Arvind Limited has scheduled its Annual General Meeting for Tuesday, September 22, 2026, at 11:00 am via video conference. The meeting will address ordinary business items including the adoption of FY26 financial statements and the reappointment of directors.

The Board seeks shareholder approval for a special resolution to renew the commission structure for Non-Executive Directors. This five-year mandate, effective from April 1, 2026, allows payments up to 1% of net profits based on performance criteria.

Financial Performance for FY26

The explanatory statement accompanying the notice discloses the company’s standalone audited financial results for the fiscal year ended March 31, 2026. These figures provide context for the remuneration proposals and overall business health.

The company reported total income of ₹7,210.77 crore against an EBITDA of ₹732.22 crore. Net profit stood at ₹297.57 crore for the period.

Director Reappointments

Shareholders will vote on the reappointment of Mr. Punit Lalbhai and Mr. Kulin Lalbhai, both of whom retire by rotation. Both directors served as Vice Chairmen during the fiscal year and attended all five board meetings held in FY26.

Mr. Punit Lalbhai oversees manufacturing businesses including textiles and advanced materials. Mr. Kulin Lalbhai drives consumer business initiatives and digital strategy. Both hold multiple directorships in listed and unlisted group entities.

Remuneration Structure

The proposed resolution caps individual Non-Executive Director commissions at 50% of the total pool paid to all such directors in any financial year. In the event of inadequate profits, minimum remuneration as per Schedule V of the Companies Act will apply for up to three years.

Total remuneration paid to Non-Executive Directors in FY26 was ₹62,93,905, comprising ₹43,33,905 in commission and ₹19,60,000 in sitting fees. This represents an increase from ₹52,80,800 in FY25.

Arvind has terminated its previous power agreement with Torrent Urja 28 Private Limited (TU28) and acquired equity stakes in two new entities to procure renewable energy.

Agreement termination

The Power Transfer Agreement (PTA) and Share Subscription and Shareholders Agreement (SSHA) dated May 12, 2025, with TU28 were terminated by mutual agreement on August 25, 2026. The termination was due to the reallocation of capacity. Arvind did not make any equity infusion or subscription towards TU28 shares and holds no equity participation in the entity.

New equity acquisitions

Pursuant to the capacity reallocation, Arvind entered into separate PTAs and SSHA agreements with Torrent Urja 12 Private Limited (TU12) and Torrent Urja 21 Private Limited (TU21). Both entities are generating companies defined under Section 2(28) of the Electricity Act, 2003, set up to establish Hybrid Power Projects in Gujarat.

The transactions are not related party transactions. The promoter group or group companies of Arvind have no interest in TU12 or TU21. The acquisitions aim to allow Arvind to offtake contracted electricity quantities as a captive user in Gujarat, citing significant financial and commercial benefits.

Transaction details

For TU12, incorporated on April 18, 2023, Arvind proposes to subscribe to equity shares in one or more tranches for an aggregate amount of up to ₹6.93 crore, representing a minimum 26.6% equity of the company. Arvind’s specific investment is capped at ₹3.47 crore for its proportionate share.

For TU21, incorporated on August 5, 2024, Arvind proposes to subscribe to equity shares for an aggregate amount of up to ₹17.33 crore, representing a minimum 26.6% equity. The investments are subject to the achievement of agreed milestones as per the terms of the agreements.