Arunaya Organics Limited has confirmed that its promoters and persons acting in concert (PACs) did not create any encumbrance on shares during the financial year ended March 31, 2026. The company submitted the necessary disclosure to the National Stock Exchange of India Limited on April 6, 2026, complying with Regulation 31(4) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. This confirmation assures stakeholders regarding the unencumbered status of the promoter group's shareholding for the specified period.

The filing includes individual declarations from key promoters and the promoter group. Vinod Brijmohanlal Agrawal, the Managing Director, submitted separate confirmations for his personal holdings and those of the Vinod Brijmohan Agrawal HUF. Additionally, Shivali Vinod Agrawal provided a declaration regarding her shareholding. The cumulative disclosure confirms that no shares were pledged or encumbered directly or indirectly by the promoters or PACs throughout FY26.

Shareholding Details

The declarations detail the specific shareholding of each promoter entity as of March 31, 2026. The total promoter and PAC group holding amounts to 1,06,62,051 shares. The table below outlines the individual holdings disclosed in the regulatory filing.

Regulatory Compliance

The disclosures were addressed to the Listing Department of the National Stock Exchange and the Audit Committee of Arunaya Organics Limited. The company, formerly known as Arunaya Organics Private Limited, ensured that all requisite procedural requirements were met by obtaining signed declarations from the promoters. The Managing Director, Vinod Brijmohandas Agrawal, signed the consolidated submission on behalf of the company.

Arunaya Organics reported a 12% decline in net profit to ₹371.85 lakh for the financial year ended March 31, 2026, despite a 25% increase in revenue from operations to ₹10,324.78 lakh. The board approved the audited financial results for the half-year and year ended March 31, 2026, in a meeting held on May 30, 2026. The statutory auditor, M/s. Abhishek Kumar & Associates, issued a qualified opinion regarding the company's compliance with foreign exchange regulations and working capital management. Notably, the audit qualification appeared for the first time, and the auditor confirmed that the financial figures remain unchanged even after adjusting for the qualification.

Financial Performance

Total income for FY26 rose to ₹10,487.65 lakh from ₹8,285.60 lakh in the previous year. Total expenses increased to ₹9,873.21 lakh from ₹7,730.86 lakh. The profit before tax for the year stood at ₹614.44 lakh, compared to ₹554.74 lakh in the previous year. Earnings per share (basic and diluted) decreased to ₹2.18 from ₹3.48 in the previous year. The decline in net profit, despite higher revenue and pre-tax profit, was primarily driven by a significantly higher tax expense of ₹242.59 lakh in FY26 compared to ₹132.65 lakh in the previous year, which included a tax expense of earlier years amounting to ₹70.82 lakh.

Balance Sheet Highlights

As at March 31, 2026, the company's total assets stood at ₹9,005.53 lakh, up from ₹6,113.88 lakh in the previous year. Shareholders' funds increased significantly to ₹4,867.73 lakh from ₹1,692.17 lakh, reflecting the capital infusion from the IPO. Inventories rose to ₹4,367.66 lakh from ₹3,210.37 lakh, while trade receivables increased to ₹2,062.41 lakh from ₹1,440.81 lakh. Cash and cash equivalents grew substantially to ₹917.38 lakh from ₹6.61 lakh at the start of the year.

Auditor's Qualified Opinion

The auditor highlighted that certain payments for import transactions and receivables from export transactions remained outstanding for a period exceeding six months. This delay may have implications on the company's compliance with the Foreign Exchange Management Act, 1999 (FEMA) and could potentially impact its creditworthiness and business relationships with overseas partners. The management stated that the delays were due to pending payment approvals from the Reserve Bank of India and that the financial results for the year were not impacted by these matters. The audit qualification appeared for the first time, and the audited and adjusted figures remain identical across all key metrics.

Capital Allocation and IPO Proceeds

The company raised ₹3,050.80 lakh through its Initial Public Offer in May 2025, issuing 52,60,000 equity shares of ₹10 each at a premium of ₹48 each, and got listed on the Emerge SME Platform of National Stock Exchange of India Limited on May 7, 2025. As of March 31, 2026, the company utilized ₹2,150.80 lakh of the proceeds. A significant portion of the funds earmarked for setting up a new manufacturing facility at Dahej, Bharuch, Gujarat, amounting to ₹900.00 lakh, remained unutilized and were invested in fixed deposits. The company subsequently obtained an overdraft limit against these deposits, which was utilized for general business activities and advances. The Audit Committee confirmed there is no deviation in the use of IPO proceeds from the objects stated in the Prospectus.

Board and Governance Changes

The board reconstituted the Stakeholder Relationship Committee by appointing Mr. Vinod Brijmohandas Agrawal as a member effective May 30, 2026. The committee now comprises Mr. Ashokbhai Divanchand Agrawal as Chairman, Mr. Umesh Krishnankutty Menon, Mrs. Amita Chhaganbhai Pragada, and Mr. Vinod Brijmohandas Agrawal as members. Additionally, the board appointed M/s. G R Shah & Associates as the Secretarial Auditors for the financial year 2025-26. Mr. Gaurang Shah, Proprietor of M/s. G R Shah & Associates, holds vast experience in legal, compliance, secretarial compliances, listing compliance, FEMA compliances, and management consultancy.