Axita Cotton Reports 74% Net Profit Growth Despite Revenue Decline in FY26

Axita Cotton Limited has announced its audited standalone financial results for the quarter and year ended March 31, 2026, showing a mixed performance with significant profit growth despite revenue challenges. The board meeting held on April 20, 2026, approved the financial results and recommended a final dividend for shareholders.

Financial Performance Overview

The company demonstrated remarkable profitability improvement in FY26, with net profit after tax reaching ₹190.19 lakhs compared to ₹109.34 lakhs in the previous year, marking a substantial 74% growth. However, this profit surge came against the backdrop of declining revenue from operations, which fell 43% to ₹37,039.74 lakhs from ₹65,271.58 lakhs in FY25.

Financial Metric:	FY26	FY25	Change (%)
Revenue from Operations:	₹37,039.74 lakhs	₹65,271.58 lakhs	-43%
Net Profit After Tax:	₹190.19 lakhs	₹109.34 lakhs	+74%
Total Income:	₹37,464.83 lakhs	₹65,430.38 lakhs	-43%
Total Expenses:	₹37,181.05 lakhs	₹65,345.23 lakhs	-43%

Quarterly Results Analysis

The fourth quarter of FY26 presented challenges with the company reporting a net loss of ₹234.18 lakhs compared to a loss of ₹185.70 lakhs in Q4FY25. Revenue from operations for Q4FY26 stood at ₹6,103.14 lakhs, significantly lower than ₹13,985.98 lakhs in the corresponding quarter of the previous year.

Q4 Performance:	Q4FY26	Q4FY25	Change (%)
Revenue from Operations:	₹6,103.14 lakhs	₹13,985.98 lakhs	-56%
Net Loss After Tax:	(₹234.18 lakhs)	(₹185.70 lakhs)	-26%
Total Income:	₹6,218.89 lakhs	₹14,039.64 lakhs	-56%

Dividend Recommendation and Corporate Actions

The board has recommended a final dividend of 5% (₹0.05 per equity share) for FY26, subject to shareholder approval at the upcoming Annual General Meeting. This dividend proposal reflects the company's improved profitability despite operational challenges.

During the year, the company completed a significant bonus issue, allotting 3,47,22,832 bonus shares in the ratio of 1:10 on February 16, 2026. This increased the paid-up capital to ₹38,24,95,333 from ₹34,77,72,501, with the bonus shares ranking pari passu with existing equity shares.

Balance Sheet Highlights

The company's financial position shows total assets of ₹8,573.56 lakhs as of March 31, 2026, compared to ₹7,635.82 lakhs in the previous year. Total equity stood at ₹6,491.18 lakhs, while current liabilities increased to ₹1,965.56 lakhs from ₹1,230.06 lakhs, primarily due to current borrowings of ₹1,713.64 lakhs.

Balance Sheet Items:	March 31, 2026	March 31, 2025
Total Assets:	₹8,573.56 lakhs	₹7,635.82 lakhs
Total Equity:	₹6,491.18 lakhs	₹6,284.64 lakhs
Current Liabilities:	₹1,965.56 lakhs	₹1,230.06 lakhs

The audited results were reviewed by the audit committee and approved by the board at their meeting held at the registered office. PKN & Co., Chartered Accountants, conducted the statutory audit and provided an unmodified opinion on the financial results.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.25%	-1.88%	-13.16%	+7.98%	-9.56%	-23.41%

Axita cotton has received official confirmation from the Registrar of Companies regarding the alteration of its Memorandum of Association. The company informed stock exchanges about this significant corporate development through a regulatory filing under SEBI Listing Regulations.

Certificate Details and Timeline

The Central Processing Centre, Registrar of Companies (ROC), Delhi & Haryana, Ministry of Corporate Affairs, issued the Certificate of Registration on April 8, 2026. This certificate confirms the special resolution passed by company members through postal ballot and remote e-voting process.

Parameter:	Details
Certificate Date:	April 8, 2026
Issuing Authority:	ROC, Delhi & Haryana
Legal Provision:	Section 13(1) of Companies Act, 2013
Resolution Type:	Special Resolution
Voting Method:	Postal ballot and remote e-voting

The company had previously communicated with stock exchanges on February 20, 2026, and March 25, 2026, regarding this matter before receiving the final certificate.

Corporate Identification Number Update

Following the registration of the special resolution, the company's Corporate Identification Number has been officially changed. The ROC has updated the CIN to L01632GJ2013PLC076059, reflecting the alteration in the company's constitutional documents.

The certificate specifically validates the alteration of the objects clause of the Memorandum of Association and the adoption of a new set of MOA for the company. This change enables the company to operate under its revised constitutional framework as approved by shareholders.

Compliance and Documentation

Axita Cotton has ensured full regulatory compliance by informing both BSE Limited and The National Stock Exchange of India Limited about this development. The company received the certificate on April 8, 2026, and promptly communicated the same to stock exchanges.

The revised Memorandum of Association, as approved by members and confirmed by ROC, is available on the company's website. This ensures transparency and provides stakeholders access to the updated constitutional documents.

Regulatory Framework

The intimation was made pursuant to Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. This regulation mandates listed companies to disclose material events and information that could impact investor decisions.

The certificate was issued under Section 13(1) of the Companies Act, 2013, which governs the alteration of company objects and memorandum provisions. The digital certification by the Ministry of Corporate Affairs confirms the authenticity and legal validity of the alteration process.