Aartech Solonics FY26 net profit rises 71% to ₹349.71 crore

Aartech Solonics Limited reported a 71.1% year-on-year increase in net profit to ₹349.71 crore for the financial year ended March 31, 2026, driven by higher income from operations. Revenue from operations rose 12.5% to ₹4,017.82 crore in FY26 from ₹3,569.73 crore in the previous year. The Board of Directors approved the audited IndAS standalone and consolidated financial results for the quarter and year ended March 31, 2026, at its meeting held on May 26, 2026.

For the quarter ended March 31, 2026, the company posted a net profit of ₹72.97 crore, compared to a loss of ₹249.97 crore in the same period last year. Income from operations for the quarter stood at ₹1,746.10 crore. The statutory auditor, B A N C R S & Co. LLP, issued an unmodified opinion on the annual standalone financial results, though it drew attention to an ongoing dispute regarding the company's investment in associate Enerqual Technology Private Limited, which prevented impairment testing.

Board Decisions and Appointments

The Board approved the appointment of M/s Simran Khanuja & Co., Practicing Chartered Accountants, as the internal auditors for the financial year 2026-27. The firm, based in Bhopal, was appointed based on the recommendation of the Audit Committee. The company confirmed that the financial results were prepared in accordance with the Indian Accounting Standards (Ind AS) and complied with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance Summary

Metric	FY26 (₹ crore)	FY25 (₹ crore)	Change
Income from operations	4,017.82	3,569.73	+12.5%
Net profit	349.71	204.37	+71.1%
Total expenses	3,630.62	3,758.34	-3.4%

The company noted that gross margins and net profit margins showed continued increasing trends due to a change in product mix, including the manufacturing of panels with advanced ratings up to 220 kV. Additionally, the company recognised a loss of ₹1.21 crore arising from a fire accident at its Mandideep factory in October 2025, against which an insurance claim of ₹1.85 crore was received.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-2.54%	+2.63%	-12.73%	-10.44%	-28.22%	+11.60%

Aartech Solonics Limited has received an insurance claim settlement amount of ₹1,84,55,527 from Cholamandalam MS General Insurance Company Limited. This payment addresses the financial impact of a fire incident that occurred at the company's manufacturing facility located in Mandideep, Madhya Pradesh. The receipt of these funds substantially mitigates the loss incurred, and the company has confirmed that there is no material adverse impact on its overall operations or financial position.

The fire incident, which took place at the facility situated at 35-A/36, Sector-B, Industrial Area, Mandideep, resulted in damage to plant and machinery, inventories, and other assets. Following the incident, the company informed the insurer, which appointed an independent surveyor to assess the loss. The final assessment determined the net insurance claim amount payable against stock and fixed assets.

Assessment and Financial Impact

The independent surveyor assessed the actual damage caused by the fire at ₹3,26,60,008. However, the company had recognized and booked a loss of ₹1,36,54,993 in its books of account related to the incident. The settlement amount received from Cholamandalam MS General Insurance Company Limited represents the full and final settlement of the claim.

Particulars	Amount
Insurance Claim Received	₹1,84,55,527
Actual Damage Assessed	₹3,26,60,008
Loss Recognized in Books	₹1,36,54,993

Operational Restoration

Immediately after the fire, Aartech Solonics undertook corrective and precautionary measures to contain the situation. Restoration activities were initiated promptly, and operations at the affected unit were restored in a phased manner. The company stated that the insurance proceeds have adequately addressed the financial consequences of the event, ensuring business continuity.