Cosmic Energy & Motors Reports Q2 Profit of Rs 0.31 Crore

Profit After Tax stood at Rs 0.309 crore for the quarter ended September 30, 2026, compared to a loss of Rs 0.214 crore in June 2026.
Total Income for the quarter was reported at Rs 0.489 crore, reflecting the firm's transition under new ownership.

Reader Takeaway: New management pivot brings quarterly profit, but unpaid TDS and unlisted investment valuation remain significant governance risks.

What just happened

Cosmic Energy & Motors Ltd (formerly Shashank Traders Limited) released its financial results for the quarter ended September 30, 2026. This period marks a major structural shift for the company, following a change in management control where a new team acquired a 62.72% stake. The entity officially rebranded on August 29, 2026.

Why this matters

The company has moved back into the black, reporting a profit of Rs 0.309 crore. This is a notable departure from the losses incurred in the previous quarter and the corresponding period last year. The management transition signals an attempt to revitalize the company, which previously had no significant business revenue for an extended period.

Auditor's Emphasis of Matter

The statutory auditor, M/s. G K Tulsyan & Co., raised three specific points requiring investor attention:

• Investment Valuation: Unlisted equity shares are recorded at cost rather than fair value as mandated by IND AS 109.
• Balance Confirmation: Assets and liabilities remain subject to external confirmation.
• Unpaid TDS: The company has reported outstanding TDS liabilities that have remained unpaid since the start of the current financial year.

Risks to watch

Investors should closely monitor how the new management addresses the unpaid TDS issue, as statutory non-compliance can lead to regulatory scrutiny. Additionally, the reliance on unlisted investment valuations without current fair value assessments creates potential volatility in the balance sheet reporting. The success of this turnaround relies entirely on the management's ability to identify and scale new business ventures.

What to track next

Watch for disclosures regarding the specific nature of the 'new businesses' the management intends to pursue. Further updates on the regularization of tax payments and the resolution of pending balance confirmations will be critical indicators of operational maturity under the new leadership.