Olympic Cards FY26 Results Show Net Loss Amid Auditor Concerns

Olympic Cards Ltd. announced a net loss of ₹25.94 lakh for the fiscal year ending March 31, 2026, with total income reaching ₹1,276.42 lakh. The company also reported a net loss of ₹154.99 lakh for the fourth quarter of FY26.

Financial Performance

The company's full-year results indicate a net loss of ₹0.26 crore on an income of ₹12.76 crore. The fourth quarter saw a more significant loss of ₹1.55 crore.

Auditor Qualifications Raise Concerns

Adding to financial pressures, the company's auditors issued a qualified opinion. This was due to an inability to obtain necessary confirmations for significant balances related to trade receivables, trade payables, and advances. Furthermore, the auditors noted that the company has not been using accounting software equipped with an audit trail facility, raising questions about transparency and record-keeping practices.

Management Changes and Backstory

In personnel news, Mr. N. Mohamed Iqbal was appointed Manager (Marketing) effective May 18, 2026, with a monthly salary of ₹49,000. The company also adopted Indian Accounting Standards (Ind AS) for the current financial year.

For comparison, in the previous financial year ended March 31, 2025, Olympic Cards reported a larger net loss of ₹4.39 crore on an income of ₹9.63 crore. The FY26 results show a reduction in the overall annual net loss compared to the prior year.

Key Risks and Next Steps

Investors are watching several key risks, including pending appeals for GST dues totaling approximately ₹2.92 crore and outstanding statutory dues for Employee Provident Fund (EPF) and ESI amounting to ₹4.07 lakh and ₹0.60 lakh, respectively (excluding penalties).

Moving forward, investors will likely focus on the outcomes of the GST dues appeals. Resolving the issues that led to the qualified audit opinion, particularly obtaining confirmations for outstanding balances, will be crucial for restoring confidence. Compliance with accounting software and audit trail requirements will also be important to monitor.