Hindusthan Insulators & Industries Limited returned to profitability in the fourth quarter of FY26, reporting a net profit of ₹2,091.37 lakh compared to a net loss of ₹2,809.73 lakh in the corresponding quarter of the previous year. The turnaround was driven by a 24.2% increase in total revenue from operations, which rose to ₹33,854.37 lakh for the full financial year from ₹27,279.11 lakh in FY25. However, the company's annual net loss widened to ₹787.40 lakh from ₹179.98 lakh in the previous year, primarily due to exceptional items, including a loss of ₹4,705.30 lakh on the sale of its investment in subsidiary Hindusthan Speciality Chemicals Limited. The Board of Directors, meeting on May 27, 2026, approved the audited financial results and recommended a final dividend and bonus issue to shareholders.

Financial Performance

The company's full-year performance was impacted by exceptional items, while the fourth quarter demonstrated operational strength with a profit before tax of ₹1,973.74 lakh. Total income for the year increased to ₹34,566.01 lakh from ₹27,887.52 lakh in FY25. Earnings per share (EPS) for the year was a negative ₹10.91, compared to a negative ₹2.49 in the previous year. The statutory auditors, M/s. K.N. Gutgutia & Co., issued an unmodified opinion on the annual financial results.

Bonus Issue and Dividend

The Board approved the issuance of bonus equity shares in a 2:1 ratio, entitling shareholders to two fully paid-up shares of ₹2 each for every one existing share held. The bonus issue will capitalise ₹2,88,57,700 from the Capital Redemption Reserve and/or General Reserves. The company stated that the move aims to improve liquidity and broaden the shareholder base. The total number of securities proposed to be issued is 1,44,28,850 equity shares of ₹2 each. Post-bonus, the equity share capital will increase to ₹4,32,86,550 divided into 2,16,43,275 equity shares. The record date for determining eligibility for the bonus shares will be announced in due course.

Additionally, the Board recommended a final dividend of ₹0.50 per equity share, or 25% of the face value, for FY26, subject to shareholder approval at the ensuing Annual General Meeting. The Board fixed June 19, 2026, as the record date for the payment of the final dividend. Holders of 1% Redeemable, Non-Convertible, Non-Cumulative Preference Shares are entitled to receive dividend in priority to equity shareholders.