-linked entities, including Chanderpur Works Private Limited and Chanderpur Renewal Power Co. Private Limited. These transactions involve significant inter-company sales, services, and financial guarantees.

What to track next

Investors should monitor the upcoming Annual General Meeting (AGM) and any specific NCLT announcements regarding the merger timeline. Additionally, clarity on the audit qualifications remains a priority for long-term governance tracking.