Jainex Aamcol Limited reported a net profit of ₹139.15 lakh for the financial year ended March 31, 2026, marking a significant turnaround from the previous year's ₹34.49 lakh. Revenue from operations for the year rose to ₹2671.16 lakh from ₹2378.73 lakh in FY25, driven primarily by the company's gear cutting tools segment, which contributes over 93% of total revenue. The board of directors approved the audited standalone financial results at a meeting held on May 28, 2026.

For the quarter ended March 31, 2026, the company recorded a net profit of ₹52.31 lakh, reversing the net loss of ₹7.25 lakh reported in the same quarter of the previous year. Quarterly revenue from operations increased to ₹772.32 lakh from ₹592.67 lakh in Q4FY25. Total expenses for the quarter were ₹715.23 lakh, slightly higher than the ₹609.15 lakh incurred in the corresponding prior period. The earnings per share (EPS) for the quarter stood at ₹3.03, compared to a loss of ₹0.48 per share in Q4FY25.

Financial Performance Overview

The company's profitability improved significantly in FY26, with the profit before tax rising to ₹199.71 lakh from ₹43.57 lakh in the previous year. This growth was supported by a 12% increase in revenue from operations and effective cost management. The finance cost for the year increased to ₹62.29 lakh from ₹34.77 lakh, while depreciation and impairment expenses rose to ₹118.25 lakh from ₹64.17 lakh.

Balance Sheet and Cash Flow

The total assets of the company as of March 31, 2026, stood at ₹3891.97 lakh, a substantial increase from ₹2267.78 lakh in the previous year. This growth was largely driven by a rise in property, plant, and equipment to ₹2128.65 lakh from ₹357.34 lakh. Equity share capital increased to ₹224.76 lakh from ₹149.94 lakh, following proceeds from the issue of share capital amounting to ₹717.32 lakh during the year.

Net cash flow from operating activities turned positive at ₹426.91 lakh for FY26, compared to a negative outflow of ₹122.86 lakh in the previous year. However, investing activities resulted in a net cash outflow of ₹1657.56 lakh, primarily due to capital expenditure. Financing activities provided a net inflow of ₹1316.30 lakh, bolstered by share issuance and long-term borrowings. Cash and cash equivalents at the end of the year stood at ₹141.18 lakh.

Regulatory Disclosures

M/s R K Jagetiya & Co., Chartered Accountants, the statutory auditors, issued an audit report with an unmodified opinion on the financial results for the year ended March 31, 2026. The company confirmed that it has no subsidiaries, joint ventures, or associates, and therefore, the consolidation of results is not required. The figures for previous periods have been regrouped or rearranged where necessary to conform to the current period's classification.

Jainex Aamcol Limited has filed its quarterly compliance statement with BSE Limited, confirming no deviation or variation in the utilization of funds raised through its right issue of equity shares for the quarter ended December 31, 2025. The statement was submitted on February 13, 2026, in compliance with Regulation 32 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Right Issue Details

The company successfully raised ₹897.80 lakhs through its right issue with the date of allotment being December 10, 2025. CARE Ratings Limited serves as the monitoring agency for the fund utilization, ensuring proper deployment of the raised capital.

Fund Allocation and Utilization

The board of directors revised the cost allocation for each object through a resolution dated December 10, 2025. The revised allocation demonstrates strategic financial management, particularly in debt repayment priorities.

Strategic Debt Management

The management prioritized the repayment of unsecured loans over secured loans due to higher interest costs associated with unsecured borrowings. The company reduced allocation for secured loan repayment by ₹192.00 lakhs and redistributed these funds across other objects, particularly increasing the allocation for unsecured loan repayment by ₹148.02 lakhs.

Audit Committee Oversight

The Audit Committee reviewed the fund utilization and allocation changes, taking management's explanation on record. The committee concluded that the strategic reallocation of funds does not constitute a deviation or variation in the use of funds raised through the right issue, as the changes were made within the management's discretion as per the offer document.

Compliance and Monitoring

The quarterly statement confirms that the utilization of proceeds during Q3FY26 aligns with the revised allocation approved by the board. Both the Audit Committee and auditors provided nil comments, indicating satisfactory compliance with regulatory requirements and proper fund deployment according to stated objectives.