Binny Mills Reports FY26 Net Loss of ₹1,942.66 Lakh Amid Surging Finance Costs
Binny Mills Limited reported a net loss of ₹1,942.66 lakh for the year ended March 31, 2026, as total expenses of ₹2,686.26 lakh far outpaced total income of ₹958.85 lakh, with finance costs of ₹1,889.64 lakh being the primary burden. The Board also appointed M/s T Balaji and Associates as Internal Auditor for FY2026-2027, while total assets declined to ₹17,198.05 lakh and equity remained deeply negative at ₹24,801.23 lakh.
*this image is generated using AI for illustrative purposes only.
Binny Mills Limited has released its audited financial results for the quarter and year ended March 31, 2026. The company reported a net loss of ₹1,097.43 lakh for the quarter and ₹1,942.66 lakh for the full fiscal year. The Board of Directors approved these results during a meeting held on May 22, 2026, alongside other key governance decisions.
Annual Financial Performance
For the financial year ended March 31, 2026, Binny Mills recorded total income of ₹958.85 lakh, up from ₹723.78 lakh in the previous year. Revenue from operations rose to ₹855.66 lakh from ₹632.18 lakh, while other income stood at ₹103.20 lakh against ₹91.60 lakh previously. Despite the revenue improvement, total expenses surged to ₹2,686.26 lakh from ₹1,995.17 lakh, driven primarily by finance costs, which escalated to ₹1,889.64 lakh from ₹1,266.38 lakh. As a result, the loss before tax widened to ₹1,727.41 lakh from ₹1,271.39 lakh in the prior year. After accounting for total tax expenses of ₹215.25 lakh, the net loss for the year stood at ₹1,942.66 lakh, compared to ₹1,270.55 lakh in the previous year. Basic and diluted earnings per share (not annualised) were ₹(75.20) for the year, against ₹(49.18) previously.
The table below presents the detailed profit and loss statement for the year:
| Particulars: | Year Ended Mar 31, 2026 (₹ Lakh) | Year Ended Mar 31, 2025 (₹ Lakh) |
|---|---|---|
| Revenue from Operations: | 855.66 | 632.18 |
| Other Income: | 103.20 | 91.60 |
| Total Income: | 958.85 | 723.78 |
| Cost of Materials Consumed: | 14.07 | 13.28 |
| Purchases of Stock-in-Trade: | 333.84 | 240.47 |
| Changes in Inventories: | (37.51) | 30.22 |
| Employee Benefits Expense: | 71.34 | 33.26 |
| Finance Costs: | 1,889.64 | 1,266.38 |
| Depreciation & Amortisation: | 1.90 | 3.24 |
| Other Expenses: | 412.98 | 408.32 |
| Total Expenses: | 2,686.26 | 1,995.17 |
| Loss Before Tax: | (1,727.41) | (1,271.39) |
| Current Tax: | 53.32 | 54.38 |
| Deferred Tax (Asset)/Liability: | 161.93 | (55.21) |
| Net Loss for the Year: | (1,942.66) | (1,270.55) |
| Other Comprehensive Income (net of tax): | 0.22 | 0.19 |
| Total Comprehensive Loss: | (1,942.43) | (1,270.36) |
| Basic & Diluted EPS (₹, not annualised): | (75.20) | (49.18) |
Quarterly Results
In the quarter ended March 31, 2026, Binny Mills reported total income of ₹433.12 lakh, with net sales and income from operations at ₹407.46 lakh — a significant rise from ₹171.05 lakh in the same quarter of the previous year. Total expenses for the quarter stood at ₹1,354.48 lakh, with finance costs alone amounting to ₹939.84 lakh. The quarterly net loss was ₹1,097.43 lakh, compared to ₹288.02 lakh in the corresponding quarter of the prior year.
