SPML India Annual Reports, Balance Sheet and Financials

SPML India Limited Consolidated Balance Sheet (Rs in Crores)

SPML India Limited Consolidated Profit & Loss Statement (Rs in Crores)

SPML India Limited Consolidated Cash Flow Statement (Rs in Crores)

Summary of cash flow statement for the year 2025 and 2024:

Operating Activities:
During 2025, the company reported a loss before tax of ₹0.74 crore compared to a profit of ₹0.27 crore in 2024, indicating weakened operational performance. However, net cash flow from operating activities improved significantly to ₹11.29 crore from a negative ₹0.12 crore in the previous year. This improvement was primarily driven by favorable working capital changes, especially a substantial increase in current liabilities and provisions (₹12.12 crore). While this boosted cash inflow, it reflects reliance on delayed payments or increased obligations rather than genuine profitability, raising concerns about sustainability.

Investing Activities:
Cash flow from investing activities showed a significant outflow of ₹11.35 crore in 2025 due to the purchase of investments through loan conversion, whereas no such activity occurred in 2024. This indicates that the company utilized most of its operating cash inflows for investment purposes, which may be part of restructuring or long-term strategic decisions. However, this heavy outflow has put pressure on the company’s liquidity position.

Financing Activities:
There were no cash flows reported under financing activities in either 2025 or 2024. This suggests that the company neither raised fresh capital nor repaid borrowings during the year, indicating limited dependence on external financing sources during the period.

Net Change in Cash and Cash Equivalents:
Despite strong operating cash inflows, the substantial investment outflow resulted in a slight net decrease in cash and cash equivalents of ₹0.05 crore in 2025, compared to a decrease of ₹0.12 crore in 2024. The cash balance declined from ₹0.09 crore at the beginning of the year to ₹0.03 crore at the end, highlighting a tight liquidity position. Overall, while operating cash flows improved, the low closing cash balance and dependence on working capital adjustments indicate ongoing financial strain.

Financial ratios of SPML India Limited

Summary of ratios for the year 2025 and 2024:

Current Ratio:
The current ratio dropped sharply from 122.62 in 2024 to 0.32 in 2025, indicating a severe deterioration in short-term liquidity. While the previous year’s ratio was abnormally high (possibly due to unusually large current assets or very low current liabilities), the 2025 figure suggests the company may struggle to meet its short-term obligations, reflecting weak working capital management.

Debt-Equity Ratio:
The debt-equity ratio stands at 0.57 in 2025, whereas it was not reported in 2024. This indicates that the company is moderately leveraged, with debt forming a significant but not excessive portion of its capital structure. However, without a prior-year comparison, it is difficult to assess the trend, though the presence of debt alongside weak profitability could increase financial risk.

Return on Equity:
ROE declined from -0.45% in 2024 to -3.85% in 2025, showing worsening losses for shareholders. Negative ROE in both years indicates that the company is not generating returns on shareholders’ funds, and the deeper negative figure in 2025 reflects increased inefficiency or higher losses.

Net Capital Turnover Ratio:
This ratio fell from a positive 4.92 in 2024 to -2.05 in 2025, indicating a reversal in operational efficiency. A negative ratio suggests that the company is generating losses relative to its capital employed, pointing to poor utilization of resources and declining operational performance.

Net Profit Ratio:
The net profit ratio deteriorated significantly from -51.01% in 2024 to -486.75% in 2025. This indicates extremely high losses relative to revenue in 2025, suggesting severe financial distress, rising costs, or declining income. The magnitude of the negative margin highlights critical profitability issues.

Return on Capital Employed:
ROCE improved from -0.37 in 2024 to 0.05 in 2025, indicating a slight recovery in the efficiency of capital usage. Although the ratio turned positive, the return is still very low, suggesting that the company is barely generating any earnings from its capital base.

Return on Investment:
ROI was 1.06 in 2024 but not reported in 2025. The absence of data in 2025 may indicate either non-availability or irrelevance due to losses. The earlier positive ROI suggests some returns were generated in 2024, but the lack of current data aligns with the overall weak financial performance in 2025.