Kesar Enterprises reported a narrowed net loss of ₹48.41 crore for the fiscal year ended March 31, 2026, compared to a loss of ₹72.62 crore in FY25. The company held its 91st Annual General Meeting on August 20, 2026, where shareholders approved the audited financial statements and other key resolutions. Chairman & Managing Director Harsh R Kilachand chaired the meeting, which was conducted via video conferencing.

Financial Performance

Revenue from operations stood at ₹304.50 crore, down from ₹333.97 crore in the previous year. This decline was primarily attributed to a drop in sugar sale volumes to 6.23 lakh quintals from 7.53 lakh quintals in FY25. Despite the revenue contraction, the company’s operational efficiency improved, with EBITDA moving from a negative ₹38.92 crore in FY25 to a negative ₹11.00 crore in FY26.

The narrowing of the net loss was supported by tighter cost discipline and benefits from one-off items. These included interest written back on the Sugar Development Fund OTS settlement, an insurance claim received, and proceeds from the sale of leasehold land rights.

Operational Updates

Crushing operations for the 2025-26 season began later than planned and closed earlier, processing 55.31 lakh quintals of cane over 98 days. This is lower than the 59.46 lakh quintals processed over 108 days in the preceding season. The reduction in command area, which fell from 27,012 hectares to 18,636 hectares, was due to farmers diverting cane centers to neighboring mills amid delays in clearing prior season cane price dues.

However, sugar recovery improved to 10.23% from 9.55%, reflecting agronomic efforts despite the shrinking cane base. The Power Division benefited from the Uttar Pradesh Electricity Regulatory Commission’s revised multi-year tariff of ₹4.43 per unit for FY26, supporting better revenue visibility. The Spirits Division remained shut throughout the year due to commercially unviable distillery operations, with a restart decision expected by September–October 2026.

Key Resolutions Passed

Shareholders approved four ordinary resolutions during the AGM:

• Adoption of the audited Balance Sheet (as at March 31, 2026) and Statement of Profit & Loss.
• Reappointment of Shri Devendra J Shah as Director.
• Ratification of remuneration to Cost Auditor Shri Rishi Mohan Bansal for FY27.
• Approval of Material Related Party Transactions with Kesar Terminals & Infrastructure Limited.

Governance and Outlook

The Statutory Auditors’ Report for FY26 did not carry any qualification or adverse remark. However, the Secretarial Audit Report contained certain observations, which were explained in the Directors’ Report. All directors and representatives of statutory and secretarial auditors attended the meeting.

Looking ahead, the company expects sugar prices to remain steady in FY27, aided by lower opening stocks and export restrictions. Management intends to prioritize improving the cane payment cycle to protect its command area, especially with a new mill coming up nearby. The Board views the near and medium-term industry outlook as cautiously positive.

Kesar Enterprises Limited shareholders will vote on a ₹65 crore omnibus approval for material related party transactions (RPTs) with Kesar Terminals & Infrastructure Limited (KTIL) at the company’s 91st Annual General Meeting (AGM) scheduled for Thursday, August 20, 2026. The meeting, conducted via Video Conferencing (VC) or Other Audio-Visual Means (OAVM), also includes the re-appointment of Devendra J Shah as director and ratification of cost auditor remuneration for FY27. This approval is critical for ongoing group synergies and working capital support.

The proposed RPTs, valued up to ₹65 crore, cover loans, shared services, and miscellaneous expenses between Kesar Enterprises and KTIL, a related party within the promoter group. The transactions are intended to be executed in the ordinary course of business on an arm’s length basis until the conclusion of the 92nd AGM in calendar year 2027. The Audit Committee and Board approved these transactions on May 29, 2026, following a review under SEBI’s Industry Standards on Minimum Information for RPT approvals.

Key AGM Resolutions

Related Party Transaction Details

The ₹65 crore ceiling is broken down into four categories: availing loans (₹50 crore), availing shared services (₹5 crore), rendering shared services (₹5 crore), and miscellaneous transactions including expense reimbursements (₹5 crore). The loan component carries an interest rate of 10% per annum and is unsecured. These transactions represent 21.45% of Kesar Enterprises’ annual turnover for FY26 and 193.84% of KTIL’s turnover for the same period.

In FY26, total transactions with KTIL amounted to ₹26.33 crore, primarily comprising inter-corporate deposits/loans of ₹26.20 crore and expense reimbursements of ₹13.78 lakh. During the current financial year up to the preceding quarter, transactions totaled ₹17.14 crore, including a ₹90 lakh loan and accrued interest of ₹63.65 lakh. KTIL reported a turnover of ₹33.53 crore and a net loss of ₹32.75 crore for FY26, with a net worth of ₹56.78 crore.

Voting and Logistics

Remote e-voting opens on Monday, August 17, 2026, at 9:00 a.m. IST and closes on Wednesday, August 19, 2026, at 5:00 p.m. IST. The cut-off date for voting eligibility is Thursday, August 13, 2026. Shareholders can attend the virtual AGM via InstaMeet and vote electronically during the meeting if they have not already cast remote votes. The registered office in Mumbai will be deemed the venue for quorum purposes under Section 103 of the Companies Act, 2013.