Arman Holdings’ record is thin but mostly quiet: no material regulator orders beyond a small 2018 compounding penalty, and a promoter pledge of zero. The June 2026 quarter changes the picture, with revenue of ₹14.22 crore against ₹0.33 crore a year earlier, arriving after years of roughly flat revenue and receivables days that hit 372 in FY24. Reported profit has also leaned repeatedly on fair-value gains from unquoted Level-3 investments and deferred-tax credits, and the statutory auditor resigned mid-term in July 2023.
Key findings
- A ₹14.22 crore June quarter arrives after years of flat revenue
Major- Revenue from operations for the quarter ended 30 June 2026 was 14.22 crore, against ₹32.58 lakh in the same quarter last year. Total income for FY2025-26 was ₹3.57 crore, marginally down from ₹3.67 crore the year before. Receivable days were 118 in FY26, 177 in FY25, and 372 in FY24, and management has maintained no expected credit loss allowance on trade receivables in any of the last five years. - Profit leans on Level-3 fair-value gains and deferred-tax credits
Major- In FY2025-26, total comprehensive income of 1.07 crore was credited to Retained Earnings, lifting Other Equity from 1.07 crore to 2.13 crore. The company also credited a deferred tax asset of ₹2,229.88 from depreciation timing differences to the Statement of Profit & Loss. Valuation of unquoted equity shares, held under Level 3 valuation technique, rose ₹32.11 lakh in FY2024-25 and ₹14.80 lakh in FY2023-24, and fell ₹94.89 lakh in FY2022-23. - Auditor resigned mid-term; replacement needed a corrigendum
Major- M/s. Anmol Rana & Associates resigned as statutory auditor effective 24 July 2023, stating “no other material reason” and “None” for any other facts relevant to the resignation. The Board appointed M/s. HRJ & Associates on 25 July 2023 to fill the casual vacancy. The original AGM notice dated 14 August 2023 wrongly stated the new auditor’s tenure as five years, and a corrigendum dated 21 September 2023 corrected it to one year. - Husband-and-wife pair dominates board; independent directors churn
Minor- Mr. Deepak Kumar Babel and Mrs. Priyadarshani Babel are disclosed as the only related director pair on the board in every annual report from FY2019-20 through FY2025-26. Mr. Babel was re-appointed Managing Director for five years from 30 May 2025 to 29 May 2030 at remuneration not exceeding ₹20,000 per month. Independent Director Mr. Neel Sanjaykumar Singapuri served about 2.5 months, from 5 November 2025 to 15 January 2026, and Mr. Abhishek Tejawat resigned effective 30 May 2026 citing “professional commitments”. - A December 2025 income-tax revision notice opens a contested matter
Minor- The company received a notice on 12 December 2025 from the Office of the Principal Commissioner of Income Tax, Delhi-1, for revision proceedings under section 263 of the Income Tax Act, 1961 for AY 2017-18, alleging the assessment order dated 26 May 2023 was “prima facie erroneous”; the company stated it does not agree with the show cause notice. The FY2025-26 Board’s Report states no proceedings were initiated or pending under the Insolvency and Bankruptcy Code, 2016. - Operating cash flow has only partially backed reported profit
Minor- Cumulative CFO over nine years was ₹1 crore against cumulative PAT of ₹1 crore, a CFO/(PAT−other income) ratio of 0.67x, and cumulative CFO/EBITDA was 0.46x. FY26 CFO was ₹1.15 crore against PAT of ₹0.95 crore, a ratio of 1.21x. FY26 ROCE was 17.22% and free cash flow was ₹1.15 crore. - Only regulator action disclosed is a small 2018 ROC penalty
Clean- The Registrar of Companies, Ahmedabad, by order dated 25 April 2018, imposed a fine of ₹18,700 each on Arman Holdings Ltd and Mr. Deepak Kumar Babel for delay in appointment of internal auditor for FY2014-15, compounded under section 138 of the Companies Act, 2013. The FY2019-20 Corporate Governance report states no penalties or strictures were passed by SEBI, Stock Exchanges, or any statutory authority on capital market matters during the last three years. The FY2025-26 Board’s Report states no significant material orders passed by regulators/courts/tribunals impacting going concern.
What to watch
- September 2026 quarterly results. Whether the June 2026 revenue level of 14.22 crore is sustained or one-off.
- PCIT Delhi-1 revision proceedings. Outcome of the section 263 proceedings for AY 2017-18, initiated by notice dated 12 December 2025.
- Independent director appointment. Shareholder approval for Mr. Ravi Jitendra Modi’s five-year term from 31 May 2026 to 30 May 2031 at the 44th AGM.
- Level-3 investment valuation. Next annual report’s disclosure of unquoted equity investment valuation movement and associated deferred tax provision for FY2026-27.
- Deferred tax asset credit. Next annual report’s deferred tax asset credit from depreciation timing differences, following the ₹2,229.88 credited in FY2025-26.
Bottom line: This is a small, thinly traded company with a clean regulatory record and zero promoter pledge, but the June 2026 revenue spike sits on a base of declining sales and receivables days that once reached 372. The earnings quality question is real: profit has been shaped by Level-3 fair-value movements and deferred-tax credits, and the auditor churn of 2023 adds a governance wrinkle. Watch whether the September 2026 quarter confirms the revenue jump, and whether the income-tax revision notice and the next Level-3 valuation disclosure change the picture.