Axita Cotton Limited has received a formal no-encumbrance declaration from its promoter, Nitinbhai Govindbhai Patel, in compliance with Regulation 31(4) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The declaration, dated April 3, 2026, confirms that no encumbrance of any kind was created on the equity shares of the company during the financial year ended March 31, 2026.

Declaration Details

The declaration was submitted on behalf of the promoter, other promoters and members of the Promoter Group, and Persons Acting in Concert (PAC). It explicitly states that no encumbrance—whether direct or indirect—was created on the equity shares of Axita Cotton Limited during the relevant financial year. The key details of the submission are outlined below:

Submission Recipients

The declaration was filed with the following authorities:

• BSE Limited, Phiroze Jeejeebhoy Towers, Dalal Street, Fort, Mumbai – 400 001
• The National Stock Exchange of India Limited, Exchange Plaza, Bandra Kurla Complex, Mumbai – 400 051
• Audit Committee, Axita Cotton Limited, Survey No. 324, 357, 358, Borisana, Kadi – Thol Road, Kadi, Mahesana – 382715, Gujarat

Regulatory Context

Regulation 31(4) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011 mandates that promoters and members of the promoter group of listed companies submit an annual declaration confirming whether any encumbrance has been created on their shareholding. This requirement is aimed at ensuring transparency in promoter shareholding patterns and safeguarding the interests of public shareholders. The declaration by Nitinbhai Govindbhai Patel affirms full compliance with this regulatory obligation for the financial year ended March 31, 2026.

Axita Cotton Limited has completed its regulatory compliance requirements by submitting newspaper publications with QR codes for its audited standalone financial results for FY26 to the stock exchanges. The company reported a net profit of ₹190.19 lakh for the financial year ended March 31, 2026, compared to ₹109.34 lakh in the previous year.

Regulatory Compliance Submission

Pursuant to Regulations 30 and 47(4) of SEBI (LODR) Regulations, 2015, Axita Cotton submitted copies of newspaper publications that include QR codes and webpage links to access the complete audited financial results. The publications were made on April 22, 2026, following the Board of Directors' approval of the results at their meeting held on April 20, 2026.

FY26 Financial Performance

For the financial year ended March 31, 2026, the company demonstrated improved profitability with net profit rising to ₹190.19 lakh from ₹109.34 lakh in FY25. However, revenue from operations declined significantly to ₹37,039.74 lakh from ₹65,271.58 lakh in the previous year. Total income for the year stood at ₹37,464.83 lakh, down from ₹65,430.38 lakh.

Quarterly Performance and Corporate Actions

The fourth quarter of FY26 showed a net loss of ₹234.18 lakh compared to a net loss of ₹185.70 lakh in Q4 FY25. Revenue from operations for Q4 FY26 stood at ₹6,103.14 lakh, significantly lower than ₹13,985.98 lakh in the corresponding quarter of the previous year.

On February 16, 2026, the company allotted 3,47,22,832 bonus shares in the proportion of 1:10, increasing the paid-up capital to ₹38,24,95,333 from ₹34,77,72,501. The Board has proposed a final dividend of ₹0.05 per equity share for FY26, subject to shareholder approval.

Balance Sheet Strength

As of March 31, 2026, total assets increased to ₹8,573.56 lakh from ₹7,635.82 lakh in the previous year. Cash and cash equivalents improved significantly to ₹1,598.28 lakh from ₹1,056.35 lakh, while total equity rose to ₹6,491.18 lakh from ₹6,284.64 lakh. The statutory auditor PKN & CO Chartered Accountants issued an unmodified opinion on the financial results.