Reply to Clarification- Financial results

SEL MANUFACTURING COMPANY LIMITED Regd. Office: 274, Dhandari Khurd G.T. Road Ludhiana- 141014 CIN: L51909PB2000PLC023679 Tel: +91-161-7111117, Fax: +91-161-7111118, Email: cs@selindia.in Website: www.selindia.in 11™ July, 2026 BSE Limited National Stock Exchange of India Limited Department of Corporate Services Exchange Plaza, Bandra Kurla Complex, 25th Floor, PJ Towers, Dalal Street, Mumbai- Bandra (East), Mumbai-400051 400001 Scrip Code: 532886 Symbol: SELMC Sub: Clarification on deficiency observed in the Outcome of Board Meeting — Financial Results submitted on 28-May-2026 for SEL Manufacturing Company Limited. Scrip Code: 532886, Scrip Id: SELMC, ISIN No.: INE105101020 Dear Sir/Madam, This is with reference to the email received from NSE on 8 July 2026, wherein it was observed that the Statement of Impact of Audit Qualifications (SOD, in case of modified opinion(s)/Declaration of Unmodified Opinion submitted by the Company, was not in the format prescribed by SEBI and was not signed by the Chairperson of the Audit Committee. In this regard, we wish to inform you that the Company has already submitted the revised Statement of Impact of Audit Qualifications in the format prescribed by SEBI, duly signed by the Chairperson of the Audit Committee, Ms. Meghna Mahendra Savla, in compliance with the applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. We request you to kindly take the same on record and treat the above observation as complied with. Thanking you, Yours faithfully, For SEL MANUFACTURING COMPANY LIMITED (Naveen Arora) Whole-time Director DIN: 09114375 NEt a SEL Manufacturing Company Limited Regd. Office: 274, Dlsandarl Khurd, G.T. Road, Cudhiana 161014 (Funjsb} Teli 493-263-7221117 Website: www.sellndiain _JoiN: wsaso9p520007:c023679) Eee A ST HEP er Statemenotf Audited Financlal Resulfotr tshe Quarter & Year Ended March 3e1e,e 2025 PART-! (Rs. in fakhs} | Sr, Particulars Audited Unaudited Audited Audited Audited : Ao. . Guarter Quarter Quarter Year Year , Eaded Ended Ended todate Ended a1 03/2026 | 3ift2/2025 | 31/03/2625 | 33/03/2026 | 31/03/2025 L fnceme frem operations a} Net Revenie From operalhons 231.65 205.14 284,16 £543.10 3,286.31 b} Other income 13.86 4.36 12,f9 21.55 27.84 Total Income fron operations 245.52 203.50 296.25 1,504.65 3,324.75 2 fExpenses 2) Cost of matertal consumed TRAE 132.48 #186 670.41 1,641.47 b} Purchase of steck-in-trade (2.68) 18.46 O17 35,84 145 ¢} Changesin inventories of finished goods, work in progress and stock In trade (39.11) 142.03) (47-42) (35.69) 510.06 dd) Employee benefits expenses 54,31 120.55 212.53 558,88 B37.84 @) Finance Gost * 2,196,413 1,930.35 1,834.72 8,045.87 6,974.12 f) Gepreciation and amortisation expenses 2,076.56 2143.08 2519.52 6,786.68 3,374.24 Gi Othed expenses 182.34 245,65 30.28 45,75 t2tk TS Total expenses 4,667.51 4,448.92 466237 | 18,907.78 | 20,612.00 3 [Profit from operations before exceptional Items (1-2) (4,422.00]| {4,239.42)} (4,366.12)) (17,943.13)) (17,237.25) 4 {Exceptional items 4236.01} (164.51) (360.73) {(535.92)] (4,225.26) -3 |Profit (4]/ Loss (-) before tax (344) {4,186.00)| {4,074.91}) f4,605.39}) {26,787.23)] (13,071.99) 6 |Tax Expense - - - - - Nat Profit (4)/ Loss £-} for the period frora Continuing ? | Operations tax (5-¢} {4,186.00}; {4,074.94)] [4,005.39)] (16,787.23)] (13,074.99) 3% |Ivet Profit (+1/ Less {-] from Discontinued Opersttans = a : = = 9 [Tax Expense af Discontinued Qparatians = = 1g [Net Profit (44/ Loss {-} from Ofscontinued Operations after Tax - - - - - it jNet Profit (+1/ Loss {-} for the period (740) {4,186.00)]| {4,07a.98); (4,005.39)} (16,787.23}] (15,071.99) 12 | Other Comprehensive Incame a (i) tens that will not be reclassifted to Profit or Loss 38.33 5.80 20,88 54.69 24.15 (i) Income Tax relating to Items that will net be reclassified to Profit ar Loss : . - - - : b (i) tems that will be rectassified ta Profit or.Loss {578.70} (573-71) (635.23) (2,314.82)) (2,223.87) ()} Incame Tax sefating to lems that wil! be reclassifled to Profit or Loss - = ~ = . 