Relief to these companies from Sebi - What firms must know

Amid the continuing adverse impact of the coronavirus pandemic, market regulator Sebi has taken a big decision to ease the compliance requirements for listed companies. In a major development, Sebi has given another month's extension till July 31 to listed companies for submitting their fourth-quarter as well as annual results. Earlier, the deadline to submit the financial results was June 30.

Similarly, the timeline for submission of half yearly and annual financial results for the period ended March 31 for entities that have listed non-convertible debentures, non convertible redeemable preference shares and commercial papers has also been extended to July 31.

Normally, listed companies are required to file their annual results within 60 days from the end of a financial year, while in the case of quarterly results, firms are required to file it within 45 days from the end of a quarter.

The development comes after Sebi received representations from listed entities, chartered accountant firms, and industry bodies, seeking further extension of time for filing of financial results for the quarter /half year/financial year ended March 31, 2020. The entities cited many reasons to seek the extension like the continuing lockdown, subsidiaries and associates situated in containment zones facing challenges in the audit process and other operational issues due to the pandemic.

Now, the regulator has decided to further extend the timeline for submission of financial results by a month to July 31, 2020, for the quarter and the year ended March 31, 2020, as per a circular by Securities and Exchange Board of India (Sebi).