Anka India Q2 Financial Results and Auditor Qualifications

Consolidated Net Loss: Rs 0.35 crore | Total Revenue: Rs 1.64 crore

Reader Takeaway: Continued losses combined with auditor red flags regarding asset valuation require cautious scrutiny by all shareholders.

What just happened

Anka India Ltd has released its financial results for the quarter and half-year ended September 30, 2026. The firm reported a consolidated net loss of Rs 34.67 lakh on a revenue of Rs 1.64 crore for the second quarter. The standalone figures were even lower, showing a revenue of Rs 0.58 crore and a net loss of Rs 56.88 lakh for the same period.

Why this matters

The statutory auditors, R.S. Prabhu & Associates, have issued a limited review report with specific qualifications. These qualifications are critical for investors as they directly impact the company's balance sheet strength. First, the auditors noted that goodwill worth Rs 18.96 crore, arising from the reverse merger with Futech Internet Private Limited, has not been tested for impairment, despite the company's lack of active business operations. Second, the auditors questioned the recognition of Rs 35.37 lakh in Minimum Alternative Tax (MAT) credit as an asset, citing the company's history of losses.

The backstory

Anka India underwent a significant corporate restructuring through a share swap arrangement dated March 13, 2025, acquiring 100% of Futech Internet Private Limited. This transaction was accounted for as a reverse merger under IND AS 103, leading to the current consolidated structure.

Risks to watch

Investors should monitor the potential for future write-downs of goodwill and the de-recognition of MAT credit assets. These adjustments, if enforced by regulatory or further accounting oversight, could significantly alter the company's net worth and equity position.

What to track next

Watch for management responses regarding the impairment testing of goodwill and any strategic moves to resume active business operations to justify the current asset valuations.