Quantum Greentech cash falls to Rs 10.63 lakh by September 2026

Quantum Greentech Limited ended the six months to September 30, 2026 with cash and cash equivalents of Rs 10.63 lakh, down from Rs 30.77 lakh at March 31, 2026, after operations used Rs 44.14 lakh of cash despite a Rs 2.22 lakh net profit for the period.

Why did Quantum Greentech's cash balance fall?

Quantum Greentech's cash balance fell by Rs 20.14 lakh during the half year because a Rs 44.14 lakh net operating cash outflow exceeded a Rs 24 lakh financing cash inflow. The company began the period with Rs 30.77 lakh of cash and cash equivalents and ended it with Rs 10.63 lakh, compared with Rs 27.97 lakh at the end of the six months to September 30, 2025.

The operating cash outcome reversed from an inflow of Rs 33.32 lakh in the corresponding prior-year half. Before income-tax payments, operating activities generated an outflow of Rs 42.14 lakh in the six months to September 2026, versus an inflow of Rs 33.32 lakh a year earlier. Net tax payments of Rs 2 lakh increased the reported cash use to Rs 44.14 lakh.

The cash-flow statement records no investing cash flow in the latest half year, whereas the prior-year period included Rs 6.98 lakh of payments for property, plant and equipment and intangible assets. Financing cash flow was a Rs 24 lakh inflow in the latest period, compared with a Rs 16.89 lakh outflow in the previous-year half, reflecting the reported increase in borrowings.

What caused the operating cash outflow?

Quantum Greentech's operating cash outflow was principally linked to working-capital movements, including a Rs 58 lakh increase in trade receivables and a Rs 57.57 lakh decline in other current liabilities. Those uses of cash were partly offset by a Rs 50.81 lakh increase in trade payables and a Rs 18.58 lakh decrease in other financial assets.

The balance sheet shows trade receivables of Rs 58 lakh at September 30, 2026, while no amount is shown for that line at March 31, 2026. Other current assets increased to Rs 19.03 lakh from Rs 17.94 lakh, and loans rose to Rs 0.19 lakh from no reported opening balance. These movements align with the cash-flow statement's Rs 1.09 lakh increase in other current assets and Rs 0.19 lakh increase in loans.

Reported profit did not translate into operating cash generation. Profit before tax was Rs 3.60 lakh for the six months, while depreciation and amortisation added back Rs 1.72 lakh in the cash-flow calculation. The reported working-capital movements were larger than these profit and non-cash adjustments, producing the Rs 42.14 lakh pre-tax operating outflow.

How did Quantum Greentech's profit compare with cash generation?

Quantum Greentech reported a Rs 2.22 lakh net profit for the six months to September 30, 2026, compared with a Rs 2.84 lakh profit in the corresponding 2025 period. Total income increased to Rs 100 lakh from Rs 23.49 lakh, while total expenses rose to Rs 96.40 lakh from Rs 23.89 lakh, resulting in profit before tax of Rs 3.60 lakh versus a Rs 0.40 lakh loss before tax a year earlier.

The company reported Rs 100 lakh of revenue from operations in the latest half year and no other income. In the prior-year half, the Rs 23.49 lakh of total income was classified as other income, with no revenue from operations shown. Employee-benefit expense increased to Rs 12.42 lakh from Rs 8.53 lakh, depreciation rose to Rs 1.72 lakh from Rs 0.54 lakh, and other expenses increased to Rs 82.27 lakh from Rs 14.76 lakh.

The difference between Rs 2.22 lakh of accounting profit and Rs 44.14 lakh of operating cash use is explained in the filing by the receivables build-up and other working-capital changes. Basic and diluted earnings per share were Rs 0.07 for the latest half year, compared with Rs 0.09 in the six months to September 2025. Equity share capital was Rs 699.50 lakh at September 30, 2026.

How did Quantum Greentech's liabilities change?

Quantum Greentech's current borrowings increased to Rs 76.35 lakh at September 30, 2026 from Rs 52.35 lakh at March 31, 2026, a rise of Rs 24 lakh. The same Rs 24 lakh increase appears as financing cash inflow in the half-year cash-flow statement, while non-current borrowings were unchanged at Rs 154.61 lakh.

Trade payables rose to Rs 196.15 lakh from Rs 145.35 lakh over the six months, an increase of Rs 50.80 lakh on the balance sheet, broadly matching the Rs 50.81 lakh increase in trade payables reported in operating cash flow. Other current liabilities declined to Rs 173.57 lakh from Rs 231.14 lakh, a fall of Rs 57.57 lakh that the cash-flow statement identifies as an operating cash use.

Total assets increased to Rs 219.65 lakh from Rs 199.72 lakh. Property, plant and equipment decreased to Rs 76.45 lakh from Rs 78.17 lakh, and other financial assets declined to Rs 37.54 lakh from Rs 56.12 lakh. Other equity improved to negative Rs 1,087.33 lakh from negative Rs 1,089.55 lakh during the half year.

Conclusion

Quantum Greentech reported a Rs 2.22 lakh profit for the six months to September 30, 2026, but cash declined by Rs 20.14 lakh to Rs 10.63 lakh. A Rs 58 lakh receivables increase and a Rs 57.57 lakh reduction in other current liabilities contributed to the Rs 44.14 lakh operating cash outflow, while a Rs 24 lakh borrowing increase partly funded the requirement.

The key unresolved matters disclosed are the collection of Rs 58 lakh in trade receivables, the Rs 196.15 lakh trade-payable balance and the higher Rs 76.35 lakh current borrowings. The filing does not disclose a funding plan, operating target or scheduled corporate event beyond the board's approval of the financial results on November 13, 2026.