Goodricke Group sells non-core art assets for ₹27.75 crore via auction

1 min read | Published on 17 Sept 2026, 07:41 AM |Updated on 17 Sept 2026, 07:41 AM

Reviewed by

Shriram SScanX News Team

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Key Highlights

Goodricke Group sold non-core art assets for ₹27.75 crore via public auction
Transaction crossed SEBI LODR materiality thresholds based on turnover and net worth
Proceeds expected to positively impact the company's cash position
Sale approved by Board to divest non-core holdings and focus on core business
No related-party transactions or promoter interest involved in the sale

*this image is generated using AI for illustrative purposes only.

Goodricke Group sold non-core art assets through a public auction held on September 16, 2026, raising ₹27.75 crore. The transaction crossed the company’s quantitative materiality thresholds under SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations.

The Board of Directors approved the sale as part of a strategic decision to divest non-core holdings. The artworks were not part of the company’s regular business operations. The proceeds are expected to have a positive impact on the company’s cash position.

Transaction Details

The sale was conducted via an auction process involving multiple successful bidders. The company confirmed that the transaction does not fall within the purview of related-party transactions. No promoter or group company interest was disclosed in the assets being sold.

Particulars	Details
Asset Type	Non-core art works
Sale Method	Public Auction
Date of Auction	September 16, 2026
Aggregate Proceeds	₹27.75 crore
Materiality Threshold	Crossed (Lower of 2% turnover, 2% net worth, or 5% avg P&L)

Strategic Rationale

Management stated that the divestment aims to unlock value and allow the company to focus on its core business activities. The disclosure was made pursuant to Regulation 30(4) of the SEBI LODR Regulations, 2015, read with Schedule III, Part-B.

What the Numbers Show

The aggregate bid value of ₹27.75 crore triggered the company’s materiality policy, defined as the lower of 2% of last audited turnover, 2% of last audited net worth, or 5% of the average absolute profit or loss after tax over the last three audited financial statements. This indicates the asset base is significant relative to the company’s recent financial scale, warranting specific disclosure to shareholders despite being outside ordinary course business.

Historical Stock Returns for Goodricke Group

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
0.0%	-2.25%	+0.60%	+44.37%	+10.70%	-11.83%

How will Goodricke Group allocate the ₹27.75 crore proceeds to strengthen its balance sheet or fund core business expansion?

Does this divestment signal a broader strategic shift away from non-operating assets, and are other non-core holdings slated for sale?

What is the current market valuation of the remaining art assets in Goodricke's portfolio, and how might future sales impact shareholder equity?

Goodricke Group

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Goodricke Group net profit rises 1,183% to ₹40.87 crore in Q1FY27

2 min read | Published on 12 Aug 2026, 09:53 AM |Updated on 12 Aug 2026, 03:48 PM

Reviewed by

Anirudha BScanX News Team

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Key Highlights

Goodricke Group’s Q1FY27 net profit surged to ₹40.87 crore from ₹3.19 crore in Q1FY26, aided by higher crop volumes and an exceptional gain of ₹5.80 crore. Revenue rose 21.1% to ₹211.30 crore. Statutory auditors raised concerns over inventory valuation estimates.

*this image is generated using AI for illustrative purposes only.

Goodricke Group reported a net profit of ₹40.87 crore for the quarter ended June 30, 2026 (Q1FY27), marking a sharp recovery from a net loss of ₹29.21 crore in the preceding quarter and a substantial increase from the ₹3.19 crore profit recorded in Q1FY26. The company’s revenue from operations stood at ₹211.30 crore, up 21.1% year-on-year from ₹174.51 crore, driven primarily by a 41% rise in own crop production excluding sold estates, alongside improved realizations and cost control initiatives. This turnaround signals a robust operational rebound for the tea producer, although investors should note that statutory auditors issued a qualified conclusion on inventory valuation.

The Board of Directors approved the unaudited financial results on August 11, 2026, following review by the Audit Committee and a limited review report from statutory auditors M S K A & Associates LLP. The Board also appointed M/s Grant Thornton Bharat LLP as Internal Auditors for the company’s tea estates and other units for three consecutive financial years, commencing FY27. The results were published under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance

The company’s total income reached ₹215.85 crore, compared to ₹179.89 crore in Q1FY25. Operating expenses totaled ₹178.50 crore, with employee benefits accounting for the largest share at ₹99.14 crore. Profit before tax stood at ₹43.15 crore, aided by an exceptional item of ₹5.80 crore arising from the sale of specified assets of a tea estate in May 2026. After tax expenses of ₹2.28 crore (net of deferred tax benefits), the net profit for the period was ₹40.87 crore.

Particulars	Q1FY27 (₹ cr)	Q4FY26 (₹ cr)	Q1FY26 (₹ cr)	FY26 (₹ cr)
Revenue from operations	211.30	103.85	174.51	801.29
Other income	4.55	0.98	5.38	15.78
Total income	215.85	104.83	179.89	817.07
Total Expenses	178.50	133.56	178.39	806.75
PBT (incl. exceptional)	43.15	-28.73	1.50	20.46
Net Profit	40.87	-29.21	3.19	25.55
EPS (₹)	18.92	-13.52	1.48	11.83

Auditor Qualification and Stock Valuation

Statutory auditors M S K A & Associates LLP issued a qualified conclusion regarding the valuation of finished tea stock as of June 30, 2026. The auditors noted that the cost considered for inventory valuation was based on estimated production and expenditure for the full year ending March 31, 2027, rather than actual costs for the quarter. This method deviates from Indian Accounting Standard 2 (Ind AS 2) "Inventories." Management stated that this approach is consistent with past quarterly reporting practices due to the seasonal nature of tea production, where uniform quarterly costing is unrealistic. The auditors highlighted that they could not comment on the consequential impact of this non-compliance on the financial statements.

What the Numbers Show

The return to profitability in Q1FY27 is significantly bolstered by non-operational factors. While operational performance improved due to higher crop volumes, the inclusion of an exceptional gain of ₹5.80 crore from asset sales contributed materially to the bottom line. Furthermore, the persistent auditor qualification on inventory valuation introduces uncertainty into the reported margins, as the true cost of goods sold remains estimated rather than actualized for the interim period. Investors should note that the company operates a single segment—Tea—and its performance remains sensitive to weather conditions and cropping patterns.

Historical Stock Returns for Goodricke Group

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
0.0%	-2.25%	+0.60%	+44.37%	+10.70%	-11.83%

How might the persistent auditor qualification on inventory valuation impact Goodricke Group's credit ratings or future access to debt financing?

Will the appointment of Grant Thornton Bharat LLP as internal auditors lead to stricter compliance measures that could alter the company's quarterly costing methodology?

To what extent can investors attribute the Q1FY27 profitability to sustainable operational improvements versus the one-time ₹5.80 crore exceptional gain from asset sales?

Goodricke Group

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