CMX Holdings, now rebranded as Riwind Green Energy, reported nil revenue for FY 2025-26 with a net loss of Rs 0.68 crore. Statutory auditors flagged severe going concern risks due to negative net worth and inability to conduct its former NBFC business. Governance concerns remain high following auditor observations regarding missing loan documentation and non-compliant accounting software.
CMX Holdings FY 2025-26 Financials: Auditor Flags Going Concern Risk
Revenue: Nil | Net Worth: Negative Rs 6.35 crore
Reader Takeaway: Rebranded firm faces severe liquidity and governance hurdles; pivot to renewable energy remains purely speculative at this stage.
What just happened
CMX Holdings Limited, now known as Riwind Green Energy Limited, has released its financial results for FY 2025-26. The company reported zero revenue from operations and a net loss of Rs 0.68 crore. Its net worth has eroded to negative Rs 6.35 crore, with total accumulated losses reaching Rs 24.40 crore. The statutory auditor, S. K. Mehta & Co., has issued a qualified opinion, citing significant uncertainty regarding the company’s status as a going concern.
Why this matters
The company’s primary business as an NBFC was halted following a rejection from the Reserve Bank of India. Without a clear path to operational revenue, the company is struggling with solvency issues. Auditor concerns regarding unverified unsecured borrowings of Rs 2.55 crore and missing audit trails in accounting software suggest material weaknesses in internal controls and corporate governance.
The backstory
The company is undergoing a major transition after failing to sustain its NBFC operations. It has rebranded to Riwind Green Energy Limited to signal a shift toward the renewable sector. The board has also seen significant turnover, including the resignation of the former Managing Director, Aveen Kaur Sood, and the appointment of new Whole-Time Directors, Amay Vatsalya and Dhiraj Mishra.
What changes now
The management has abandoned a previous plan to increase authorized share capital to Rs 2,500 crore, deeming it unwarranted. The focus has theoretically shifted to mobilizing funds for renewable energy projects, though the company has provided no concrete project timeline or revenue visibility. Management claims they are working to fix accounting compliance issues, but the financial strain persists.
Risks to watch
Investors should be wary of the 'Going Concern' warning, which signals that the auditors are not confident in the firm's ability to survive without substantial capital infusion. The inability to verify over Rs 2.5 crore in loans raises red flags about financial transparency. Any further delays in business commencement or failure to resolve auditor qualifications could heighten delisting or regulatory risks.