Square Four Projects India Limited is an Indian listed entity operating within the **Real Estate** sector. The company functions primarily as a holding and investment entity, managing a streamlined operational framework that emphasizes financial management, inter-corporate lending, and strategic asset holding over active construction or inventory-heavy development. --- ### **Corporate Structure and Subsidiary Framework** The company operates under a single-segment model, focusing exclusively on the **Real Estate** vertical. This structure simplifies management oversight and reporting requirements. Its operational reach is extended through its sole, wholly-owned subsidiary: * **Primary Entity:** Square Four Projects India Limited (Holding Company). * **Wholly-Owned Subsidiary:** **BRC Construction Co. Private Limited** (**100%** ownership). * **Segment Reporting:** No separate segment reporting is required as the group operates in a unified business vertical. **Subsidiary Asset and Revenue Overview:** | Entity | Holding | Total Assets (Mar 2025) | Revenue (FY25) | | :--- | :--- | :--- | :--- | | **BRC Construction Co. Pvt. Ltd.** | **100%** | **Rs. 20.82 Crore** | **Nil** | --- ### **Operational Model and Asset Utilization** The company’s current business model is characterized by a lean operational footprint. Unlike traditional real estate developers, Square Four Projects India Limited does not currently maintain active housing stock or heavy machinery. * **Asset Composition:** Recent audits confirm the company does not hold **Property, Plant, and Equipment (PPE)**. * **Inventory Status:** The company reports **zero inventories**, suggesting a strategic pivot toward land holding, project consultancy, or financial investment rather than speculative construction. * **Lending and Financial Activity:** A core component of the business involves providing loans to subsidiaries and third parties. As of **March 31, 2024**, the aggregate outstanding balance for loans was **516.70 Lacs**. * **Banking Relations:** The company operates without **working capital limits** sanctioned from banks or financial institutions against current assets, indicating a reliance on internal accruals and equity capital. --- ### **Capital Structure and Equity Management** In **2023**, the company undertook a significant capital restructuring to enhance market accessibility and broaden its investor base. * **Stock Split:** Effective **July 20, 2023**, the company executed a **1:2 sub-division** of equity shares. The face value was reduced from **Rs. 10/-** to **Rs. 5/-** per share. * **Paid-up Equity Capital:** **Rs. 9,80,89,000** (comprising **1,96,17,800** equity shares). * **Authorised Capital:** **Rs. 10,00,00,000**. * **Debt Profile:** The company maintains a conservative leverage position with **zero** non-current borrowings, **zero** short-term borrowings, and no listed debt securities under **SEBI Regulation 52(4)**. * **Promoter Holding:** Key stakeholders include **Ganesh Kumar Singhania** (**2.40%**) and **Anita Singhania** (**2.40%**). --- ### **Financial Performance Trends** The company has demonstrated a recovery in standalone profitability, though consolidated figures have been impacted by subsidiary performance and historical write-offs. **Standalone Financial Summary:** | Metric | FY 2024-25 | FY 2023-24 | FY 2022-23 | | :--- | :--- | :--- | :--- | | **Total Revenue** | **Rs. 52.29 lakhs** | **Rs. 22.18 lakhs** | **Rs. 22.68 lakhs** | | **Net Profit / (Loss)** | **Rs. 22.24 lakhs** | **(Rs. 3.55 lakhs)** | **Rs. 1.94 lakhs** | | **Dividend** | **Nil** | **Nil** | **Nil** | **Consolidated Performance Notes:** * **Subsidiary Recovery:** **BRC Construction Co Private Limited** reported a net loss of **Rs. 1.33 lakh** in FY 2024-25, a substantial improvement from the **Rs. 16.47 crore** loss recorded in FY 2023-24. * **Asset Base:** Consolidated total assets stood at **Rs. 20.82 crore** as of March 31, 2025, compared to **Rs. 23.74 crore** the previous year. * **Resource Conservation:** The Board has consistently opted not to declare dividends or transfer amounts to general reserves, prioritizing the conservation of liquid resources for future business opportunities. --- ### **Strategic Leadership and Governance** Management focus is currently centered on **leadership continuity** and **regulatory compliance** to ensure long-term stability. * **Executive Continuity:** **Mr. Ganesh Kumar Singhania** has been re-appointed as **Managing Director** for a 3-year term effective **April 1, 2025**, ensuring stability through **March 2028**. * **Governance Standards:** The company maintains a **Structured Digital Database** in compliance with **SEBI (Prohibition of Insider Trading) Regulations**. * **Shareholder Rights:** All post-split shares rank **pari passu** with existing shares, ensuring identical voting and dividend rights across the expanded share base. --- ### **Risk Management and Contingent Liabilities** The company operates under a formal **Risk Management Policy** overseen by the Board, specifically targeting **Credit**, **Liquidity**, and **Market risks**. **Liquidity and Credit Risk:** The company manages credit risk through **individual-level reviews** of all advances. However, liquidity has seen a downward trend in recent years: | Metric | FY 2024-25 | FY 2023-24 | FY 2022-23 | | :--- | :--- | :--- | :--- | | **Cash & Cash Equivalents** | **₹1.40 Crore** | **₹1.96 Crore** | **₹6.78 Crore** | **Legal and Tax Litigation:** The company is currently contesting several **Income Tax** demands which represent significant contingent liabilities: * **AY 2008-09:** Appeal pending before the **Commissioner of Income Tax (Appeals)**. * **AY 2011-12 & 2013-14:** Following unfavorable orders from the CIT (Appeals) in **FY 2021-22**, the company has escalated these matters to the **Income Tax Appellate Tribunal (ITAT)**, where they remain pending. Despite these challenges, the Board maintains that there are no material orders from regulators or courts that impact the company’s status as a **going concern**.