Hariyana Ship Breakers Limited reported a standalone net profit of ₹441.15 lakh for the quarter ended June 30, 2026, marking a significant turnaround from the ₹68.32 lakh profit in Q1FY25. The Board of Directors, including Managing Director Rakesh Reniwal and Director Unnati Reniwal, approved the unaudited financial results on August 12, 2026, pursuant to Regulation 30 and Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Despite the profit surge, the company remains without active business operations, with management currently exploring suitable opportunities to recommence activities.

The financial performance was entirely driven by other income rather than core operations. Revenue from operations stood at nil for both standalone and consolidated figures, consistent with the previous quarter and year. Total income for the standalone entity was ₹551.64 lakh, comprising solely of other income, compared to ₹217.10 lakh in Q1FY25. Expenses were minimal at ₹56.63 lakh, primarily consisting of employee benefits (₹6.86 lakh), depreciation (₹16.03 lakh), and other expenses (₹33.20 lakh). Finance costs dropped significantly to ₹0.55 lakh from ₹54.06 lakh in the prior year quarter.

Consolidated results showed a net profit of ₹441.54 lakh, up from ₹68.32 lakh in Q1FY25. This figure includes a share of profit from associates amounting to ₹308.23 lakh, compared to a loss of ₹14.93 lakh in the same period last year. The associates contributing to this income include Goyal Hariyana Realty, Orchid Lakeview Developers, Whitefield Projects, and Swastik Developers. The subsidiary, Hariyana Air Products, contributed ₹7.90 lakh to the consolidated profit.

What the Numbers Show

The stark divergence between zero operational revenue and high profitability highlights the company’s current reliance on non-operating assets and investments. With 90.46% of total assets tied up in capital contributions to partnership firms and subsidiaries—totaling ₹145.08 crore as on June 30, 2026—the company’s financial health is heavily dependent on these external entities. The significant drop in finance costs to ₹0.55 lakh suggests reduced debt servicing obligations, likely linked to the recent cancellation of its working capital limit.

Auditor Emphasis of Matter

Statutory auditors S N Shah & Associates issued a limited review report with specific emphases on material matters. First, they noted an unreturned advance of ₹1.21 crore accepted in FY2017-18 for a joint venture that never materialized. Second, the company successfully surrendered its ₹150 crore working capital borrowing limit from Punjab National Bank, receiving a No Dues Certificate dated August 04, 2026. Third, auditors highlighted recoverability risks associated with ₹126.21 crore in loans granted by one of the partnership firms to other corporates, which constitutes a major portion of the company’s asset base. These disclosures underscore the speculative nature of the current asset portfolio despite the reported quarterly profits.

Hariyana Ship Breakers has notified BSE Limited of an upcoming Board of Directors meeting, pursuant to Regulation 29 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The intimation was filed on May 14, 2026, by Company Secretary and Compliance Officer Pooja Singh.

Board Meeting Details

The meeting is scheduled to be held on Friday, May 29, 2026. The key agenda item for the meeting is outlined below:

Purpose of the Meeting

The Board will convene to consider and approve the audited standalone and consolidated financial results of the company for the quarter and year ended March 31, 2026, along with the Auditors' Report. The filing was made in compliance with applicable SEBI listing regulations governing timely disclosure of board meeting schedules to stock exchanges.

The intimation was submitted to the Corporate Relations Department of BSE Limited at Phiroze Jeejeebhoy Towers, Dalal Street, Mumbai - 400001. The communication was digitally signed by Pooja Singh, Company Secretary and Compliance Officer (Membership No. A68696), on behalf of Hariyana Ship Breakers Limited.