AI Champdany Industries Limited has announced the successful resolution of a legal dispute with Blancatex AG through an amicable settlement. The textile manufacturer informed the stock exchange about the disposal of the petition by the National Company Law Tribunal (NCLT), Kolkata Bench, on March 23, 2026.

Legal Dispute Resolution

The matter titled Blancatex AG vs. AI Champdany Industries Limited has been settled between the parties outside court. The Hon'ble NCLT, Kolkata Bench, issued an order on March 11, 2026, disposing of the petition as withdrawn.

Regulatory Compliance

The company has fulfilled its disclosure obligations under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Company Secretary Dharmendra Kumar Singh signed the intimation letter digitally on March 23, 2026, ensuring timely communication to the stock exchange.

Impact on Operations

With the amicable settlement, all related applications have also been disposed of, bringing closure to the legal proceedings. The resolution eliminates potential litigation risks and allows the company to focus on its core business operations as a pioneer in weaving and spinning natural and synthetic blended fabrics and yarns.

Established in 1873, AI Champdany Industries operates from its registered office at 25, Princep Street, Kolkata, and continues its textile manufacturing operations without the burden of ongoing legal disputes.

AI Champdany Industries Limited has announced its unaudited financial results for the quarter ended December 31, 2025, showing improved performance despite ongoing operational challenges. The textile manufacturer, established in 1873 as a pioneer in natural and synthetic blended fabrics and yarns, reported significantly reduced losses compared to the previous year.

Financial Performance Overview

The company's financial performance for Q3FY26 demonstrated notable improvement across key metrics:

For the nine-month period ended December 31, 2025, the company showed substantial improvement with revenue from operations reaching Rs 14,134.15 lacs compared to Rs 5,802.32 lacs in the corresponding period of FY25, representing a growth of 143.6%. The nine-month net loss reduced to Rs 2,015.72 lacs from Rs 4,321.44 lacs in the previous year.

Segment-wise Performance

The company operates through two primary business segments:

The Jute segment demonstrated strong recovery with revenue increasing by 70.7% year-on-year for the quarter, while the Flax Products segment experienced a decline of 40.2% during the same period.

Operational Challenges and Market Conditions

The company continues to face significant operational hurdles that impact its performance. Three old manufacturing units remain under prolonged suspension due to labour unrest and machinery obsolescence. Management has initiated several improvement measures including:

• Allocation of financial resources towards capital expenditure
• Repair and overhauling of factory infrastructure and equipment
• Installation of new machinery from overseas and domestic sources
• Major overhauling activities across different units

Market volatility has been intensified by adverse conditions including short crop availability in India and Bangladesh's ban on raw jute exports to India. These factors forced the company to suspend operations at its Jagatdal unit from January 5, 2026, to January 27, 2026. Both Wellington and Jagatdal mills are currently operating at reduced capacity.

Financial Position and Outlook

The company's balance sheet shows total assets of Rs 21,837.61 lacs as of December 31, 2025, compared to Rs 23,495.00 lacs in the previous year. Total liabilities stood at Rs 26,828.28 lacs, up from Rs 23,764.20 lacs in the corresponding period.

Earnings per share for Q3FY26 was negative Rs 1.94 compared to negative Rs 6.70 in Q3FY25, reflecting the reduced losses. The company maintains a paid-up equity share capital of Rs 1,537.69 lacs with a face value of Rs 5 per share.

Additional employee-related liabilities arising from new labour code directives effective from November 2025 remain under assessment and will be provided for in the year-end accounts. The Board of Directors approved these results on February 13, 2026, following review by the Audit Committee and limited review by statutory auditors G Basu & Co.