Hem Holdings & Trading Limited has closed its trading window for all designated persons effective October 1, 2026. This closure is in preparation for the release of the company's un-audited financial results for the quarter and half-year ending September 30, 2026.

The restriction applies to designated persons and their immediate relatives. It will remain in force until 48 hours after the public announcement of the financial results to the stock exchanges. This measure ensures compliance with the company's code of conduct and SEBI regulations regarding insider trading.

Regulatory compliance details

The closure is implemented under Regulation 9(4) of Schedule B of the SEBI (Prohibition of Insider Trading) (Amendment) Regulations, 2018. The company notified BSE Limited of this action on September 28, 2026.

The trading window will reopen only after the stipulated 48-hour period following the result announcement has elapsed. The date of the board meeting to review and approve these results will be communicated separately in due course.

Hem Holdings and Trading Limited reported a net profit of ₹61.15 lakh for FY26, reversing a loss of ₹120.31 lakh in the prior year. The company also announced the initiation of the process to surrender its Non-Banking Financial Company (NBFC) registration with the Reserve Bank of India (RBI).

The board approved the annual report and notice for the 44th Annual General Meeting (AGM), scheduled for September 29, 2026. The meeting will be held via video conferencing or other audio-visual means.

Financial Performance

Revenue from operations grew to ₹71.13 lakh in FY26 from ₹29.96 lakh in FY25. Other income declined significantly to ₹0.21 lakh from ₹7.50 lakh. Total expenses fell sharply to ₹10.18 lakh from ₹157.77 lakh, driven by a reduction in other expenses to ₹8.71 lakh from ₹155.72 lakh.

Regulatory Developments

The secretarial audit report highlighted that the company did not maintain the prescribed Net Owned Fund (NOF) required under RBI Scale Based Regulation Directions. As of March 31, 2026, NOF stood at ₹1.55 crore against a requirement of ₹5 crore. Consequently, the company initiated the surrender of its NBFC Certificate of Registration.

Additionally, the secretarial auditor noted non-compliance regarding prior written RBI approval for changes in management composition during the period.

Key Approvals at AGM

Shareholders will vote on several key resolutions:

• Adoption of audited standalone financial statements for FY26.
• Re-appointment of Shubham Arvind Kumar Jain as a director liable to retire by rotation.
• Appointment of M/S B.M. Gattani & Co. as statutory auditors for five years.
• Appointment of M/S Ajay Suresh Yadav and Associates as secretarial auditors for five years.

What the Numbers Show

The turnaround in profitability was primarily driven by a drastic reduction in operating expenses rather than organic revenue growth. While revenue more than doubled, other income collapsed from ₹7.50 lakh to ₹0.21 lakh. The expense reduction reflects the absence of large write-offs recorded in FY25, where advances written off totaled ₹143.93 lakh. This one-time item distortion makes direct operational efficiency comparisons between FY25 and FY26 limited.