Impex Ferro Tech reported a net loss of ₹176.6 lakh for Q1 FY27, representing a significant widening from the ₹94.2 lakh loss recorded in Q4 FY26, according to latest financial results reviewed by V.K. Tulsyan & Co. LLP. The Kolkata-based ferro alloys manufacturer continues to face operational challenges with zero operational revenue as its manufacturing plant has remained shut since October 2022 due to power supply disconnection by the Damodar Valley Corporation (DVC). The company's earnings per share (EPS) stood at ₹0.20 for the quarter, compared to ₹0.11 in the previous quarter.
The company reported zero sales for both Q1 FY27 and Q4 FY26, as well as the corresponding quarter of the previous financial year ended June 2025, as reported by V.K. Tulsyan & Co. LLP. This absence of revenue generation across all quarters indicates prolonged operational challenges that may be impacting the company's ability to generate income from its core business activities. The slight quarter-on-quarter increase in net loss is attributable to lower other income in Q1 FY27 (₹0.64 lakh) compared to Q4 FY26 (₹99.05 lakh), rather than an increase in operating costs.
The financial results show a net loss widening from ₹186.6 lakh in Q1 FY26 to ₹176.6 lakh in Q1 FY27, representing a marginal improvement year-on-year. However, the company continues to report losses despite the marginal improvement, indicating ongoing operational challenges that may require strategic interventions to achieve profitability. The absence of operational revenue underscores the prolonged stagnation of the company's core business, with manufacturing halted for over three years.
Impex Ferro Tech is undergoing Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code, 2016, with the National Company Law Tribunal (NCLT), Kolkata Bench, extending the CIRP period by 60 days until August 7, 2026. Key developments include the Committee of Creditors (COC) approving the resolution plan submitted by Ankoor Distillers Private Limited on July 24, 2026, which is currently pending NCLT approval. The company's financial results were reviewed under a qualified conclusion by independent auditors, citing several material uncertainties including unreconciled liabilities and attached assets.
The company's financial performance reflects the impact of the power supply disconnection by the Damodar Valley Corporation (DVC) since October 2022, which has kept the manufacturing plant shut for over three years. Total expenses for Q1 FY27 stood at ₹177.3 lakh, primarily driven by depreciation and amortization charges of ₹162.4 lakh. For the full year ended March 31, 2026, the company reported a net loss of ₹643.4 lakh against zero operational revenue. The company's cash burn is sustained entirely by non-cash depreciation charges and minimal administrative expenses, highlighting the need for successful resolution of the insolvency proceedings to restore operational capacity.
