KSS Ltd Q2 Results: Loss Narrows to ₹0.43 Cr Amid Insolvency

Introduction

KSS Limited, a media and entertainment company currently undergoing a Corporate Insolvency Resolution Process (CIRP), has announced its unaudited financial results for the second quarter of the fiscal year 2025-26. For the quarter ended September 30, 2025, the company reported a consolidated net loss of ₹0.43 crore. The results were approved by the Resolution Professional, who is managing the company's affairs as part of the ongoing insolvency proceedings initiated in January 2023.

Q2 FY26 Financial Highlights

In the September 2025 quarter, KSS Limited recorded net sales of ₹0.48 crore, a slight decrease from the ₹0.50 crore reported in the preceding quarter (June 2025). The company's total income for the quarter stood at ₹0.48 crore. Total expenditure was managed at ₹0.46 crore, resulting in a profit before interest, depreciation, and tax (PBIDT) of ₹0.03 crore. After accounting for a depreciation of ₹0.45 crore, the company posted a net loss of ₹0.43 crore. This marks a marginal increase in loss compared to the ₹0.42 crore loss in the June 2025 quarter but is a significant improvement from the ₹1.32 crore loss reported in the March 2025 quarter.

Performance Trend Analysis

The company's financial performance over the last five quarters reveals a consistent struggle with profitability. While net sales have fluctuated within a narrow band, ranging from ₹0.30 crore to ₹0.62 crore, the bottom line has remained negative. The most significant loss was recorded in the quarter ending March 2025, primarily driven by a spike in total expenditure to ₹1.26 crore. In contrast, the expenditure for the September 2025 quarter was contained, reflecting operational adjustments under the Resolution Professional's oversight.

Corporate Insolvency Context

KSS Limited has been under the Corporate Insolvency Resolution Process (CIRP) since an order dated January 24, 2023. Consequently, the powers of the Board of Directors are vested in the Resolution Professional (RP), Mr. Dharmendra Dhelariya. All corporate decisions, including the approval of financial results, are made by the RP. The latest financial statements were considered and approved in a meeting held on November 13, 2025, in compliance with SEBI's Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015.

Key Financial Metrics Summary

The following table summarizes the key financial data for KSS Limited over the last five quarters, providing a clear overview of its performance trajectory.

Operational and Governance Overview

The company's operations, as reflected in its financials, show minimal revenue from sales and other income sources. The primary challenge remains managing expenditures effectively to minimize losses while the resolution process unfolds. The approval of the Q2 results, along with the Independent Auditors' Limited Review Report, ensures regulatory compliance and transparency for stakeholders during this critical period. The meeting to approve these results was brief, commencing at 4:00 PM and concluding at 4:30 PM on November 13, 2025, indicating a straightforward procedural approval by the RP.

Market Position and Outlook

Operating within the Media & Entertainment sector, KSS Limited's future is intrinsically linked to the outcome of the CIRP. The ongoing process aims to find a viable resolution plan to revive the company or manage its assets in the best interest of its creditors. Until a resolution plan is approved and implemented, the company is expected to continue its operations under the supervision of the Resolution Professional. The consistent reporting of financial results provides necessary data for potential resolution applicants and existing stakeholders to assess the company's financial health.

Conclusion

KSS Limited's Q2 FY26 results show a continued period of financial distress, marked by a net loss of ₹0.43 crore. While the loss is slightly higher than the previous quarter, it represents a substantial reduction from the peak loss seen in March 2025. The company's management by the Resolution Professional remains focused on maintaining operations and complying with regulatory requirements as the broader insolvency process continues. The path forward for KSS Limited will be determined by the developments within the CIRP framework.