KMG Milk Food Limited reported a net loss of ₹14.23 lakh for the quarter ended June 30, 2026 (Q1FY27), driven by a complete absence of operational revenue. The company, which operates in the pesticides segment, logged ₹0.00 in income from operations, a stark contrast to the ₹305.66 lakh recorded in the same period last year. Consequently, total income for the quarter was limited to ₹24.00 lakh derived entirely from other income.

Total expenses for the quarter stood at ₹38.23 lakh, an increase from ₹37.69 lakh in the preceding quarter and significantly higher than the ₹291.10 lakh incurred in Q1FY26. Employee benefits expense rose slightly to ₹20.84 lakh from ₹18.04 lakh in Q4FY26. Finance costs decreased to ₹10.67 lakh from ₹11.09 lakh in the prior quarter but remained lower than the ₹12.36 lakh reported in Q1FY25.

The Board of Directors approved the unaudited standalone financial results at a meeting held on August 13, 2026, at the company’s registered office in Kurukshetra, Haryana. The results were subjected to a limited review by statutory auditors M/s Gauri Goyal & Associates, who issued a report without qualification pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance Overview

What the Numbers Show

The financial data reveals a complete cessation of core business activity during the quarter. While total expenses dropped sharply by 86.9% year-on-year due to the lack of material costs and inventory changes associated with operations, fixed costs such as employee benefits (₹20.84 lakh) and finance costs (₹10.67 lakh) persisted. Other income remained stable at ₹24.00 lakh, identical to the same quarter last year, indicating that non-operational cash flows have not compensated for the loss of top-line revenue. The company’s net worth remains at ₹0.00 as per the balance sheet disclosures for the period.

KMG Milk Food Limited has returned to profitability in the financial year ended March 31, 2026, reporting a net profit of ₹3.29 crore compared to a loss of ₹45.68 crore in the previous year. The turnaround was driven by a significant reduction in total expenses, which declined to ₹562.57 crore from ₹818.78 crore in the prior year. The board approved the audited standalone financial results for the quarter and year ended March 31, 2026, at a meeting held on May 28, 2026.

Financial Performance

The company's revenue from operations for the year stood at ₹469.03 crore, a decrease from ₹677.34 crore in FY25. For the quarter ended March 31, 2026, the company reported a net loss of ₹12.20 lakh, with revenue from operations dropping to ₹0.00 lakh from ₹282.84 lakh in the same quarter of the previous year. Other income for the quarter was ₹25.50 lakh.

Key Financial Metrics

The following table summarizes the financial performance for the year and quarter ended March 31, 2026:

Compliance and Disclosures

The statutory auditors, M/s. Gauri Goyal & Associates, issued an independent audit report with an unmodified opinion. However, the auditors drew attention to the fact that the company did not appoint an internal auditor during the financial year. The company also disclosed that it is not required to submit an Annual Secretarial Compliance Report or disclose Related Party Transactions on a consolidated basis, as it qualifies for exemptions under Regulation 15(2) of the SEBI (LODR) Regulations, 2015 due to its paid-up equity share capital and net worth being below ₹10 crore and ₹25 crore respectively as on March 31, 2026.