Krishival Foods Limited reported that it utilized ₹799.15 lakh of funds raised through a rights issue during the quarter ended June 30, 2026. The expenditure was directed towards part-funding the capital costs for setting up a processing and packaging unit for cashews and other nuts at Kolhapur, Maharashtra. This utilization brings the total amount deployed for this specific object to ₹1,375.35 lakh as of June 30, 2026.

The company confirmed to the National Stock Exchange of India Limited and BSE Limited on August 11, 2026, that there was no deviation or variation in the use of funds raised against the objects disclosed in the offer document. The rights issue, which closed on January 20, 2026, raised a total of ₹3,499.29 lakh. Brickwork Ratings India Private Limited acted as the monitoring agency for the utilization of these proceeds.

Fund Utilization Details

The statement filed by Krishival Foods outlines the allocation and utilization of the rights issue proceeds across two primary objects: capital expenditure for the Kolhapur unit and working capital requirements.

The data indicates that while significant progress was made on the capital expenditure front, no additional funds were drawn down for working capital requirements during Q4FY26. The total original allocation for working capital stands at ₹5,000 lakh, with ₹992.25 lakh already utilized prior to the current quarter.

Compliance and Verification

The utilization statement was verified by Tamanna Parmar and Associated, Chartered Accountants, Mumbai. CA Tamanna Parmar, Partner, provided the certification with UDIN 26409291DEISFK616163. The Audit Committee reviewed the utilization and found no deviations, rendering their comments not applicable for this period.

Rahul Suresh Gawande, Company Secretary and Compliance Officer, signed the submission on behalf of Krishival Foods. The filing confirms that all expenditures were made in accordance with the approved terms, with no changes to contract terms or objects requiring shareholder approval during the quarter.

Krishival Foods Limited reported a consolidated net profit of ₹560.29 lakh for the quarter ended June 30, 2026 (Q1FY26), an increase from ₹440.46 lakh in Q1FY25. The growth was primarily driven by robust performance in its ice cream business, which contributed significantly to overall revenue expansion. Consolidated revenue from operations rose to ₹8,896.06 lakh in Q1FY26, compared to ₹4,952.03 lakh in the corresponding quarter of the previous year.

The Board of Directors approved the unaudited standalone and consolidated financial results during its meeting held on August 11, 2026. Statutory auditors Tamanna Parmar and Associates issued a limited review report with an unmodified opinion on the financial statements. The results were prepared in accordance with Indian Accounting Standard 34 (Ind AS 34) and reviewed by the Audit Committee prior to board approval. Additionally, the company disclosed related party transactions for the quarter and provided a statement on the utilization of funds raised from its right issue.

Segment Performance

The company operates through two primary segments: Nuts and Dry Fruits, and Ice Creams. The Ice Creams segment emerged as the key growth engine in Q1FY26, with revenue jumping to ₹5,157.93 lakh from ₹1,563.25 lakh in Q1FY25. This surge helped offset a more modest increase in the Nuts and Dry Fruits segment, which saw revenue rise to ₹3,738.13 lakh from ₹3,388.78 lakh.

On a standalone basis, revenue from operations stood at ₹3,738.13 lakh, while net profit after tax was ₹398.28 lakh, compared to ₹414.72 lakh in Q1FY25. The decline in standalone net profit contrasts with the consolidated growth, highlighting the contribution of subsidiaries to the group’s overall profitability.

What the Numbers Show

A notable divergence exists between standalone and consolidated results. While standalone net profit dipped slightly to ₹398.28 lakh from ₹414.72 lakh in Q1FY25, consolidated net profit rose by approximately 27% to ₹560.29 lakh. This discrepancy is largely attributable to the strong performance of subsidiary entities, particularly in the ice cream manufacturing space. The ice cream segment’s profit before tax surged to ₹399.21 lakh from ₹27.69 lakh in the same period last year, indicating improved operational efficiency or higher volume sales in this division. Conversely, the Nuts and Dry Fruits segment saw its profit before tax contract to ₹453.46 lakh from ₹611.48 lakh, suggesting potential margin pressures or increased input costs in that line of business.

Capital Structure Updates

During FY25, Krishival Foods allotted 33,33,160 equity shares on a rights basis at ₹300 per share. As of the reporting date, ₹105 per share was called up, with ₹195 remaining uncalled. Subsequent to the quarter end, on August 05, 2026, the Rights Issue Committee approved the conversion of 27,72,120 partly paid-up rights equity shares into fully paid-up equity shares upon receipt of the first and final call money. The remaining 5,61,040 partly paid-up shares continue to remain outstanding. Earnings per share (EPS) figures have been restated for comparability, accounting for the proportionate inclusion of partly paid shares and ESOP impacts under Ind AS 33.