Pagaria Energy Limited half-year loss widens to Rs 91.13 lakh

Pagaria Energy Limited reported a Rs 91.13 lakh net loss for the half year ended 30 September 2026, compared with a Rs 0.23 lakh loss a year earlier, as finance cost reached Rs 79.05 lakh and investing activities used Rs 4.84 crore of cash.

What drove Pagaria Energy’s half-year loss?

Pagaria Energy’s half-year loss was driven chiefly by finance cost of Rs 79.05 lakh. Total income was Rs 0.04 lakh and total expenses were Rs 91.17 lakh for the six months ended 30 September 2026, producing a pre-tax loss of Rs 91.13 lakh; with no tax expense reported, the net loss was the same amount.

The loss widened from Rs 0.23 lakh in the half year ended 30 September 2025, when the company recorded no finance cost. In the 2026 half year, employee-benefit expense was Rs 4.20 lakh, other expenses were Rs 7.83 lakh and depreciation and amortisation expense was Rs 0.09 lakh, in addition to the interest-related charge.

The quarter ended 30 September 2026 contributed a Rs 85.16 lakh loss, compared with a Rs 5.97 lakh loss in the quarter ended 30 June 2026. The comparable quarter ended 30 September 2025 recorded a Rs 0.59 lakh loss. Pagaria Energy said it operates in one segment, so Indian Accounting Standard 108 segment reporting was not applicable.

The audit committee reviewed the unaudited results and the board approved them on 12 November 2026. The statutory auditor performed a limited review for the quarter and six months ended 30 September 2026 and stated that nothing had come to its attention suggesting a material misstatement in the standalone results.

How did Pagaria Energy fund investments and advances?

Pagaria Energy funded most of its disclosed investment deployment with new borrowing proceeds during the half year ended 30 September 2026. Investing activities used Rs 4.84 crore, comprising Rs 2.41 crore for investments and Rs 2.44 crore for long-term loans and advances, partly offset by Rs 0.88 lakh received from the sale of property, plant and equipment.

Borrowing proceeds were Rs 5.67 crore in the same six months, while interest paid was Rs 79.05 lakh. The cash-flow statement also recorded Rs 16.35 lakh under other non-current liabilities and Rs 0.11 lakh of other financing outflow, leaving net cash from financing activities of Rs 5.05 crore.

The prior-year half was different because it contained no investing outflow. For the half year ended 30 September 2025, Pagaria Energy reported Rs 5.44 crore of borrowing proceeds and Rs 5.44 crore of net financing cash flow, with no interest payment shown in the cash-flow statement.

Operating activities used Rs 18.36 lakh in the 2026 half year, compared with Rs 4.57 crore in the corresponding 2025 period. The current-period operating cash outflow reflected an operating loss before working-capital changes of Rs 12.03 lakh, a Rs 4.32 lakh reduction in other current liabilities and a Rs 1.79 lakh reduction in trade payables.

What changed in Pagaria Energy’s balance sheet?

Pagaria Energy’s total assets rose to Rs 21.82 crore at 30 September 2026 from Rs 16.96 crore at 31 March 2026. Non-current investments increased to Rs 2.42 crore from Rs 1 lakh, while non-current loans increased to Rs 18.49 crore from Rs 16.21 crore.

The increases in non-current investments and loans broadly correspond with the cash-flow statement’s Rs 2.41 crore investment outflow and Rs 2.44 crore outflow for long-term loans and advances. The filing does not identify the investments or the counterparties, terms, maturity dates, security or expected returns for the long-term loans and advances.

Long-term borrowings increased to Rs 16.53 crore at 30 September 2026 from Rs 10.85 crore at 31 March 2026. Other non-current liabilities were Rs 16.35 lakh at the half-year end, compared with nil at the preceding 31 March balance-sheet date.

Equity declined to Rs 4.95 crore from Rs 5.86 crore over the six months. Equity share capital was unchanged at Rs 4.35 crore, while other equity fell to Rs 59.60 lakh from Rs 1.51 crore, alongside the Rs 91.13 lakh half-year loss.

What was Pagaria Energy’s cash position at September 2026?

Pagaria Energy ended 30 September 2026 with cash and cash equivalents of Rs 2.33 lakh, up from Rs 0.27 lakh at the beginning of the half year. The Rs 2.06 lakh increase followed Rs 5.05 crore of net financing cash inflow, which exceeded the combined Rs 18.36 lakh operating outflow and Rs 4.84 crore investing outflow.

The comparable half year ended 30 September 2025 closed with cash and cash equivalents of Rs 89.39 lakh, up from Rs 2.38 lakh at the start of that period. That increase was Rs 87.01 lakh, supported by Rs 5.44 crore of financing inflow despite Rs 4.57 crore of cash used in operating activities.

Current assets were Rs 60.82 lakh at 30 September 2026, compared with Rs 58.53 lakh at 31 March 2026. Trade receivables remained Rs 52.40 lakh, current loans were unchanged at Rs 2.21 lakh, and other current assets increased to Rs 3.12 lakh from Rs 2.89 lakh.

Current liabilities fell to Rs 18.48 lakh from Rs 24.59 lakh between 31 March 2026 and 30 September 2026. Trade payables declined to Rs 18.48 lakh from Rs 20.27 lakh, while other current liabilities, shown at Rs 4.32 lakh at 31 March 2026, were nil at the half-year end.

What does the filing disclose about future income from the deployment?

Pagaria Energy’s filing does not disclose expected income, interest receipts or returns from the Rs 2.41 crore investment outflow and Rs 2.44 crore long-term-loan-and-advance outflow. The profit-and-loss statement reported only Rs 0.04 lakh of total income for the half year ended 30 September 2026.

The cash-flow statement records no interest income for either the 2026 half year or the corresponding half year ended 30 September 2025. It does show a Rs 0.04 lakh profit on sale of property, plant and equipment and a Rs 0.09 lakh depreciation and amortisation adjustment in the 2026 operating cash-flow reconciliation.

Conclusion

Pagaria Energy’s half-year filing shows a wider Rs 91.13 lakh loss as finance cost reached Rs 79.05 lakh, while its balance sheet expanded through higher investments, loans and long-term borrowings. Assets increased by Rs 4.86 crore from 31 March 2026, and long-term borrowings increased by Rs 5.67 crore over the same period.

The key unresolved matter is the use and expected return of the Rs 4.84 crore deployed in investments and long-term loans and advances during the half year. Future company disclosures would clarify whether those balances generate income or cash receipts and whether finance cost changes from the Rs 79.05 lakh reported for the six months ended 30 September 2026.