Haryana Leather Chemicals Limited has announced that the record date for its final dividend for the financial year 2025-26 is September 14, 2026. This announcement, made in compliance with Regulation 42 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, informs investors of the specific date by which they must hold shares to qualify for the upcoming payout. The stakes for shareholders are clear: only those whose names appear in the register of members on this date will be eligible to receive the dividend, assuming it receives shareholder approval.

The Board of Directors recommended a final dividend of ₹1 per equity share of ₹10 face value during its meeting held on May 28, 2026. This recommendation is pending formal ratification by the company’s members at the 41st Annual General Meeting (AGM). The AGM is scheduled to take place on Saturday, September 26, 2026. If approved, the dividend will be classified as a corporate action dividend for the financial year spanning April 1, 2025, to March 31, 2026.

The timeline for the dividend process involves two critical dates for investors. First, the record date of September 14, 2026, determines eligibility. Second, the AGM date of September 26, 2026, serves as the procedural checkpoint for approval. The company has stated that if the dividend is approved at the AGM, payment will be made to eligible members within 30 days of its declaration.

Key Dividend Details

The filing was issued on August 10, 2026, and signed by Yugank, the Company Secretary and Compliance Officer, bearing membership number A70463. Haryana Leather Chemicals Limited operates as a joint venture with ICAP Sira, Italy, with its registered office and works located at 72–77, HSIIDC Industrial Estate, Hansi Road, Jind, Haryana.

What This Means for Shareholders

For investors holding equity shares in Haryana Leather Chemicals Limited, the primary action item is ensuring continued ownership through the record date. Since the record date precedes the AGM, eligibility is determined before the formal vote takes place. However, the actual disbursement of funds remains contingent upon the outcome of the vote at the AGM. Investors should note that the dividend amount of ₹1 per share represents a 10% yield on the ₹10 face value, providing a modest return on capital pending operational performance reviews in future quarters.

Haryana Leather Chemicals reported a steep contraction in net profit for the quarter ended June 30, 2026, signaling margin pressure despite top-line growth. The company’s net profit after tax (PAT) fell 96% year-on-year to ₹3.11 lakh, down from ₹74.35 lakh in the corresponding quarter of FY25. This decline occurred even as revenue from operations rose 25% to ₹1,468.16 lakh, highlighting a significant divergence between sales growth and bottom-line performance.

The Board of Directors approved the unaudited standalone financial results in a meeting held on August 10, 2026. The results were reviewed by the Audit Committee and subjected to a limited review by the statutory auditors, S.C. Dewan & Co., in accordance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The auditors issued an unmodified review report, stating that nothing came to their attention to suggest the statement contained material misstatements.

Financial Performance Overview

The company’s total income for the quarter stood at ₹1,526.34 lakh, comprising ₹1,468.16 lakh from operations and ₹58.18 lakh in other income. Other income increased significantly from ₹45.70 lakh in Q1FY25. However, this was offset by a substantial rise in operating expenses, particularly cost of materials consumed.

Earnings per share (EPS) dropped to ₹0.06 from ₹1.51 in the previous year’s corresponding quarter. The paid-up equity share capital remained unchanged at ₹490.84 lakh.

What the Numbers Show

The primary driver of the profit decline was the disproportionate rise in cost of materials consumed, which surged 64.1% to ₹1,234.50 lakh, far exceeding the 24.8% growth in revenue. This suggests that input cost inflation was not fully passed on to customers or absorbed through operational efficiencies. While employee benefits and other expenses saw moderate increases, the spike in raw material costs compressed margins significantly. The profit before tax narrowed to just ₹3.11 lakh, indicating that the company operated nearly at break-even levels during the quarter. For investors, this highlights sensitivity to input cost volatility in the leather finishing chemicals segment.