ACC net profit falls 41% to Rs 236 crore in Q4, auditor issues qualified opinion

Furthermore, the company claimed that an auditor has issued a qualified opinion. However, due to ongoing proceedings before the SC and investigations, they are unable to comment on the potential impact of the transactions outlined in the Hindenburg reports on the financial results.

A qualified opinion is a written statement by a certified public accountant in an audit report, stating that the financial statements of a client are fairly presented, except for a specified issue.

Despite this, its total revenue from operations increased by 8.23 percent to Rs 4,790.91 crore in the quarter under review compared to Rs 4,426.54 crore in the same period the previous year. However, ACC's total expenses increased by 14.10 percent to Rs 4,514.38 crore.

New York-based short-selling specialist firm Hindenburg Research on January 24 published a report making several adverse observations regarding accounting practices, related-party transactions, concentrated shares ownership by a few overseas investment firms and share price manipulation by the Adani Group of companies.

The Adani Group on January 29 gave a detailed response to the Hindenburg report, refuting the allegations and stating that most of the observations relate to matters that have been duly disclosed by the conglomerate in the past.

Jefferies has a Buy rating on the stock with target price of Rs 2,800. The brokerage attributes the strong beat on volumes to combined operations and an intergroup sale to Ambuja.

The stock opens the new day in trade on Friday losing 1 percent on the exchanges.