Inducto Steel Limited returned to profitability in the financial year ended March 31, 2026, reporting a net profit of ₹53.64 lakh compared to a net loss of ₹371.86 lakh in the previous year. Revenue from operations for the year rose to ₹16,570.97 lakh from ₹15,856.71 lakh in FY25. For the quarter ended March 31, 2026, the company posted a net profit of ₹138.61 lakh on revenue of ₹6,484.27 lakh.

The Board of Directors, in its meeting held on May 29, 2026, approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026. The statutory auditor, M/s S. N. Shah & Associates, issued an audit report with an unmodified opinion on the financial results. The board also approved the appointment of M/s. Kewlani & Associates as Cost Auditor and Mr. Satish Diwate as Internal Auditor for FY 2026-2027.

Financial Performance

The company's total income for FY26 stood at ₹16,616.15 lakh, up from ₹15,894.26 lakh in the previous year. Total expenses for the year were ₹16,543.95 lakh, a decrease from ₹16,362.33 lakh in FY25. The profit before tax for the year was ₹72.20 lakh, a significant improvement from the loss before tax of ₹468.07 lakh in the prior year.

Auditor Observations

The statutory auditor, M/s S. N. Shah & Associates, highlighted in the 'Other Matters' section of the report that the company has invested ₹20.94 crore in two partnership firms as of March 31, 2026, constituting 14.76% of total assets. The auditor noted that capital invested in one firm amounting to ₹20.51 crore was utilized for granting advances for starting a joint venture and excess capital withdrawn by partners. The firm has neither been able to start the joint venture nor recover the advances, presenting a recoverability risk that could significantly impact the financial position.

Key Metrics

Basic earnings per share (EPS) for FY26 was reported at ₹1.34, compared to a loss of ₹9.26 per share in the previous year. The company's cash and cash equivalents improved significantly to ₹2,122.36 lakh as of March 31, 2026, from ₹31.44 lakh in the prior year. Reserves excluding revaluation reserve increased to ₹3,602.44 lakh from ₹3,547.67 lakh.

inducto steel has appointed M/s. Kewlani & Associates as its Cost Auditor and Mr. Satish Diwate as its Internal Auditor for FY 2026-2027. The Board approved these appointments on May 29, 2026, based on the recommendation of the Audit Committee. The appointments are effective from April 01, 2026, until March 31, 2027.

M/s. Kewlani & Associates, a cost & management accountant firm based in Ahmedabad-Gujarat, brings expertise in management consultancy, export consultancy, and costing strategies. Established in 2012, the firm serves clients in the ship breaking, metal & steel, and plastic & packaging industries.

Mr. Satish Diwate, appointed as Internal Auditor, is a Bachelor of Arts graduate from Mumbai University with over 26 years of experience in accounts and finance. His expertise includes accounting, financial management, banking, taxation, budgeting, audit coordination, and statutory compliance.

Appointment Details

The Board meeting commenced at 03:30 p.m. and concluded at 04:15 p.m. on May 29, 2026. The disclosures were made in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.