Premier Ltd Annual Report Update

Net Loss: Rs 5.87 Crore (FY 2025-26)
Net Worth: Fully Eroded

Reader Takeaway: Company remains in severe distress under CIRP with suspended operations, pending NCLT approval, and significant regulatory non-compliance.

What just happened

Premier Ltd has released its annual status report confirming its continued status under the Corporate Insolvency Resolution Process (CIRP). The company reported a net loss of Rs 5.87 crore for the financial year ending March 2026, compared to a loss of Rs 8.14 crore in the previous year. Revenue remains at nil, reflecting the ongoing suspension of manufacturing operations since March 2020.

Why this matters

Shareholders face a critical situation as the company's net worth is completely eroded. Management remains vested with the Resolution Professional, Ms. Kanak Jani, while the Board of Directors' powers are suspended. The resolution plan, approved by the Committee of Creditors in January 2022, is still pending approval from the NCLT Mumbai Bench, leaving the company's future in limbo.

The backstory

The firm entered the insolvency process on January 29, 2021. Since that time, the business has lacked the working capital required to resume production. The company is currently involved in legal disputes with its workers' union over unpaid wages, which are awaiting determination by the NCLT.

Auditor Concerns and Non-Compliance

Auditors have issued a qualified opinion, citing material uncertainty regarding the company’s ability to function as a going concern. Significant concerns include:

• Failure to appoint a CFO and a whole-time Company Secretary.
• Non-payment of listing fees to stock exchanges.
• Lack of a functional company website.
• Failure to implement internal systems for insider trading regulations.
• Non-appointment of an internal auditor.

Statutory Dues

Financial liabilities remain substantial, with unpaid statutory dues including Rs 4.08 crore in Local Body Tax, Rs 2.83 crore in Provident Fund, and Rs 1.15 crore in TDS.

What to track next

Investors should monitor the NCLT Mumbai Bench proceedings regarding the long-pending resolution plan, as this remains the primary mechanism for any potential revival of the company.