The following table summarises the quarterly financial figures:
| Particulars: | Q4 FY26 (Audited) (₹ Lakh) | Q3 FY26 (Unaudited) (₹ Lakh) | Q4 FY25 (Audited) (₹ Lakh) |
|---|---|---|---|
| Net Sales / Income from Operations: | 407.46 | 161.75 | 171.05 |
| Other Income: | 25.67 | 26.48 | 24.97 |
| Total Income: | 433.12 | 188.23 | 196.03 |
| Finance Cost: | 939.84 | 316.60 | 316.58 |
| Other Expenses: | 255.51 | 45.78 | 45.60 |
| Total Expenses: | 1,354.48 | 448.79 | 443.97 |
| Net Loss: | (1,097.43) | (273.35) | (288.02) |
| Basic & Diluted EPS (₹, not annualised): | (42.47) | (10.58) | (11.22) |
Balance Sheet Highlights
As of March 31, 2026, Binny Mills' total assets stood at ₹17,198.05 lakh, down from ₹17,789.89 lakh in the previous year. Investment property remained the largest asset at ₹15,905.49 lakh, while cash and cash equivalents declined to ₹297.01 lakh from ₹380.93 lakh. On the liabilities side, total equity reflected a negative balance of ₹24,801.23 lakh, worsening from ₹22,858.79 lakh, while borrowings stood at ₹14,470.91 lakh. Other financial liabilities under current liabilities were ₹23,975.06 lakh.
| Particulars: | Mar 31, 2026 (₹ Lakh) | Mar 31, 2025 (₹ Lakh) |
|---|---|---|
| Investment Property: | 15,905.49 | 15,907.13 |
| Total Non-Current Assets: | 16,529.93 | 17,191.69 |
| Total Current Assets: | 668.12 | 598.20 |
| Total Assets: | 17,198.05 | 17,789.89 |
| Total Equity: | (24,801.23) | (22,858.79) |
| Borrowings (Non-Current): | 14,470.91 | 14,570.91 |
| Other Financial Liabilities (Current): | 23,975.06 | 22,708.93 |
| Total Equity & Liabilities: | 17,198.05 | 17,789.89 |
Cash Flow Summary
For the year ended March 31, 2026, net cash used in operating activities was ₹355.82 lakh, compared to net cash generated of ₹2,633.53 lakh in the prior year. Net cash from investing activities was ₹451.13 lakh, while net cash used in financing activities was ₹100.00 lakh. Cash and cash equivalents at the end of the year stood at ₹67.13 lakh, compared to ₹71.82 lakh at the beginning of the year.
Board Decisions and Internal Audit Appointment
Alongside the financial results, the Board approved the appointment of M/s T Balaji and Associates, Chartered Accountants (FRN: 014113S), Chennai, as Internal Auditor for the financial year 2026-2027. The firm brings approximately 16 years of experience across internal audit, statutory audit, and tax audit services. The board meeting commenced at 11.30 A.M. and concluded at 12.40 P.M. on May 22, 2026.
| Parameter: | Details |
|---|---|
| Appointed Firm: | M/s T Balaji and Associates, Chartered Accountants |
| FRN: | 014113S |
| Location: | Chennai 600034 |
| Appointment Date: | 22-05-2026 |
| Term: | Financial Year 2026-2027 |
| Experience: | ~16 years in internal, statutory & tax audit |
Auditor's Observations
The financial statements were audited by Ramesh and Ramachandran, Chartered Accountants (FRN: 002981S), Chennai, who issued an unmodified opinion. The auditors drew attention to several emphasis of matter points, including a loan extended to a related party during the year aggregating to ₹1.50 crores, with the outstanding balance at ₹7.69 crores, accounted for under the amortised cost method per Ind AS 109. The auditors noted that no impairment provision was considered necessary based on management's assessment of credit risk. Additional emphasis was placed on contingent liabilities arising from the demerger of erstwhile Binny Limited, a provision of ₹28.05 lakh for possible rent and damages relating to a Bengaluru showroom dispute decided in the company's favour, and a labour court award of ₹36.52 lakh against which the company has filed a stay while maintaining a provision in its books.
With finance costs consuming nearly twice the total revenue in FY26, what restructuring or refinancing strategies might Binny Mills pursue to make its debt burden sustainable?
Given the deeply negative equity of ₹24,801 crore and worsening losses, how long can Binny Mills continue as a going concern before creditors or regulators intervene?
Could Binny Mills monetize or leverage its significant investment property assets of ₹15,905 lakh to address its mounting liabilities and improve liquidity?
20
Access 50+ Readymade Screeners 
Use 200+ Custom Filters 
Get Full Market Insights 
