Jhaveri Credits & Capital Limited reported a consolidated net loss of ₹147.91 lakh for the quarter ended June 30, 2026 (Q1FY26), marking a significant downturn from the net profit of ₹686.63 lakh recorded in the same period of FY25. The reversal in profitability was driven by a sharp increase in total expenses, which rose to ₹2,027.10 lakh from ₹600.33 lakh year-on-year, outpacing a 45.5% growth in revenue from operations to ₹1,706.28 lakh.

The Board of Directors approved the unaudited standalone and consolidated financial results on August 12, 2026, following review by the Audit Committee. The results were reviewed by statutory auditors B. K. Patel & Co., Chartered Accountants, pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company also approved convening its 32nd Annual General Meeting on September 25, 2026, via video conferencing.

Financial Performance Highlights

Revenue from operations increased to ₹1,706.28 lakh in Q1FY26 from ₹1,172.53 lakh in Q1FY25. Other income also grew to ₹172.91 lakh from ₹132.03 lakh. However, cost of operations and materials consumed rose to ₹1,406.46 lakh from ₹1,574.24 lakh, while changes in inventories swung from a credit of ₹1,177.34 lakh in the prior year to a debit of ₹403.06 lakh, significantly impacting the bottom line. Employee benefit expenses and finance costs saw modest increases to ₹101.34 lakh and ₹15.66 lakh, respectively.

What the Numbers Show

The primary driver of the net loss was the volatility in inventory valuation. In Q1FY25, the company benefited from a reduction in inventory stock worth ₹1,177.34 lakh, which acted as a credit to expenses. In contrast, Q1FY26 saw an increase in inventory stock valued at ₹403.06 lakh, adding directly to costs. This swing of over ₹1,500 lakh in inventory treatment alone explains the majority of the profit-to-loss transition, despite healthy top-line growth. Excluding this inventory impact, the operational pressure remains visible but less severe than the headline loss suggests.

Corporate Developments

The financial statements reflect the amalgamation of U R Energy (India) Private Limited with Jhaveri Credits & Capital Limited, sanctioned by the NCLT Ahmedabad Bench on March 16, 2026. The amalgamation was accounted for under the Pooling of Interests Method as per Ind AS 103, with an appointed date of April 1, 2024. Consequently, comparative figures for Q1FY25 have been restated to include U R Energy’s results. The company operates in a single business segment and has no joint ventures or discontinued operations affecting current earnings.

Jhaveri Credits & Capital Ltd disclosed that its promoter and promoter group increased their shareholding to 63.24% through the acquisition of 1,178,605 equity shares. The acquisition was executed on June 29, 2026, pursuant to a scheme of amalgamation with U R Energy (India) Private Limited. The transaction was carried out based on an order by the National Company Law Tribunal (NCLT), Ahmedabad Bench, and involved the issuance of 253 equity shares of ₹10 each in Jhaveri Credits & Capital Limited for every 500 equity shares held in U R Energy (India) Private Limited. Bhumit Vinodbhai Patel acquired 42,166 shares, representing 0.38% of the total share capital, through this allotment.

The filing was submitted to BSE Limited on June 30, 2026, under Regulation 29(2) of the SEBI (Substantial Acquisition of Shares and Takeovers) Regulations, 2011. The disclosure confirmed that the acquisition falls under the exemption provided by Regulation 10(1)(d)(ii), which precludes the need for a public open offer. Authority letters from various acquirers, including those based in the United States and Australia, were submitted authorizing Vishnubhai Vitthalbhai Patel to sign the necessary regulatory forms.

Shareholding Pattern

The disclosure details the shift in shareholding for various acquirers classified under the promoter and promoter group. Vishnubhai Patel remains the largest shareholder, while several entities, including Riddhi Landmark LLP, increased their stakes. Notably, Arjunkumar Jagdishbhai Patel and Riddhi Landmark LLP, previously classified under the public category, will now be classified as promoters pursuant to the scheme.

Regulatory Compliance

The equity share capital of the company increased to ₹11,10,20,240, consisting of 1,11,02,024 equity shares of face value ₹10 each, following the allotment. Prior to the transaction, the equity share capital stood at ₹9,48,59,360, comprising 94,85,936 equity shares. The disclosure confirmed that prior intimation under Regulation 10(5) was not applicable for this transaction.