13 | Total Comprehensive Income for the Pertod (41412) (4,726.27]| 44,647.82); (4,619.74), (19,047,36)] (15,271.71) 14 |Pald-up equity share capita? of Rs. 10/- each 334347 3,343.47 3317,47 3,313.47 2,312.47 15 Other Equity {43,271.45}] (24,224.09) 16 |i. Earning pez share {EPS} {for Continulng Cperations) (in Rs.) (not annualised) a) Basic {22,63)) (12.30) (12.09}} (51.66) (39.45) b} Diluted £82.63); (12.30) {12,09} 59.66) (39.45) ii. Earning per share (EPS) (for Discontinued Operations) | (in Rs.j (not annualised} i a} Basic - bp Oilutad = = = - lil. Earning per Share: (EPS} ffor Discontinued & Contlaulng Operations) {iv Rs.) inet annualised} a) Basic (12.63) {12.30} {12.09} (50.66) (39.45) b} Diluted (12,63) {12.30} (12.09) (50.66) (39.45) Notes: ( = the audited financial resufts for the quarter & year ended March 31, 2026 Aave been taker on record by the Board of Directors at Its meetlag held on 28th May, 2076, The Information presented above js extrected fram the audited Nrancia: statements. The audited financial statements ere prepared in accordaace with the Indian Accounting Standards (Ind-AS) as prescribed under Sectior: 133 of the Compatles Act, 20%3 read with Rule 3 of the Companies (Indian Acconmting Standards} Rules, 2015 and Companies (indian Accounting Standards) Amendment Rules, 2018. 2 The Compaay unGérwent 2 corporate Insolvency resolution aracess under section 31 of the Insolvency and Dankruptey Code, 2016. 4 flesolution Clan was approved by the Hon’bie Nallonal Company law Tribunal, Caandigarh Bench (Approved Pian), vide ther ordars. dated 16th February, 2021 aad the inpiameatetton of the Approved Resolution Plan was concluded in the yeer 2020-21 with the re- constiution of the Board of Dlrectors. 2{a} Pursuant to the Corporate insolvency Resolution Process, the Banks and financlal institutions neve not taken appropriate action regarding the deckassification of the company under tre list of Defauiters ta the records of RBL, rating agencies, Central Fraud Registry, ECGC, noa-cooperative borrower, etc. The same was supulsted to be done within 30 days from the effective date as per the approved resokuticn plan, The Compaay fded an application before the Hon ble Natkenal Company kaw Tribunal {NCAT}, Chandigarh Bench regarding not taking appropriate ection by the banks & ‘inanclal institutlons within specific the peried in this matter. Ub) As per ‘esolutios ofan approved and implemented in finaacist year 2020-21, the company was stipulated to bring As. 6,560 lakhs for working capital and opsrational weeds within first year of operation against which the company brought crily Rts, 2,506 lakhs. Post implementation of the resolution plan the Interest anc instalments of the Company were being served without any dalay til the period énded 30th June, 2023. Howeve:, the Company ts unable to infuse working caaital amounting to Rs, 4,000 lakhs. ue Consequently, the Company's performance during the year was sub-optimal and fell significantly short of expectations. The Company encountered numerous challenges that édversely impaciad Its ability to canduct business operations in a profitable and economically sustainable manner. An analysis of the operational performance indicates that the Cempany was unable to fully utillze its available capacites, resulting in a continued cperatlonal deficst and severe liquidity stress, Several plants remained shut for the majority ef the petlod under review. In an effort to sustain Operations aad generate revenwe, the Company initiated job work activities In majority at one ofits unils during the year. Despite these efforts, the ongoing financial distress severely impaired the Company's ability to meet its fingectal obligations, including the payment of interast and servicing of outstanding loans. zic} The Company fad mct repaid the querterly Installment due for the perlod 30th September, [Showing first 8,000 characters — download PDF for full document]