Chandni Machines has commenced implementation of its aluminium ingot manufacturing project at Kuvada GIDC, Rajkot. The company targets commercial production from October 1, 2026.

The initiative marks a strategic diversification into the non-ferrous metals value chain. Management has leased a 22,000 sq. ft. industrial facility and placed orders for machinery aggregating ₹150 lakh. Trial production is scheduled for September 2026, subject to regulatory approvals.

Project Execution Timeline

The company outlined specific milestones for the facility setup:

• Infrastructure: Leased factory building with existing electricity connection of approximately 37 KW.
• Machinery: Installation targeted for completion by September 20, 2026.
• Manpower: Engaged approximately 30 contractual workers; construction of quarters for 50 workers underway.
• Regulatory: Consent to Operate applied for; expected by September 10, 2026.

Revenue and Capacity Estimates

Upon stabilization, the facility aims to produce approximately 300 tonnes of aluminium ingots per month. Based on an indicative average realisation of ₹315 per kg, the project is expected to generate approximately ₹9.45 crore in monthly revenue.

These figures rely on current management assumptions regarding raw material costs and market conditions. Actual results may vary based on aluminium prices and operational efficiency.

Future Expansion Plans

Chandni Machines is evaluating a two-fold expansion of the proposed capacity by March 2027. This scaling depends on business performance, market demand, and resource availability. The expansion aims to strengthen manufacturing capabilities within the aluminium sector.

What the Numbers Show

The projected net profit of approximately ₹50 lakh per month represents roughly 5.3% of the estimated monthly revenue of ₹9.45 crore. This margin assumption is critical to the project's viability, as it relies heavily on the indicative realisation price of ₹315 per kg remaining stable against volatile aluminium market rates.

Chandni Machines Limited reported a standalone net loss of ₹28.40 lakh for the quarter ended June 30, 2026 (Q1FY26), marking a significant deterioration from the net profit of ₹3.89 lakh recorded in the corresponding period of FY25. The company’s total income from operations declined 3% year-on-year to ₹28.05 lakh, down from ₹28.98 lakh in Q1FY25.

The financial performance for the current quarter reflects a reversal in profitability dynamics compared to the prior year. While the company generated a pre-tax profit of ₹5.20 lakh in June 2025, it incurred a pre-tax loss of ₹28.40 lakh in June 2026. This shift indicates that operating costs or expenses exceeded revenues by a wider margin than in the previous fiscal period.

Financial Highlights

The earnings per share (EPS) turned negative to -₹0.26 per equity share of face value ₹5 each, compared to a positive EPS of ₹0.04 in the same quarter last year. The company’s equity share capital remained unchanged at ₹110.62 lakh.

What the Numbers Show

The divergence between revenue stability and profit volatility is notable. With revenue declining marginally (less than 4%), the swing from a small profit to a significant loss suggests that the pressure was driven by cost structures rather than a collapse in top-line sales volume. The pre-tax and post-tax figures are identical (₹28.40 lakh), indicating no exceptional items or extraordinary gains/losses impacted the bottom line during the quarter.

Corporate Governance

The unaudited financial results were reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on August 14, 2026. The results have been filed with the stock exchanges under Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The full format of the quarterly financial results is available on the company’s website and the BSE India website.