Darshan Orna has approved its annual report for FY26 and appointed new statutory and secretarial auditors for a five-year term. The board also fixed the date for the company’s 15th Annual General Meeting.

The meeting, held on September 1, 2026, at the registered office in Ahmedabad, concluded with several key governance decisions. The board noted the resignations of the outgoing statutory auditor, M/s Shah Karia & Associates, and the secretarial auditor, M/s Neelam Somani & Associates, both citing personal reasons.

Auditor Appointments

The board approved the appointment of M/s P H Shah and Co as the new Statutory Auditor. The firm will serve for a consecutive period of five financial years, from FY 2026–27 to FY 2030–31, subject to member approval at the upcoming AGM. P H Shah and Co, founded in 1996, operates from Ahmedabad and Nadiad.

Similarly, M/s SS Lunkad and Associates was appointed as the Secretarial Auditor for the same five-year tenure. The firm brings over five years of post-qualification experience in secretarial and legal matters, including compliance under SEBI regulations and FEMA.

AGM Details

The 15th Annual General Meeting is scheduled for September 25, 2026, at 1:00 pm. The event will be conducted through Video Conferencing or Other Audio-Visual Means (OAVM), in accordance with Ministry of Corporate Affairs and SEBI circulars. M/s SS Lunkad & Associates was also appointed as the Scrutinizer to oversee the remote e-voting process and voting at the meeting.

What the Numbers Show

The simultaneous appointment of a single firm, SS Lunkad and Associates, as both the Secretarial Auditor and the Scrutinizer for the AGM suggests a consolidation of compliance oversight roles. This alignment may streamline the audit process for the upcoming general meeting, ensuring consistent interpretation of regulatory requirements across both functions.

Darshan Orna Limited reported a sharp contraction in profitability for the first quarter of FY26, with net profit plunging 76% year-on-year to ₹5.09 lakh. The Ahmedabad-based company posted revenue from operations of ₹1,246.69 lakh for the quarter ended June 30, 2026, a 16% decline from ₹1,478.24 lakh in Q1FY25. The profit decline was more severe than the revenue drop, indicating significant margin pressure primarily driven by rising input costs.

The Board of Directors approved the unaudited standalone financial results on August 8, 2026, following a review by the Audit Committee. The results were submitted pursuant to Regulation 33 and Regulation 30 of the SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015. Shah Karia & Associates, the independent auditors, issued a limited review report stating that nothing came to their attention to suggest the statement contained material misstatements or failed to disclose required information under Ind AS 34.

Financial Performance Overview

Revenue from operations fell by ₹231.55 lakh compared to the previous year’s corresponding period. However, total expenses decreased only marginally, resulting in a compressed profit before tax of ₹5.99 lakh, down from ₹26.48 lakh in Q1FY25. Tax expense stood at ₹0.90 lakh, leading to the final net profit figure.

What the Numbers Show

The most critical factor behind the profit collapse was the disproportionate rise in the cost of materials consumed. While revenue declined by nearly 16%, the cost of materials surged by 72% to ₹1,074.53 lakh from ₹624.95 lakh in Q1FY25. This inversion suggests either a significant shift in product mix towards lower-margin items or a substantial increase in raw material prices that could not be passed on to customers. Additionally, changes in inventories added ₹163.02 lakh to expenses in Q1FY26, compared to ₹804.18 lakh in Q1FY25, indicating different inventory management dynamics between the two periods. Other income remained negligible at ₹0.00 lakh, offering no offset to the operational pressures.

Operational and Corporate Updates

Darshan Orna Limited operates within a single primary business segment. The company’s paid-up equity share capital remained unchanged at ₹2,001.17 lakh, with a face value of ₹2 per share. Basic and diluted earnings per share (EPS) for continuing operations were ₹0.01, down from ₹0.04 in Q1FY25.

In compliance with SEBI (Prohibition of Insider Trading) (Amendment) Regulations, 2018, the trading window remains closed until 48 hours after the declaration of financial results. The trading window had been closed since July 1, 2026. The Board meeting commenced at 12:00 P.M. and concluded at 1:00 P.M. on August 8, 2026.