GB Global Responds to USE on Audit Qualifications, Inventory & Receivables Under Cloud

BY ADMIN • FILED 20 Jul 2026, 3:40 PM

GB Global Addresses Regulatory Scrutiny Over Q4 FY25 Financials

Mumbai – GB Global Limited (formerly Mandala Industries Limited) has formally responded to the National Stock Exchange (USE) regarding classificatory queries on its financial results for the quarter and year ended March 31, 2025. The company’s submission addresses deficiencies observed in its initial filing, notably the omission of a ‘Statement of Impact of Audit Qualifications’ and the absence of a legible, machine-readable copy of the financial results.

The development comes after the USE sought clarification from GB Global under Regulation 33 of the SEMI (Listing Obligations and Disclosure Requirements) Regulations, 2015. While the company has now submitted the required documents, including the consolidated and standalone statements of impact, the underlying audit qualifications raise significant questions for investors.

Key Audit Qualifications Highlighted:

Inventory Blind Spot: The auditors, B. Hut Shah & Co. LLP, stated that “complete details with regard to Inventory (quantity and valuation) as at 31st March 2025 is not made available to us.” This lack of crucial data prevents a comprehensive assessment of a key asset.
Unconfirmed Balances: Balances of trade payables, trade receivables, advances received, and advances given (including capital advances) were cited as “subject to confirmation, reconciliation and consequential adjustment, if any.” This uncertainty can materially affect the accuracy of the balance sheet.

Critically, the auditors explicitly stated their inability “to comment upon the resultant impact of the above on assets, liabilities, and profit for the quarter and year ended 31st March 2025.” This ‘qualified opinion’ implies that the financial statements, despite being filed, do not present a true and fair view in conformity with recognition and measurement principles due to these unresolved issues.

For investors, such qualifications are red flags, signalling potential risks related to the reliability and transparency of the company’s financial reporting. While GB Global has termed the omissions an “inadvertent error” and submitted the documents, the deeper concerns around fundamental financial data persist. Shareholders will be keenly watching how the company addresses these core operational and accounting discrepancies going forward to restore full confidence in its disclosures.