Mihika Industries revenue drops to ₹44.69 lakhs as audit flags mount.
Annual turnover fell from ₹27.77 crores to ₹44.69 lakhs, while the auditor flagged missing loan documentation and a year-long internal audit vacancy.
— 3 earlier stories on Mihika Industries Ltd. →What's new
- Revenue fell from ₹27.77 crores to ₹44.69 lakhs for the year ended March 2026.
- Net profit dropped to ₹1.62 lakhs from ₹5.46 lakhs.
- Auditor S K Bhavsar & Co flagged missing loan documentation and a year-long internal audit vacancy.
Why this matters
The revenue decline is extreme. When paired with an auditor flagging missing loan support and basic internal control failures, the reliability of the company's financial reporting is in question.
What we're watching
- Whether the company appoints an internal auditor for the current year.
- Any explanation for the collapse in business activity.
- Potential regulatory scrutiny regarding the unverifiable loans.
The full read
Mihika Industries reported a collapse in its business in FY26. Revenue fell to ₹44.69 lakhs from ₹27.77 crores the year prior, leaving the company with a net profit of ₹1.62 lakhs. The statutory auditor, S K Bhavsar & Co, issued an unmodified opinion but included emphasis of matter paragraphs describing a breakdown in corporate governance. The company operated the entire year without an internal auditor. Management failed to provide balance confirmations for trade receivables and payables, and the auditor could not verify the documentation for loans the company issued. For a company with a market cap of only ₹14 crore, these lapses in internal controls and the massive contraction in top-line revenue present risks to the reliability of its financial statements. The business is a shell of its former self, and the audit report provides little comfort regarding the integrity of its remaining assets.
Questions answered
- How severe was the revenue decline for Mihika Industries?
- The company reported a collapse in annual turnover to ₹44.69 lakhs for FY26, down from ₹27.77 crores in the previous year.
- What specific governance failures did the auditor highlight?
- S K Bhavsar & Co noted the company failed to appoint an internal auditor for the entire year, lacked balance confirmations for trade receivables and payables, and could not provide documentation for loans granted.
- Did the auditor issue a qualified opinion?
- No, the auditor issued an unmodified opinion, though they included emphasis of matter paragraphs to detail the compliance failures.
- What is the current scale of the company?
- Mihika Industries is a nano-cap company with a market capitalization of approximately ₹14 crore.
Story so far
All notes on MIHIKA →- 28 May 2026 · 12:46 AM IST Mihika Industries revenue drops to ₹44.69 lakhs as audit flags mount.
- today Mihika Industries revenue drops 92% as auditors flag internal failures
- today Mihika Industries revenue collapses 92% as audit flags internal failures
- today Mihika Industries revenue drops 84% as auditor flags internal controls