Linc Limited held its 32nd Annual General Meeting on September 17, 2026, declaring a final dividend of ₹1.50 per share for FY26. Managing Director Deepak Jalan outlined a mixed performance year and flagged input-cost pressures in the current quarter.

The meeting, conducted via video conferencing, saw shareholders approve four ordinary resolutions. These included the adoption of standalone and consolidated audited financial statements for FY26, the dividend declaration, the re-appointment of Rohit Deepak Jalan as a director retiring by rotation, and approval of a material related-party transaction.

Remote e-voting was available from September 13 to September 16, 2026, under Section 108 of the Companies Act, 2013. D. C. Sahoo, Practicing Company Secretary, served as scrutinizer. Audit, Nomination and Remuneration, and Stakeholders Relationship Committee chairpersons were present.

FY26 Performance

Operating income for FY26 stood at ₹532.07 crore, broadly stable year-on-year. Profit After Tax (PAT) was ₹36.61 crore, with a PAT margin of 6.9%. Jalan acknowledged that overall performance was below internal targets but emphasized resilience. The company maintained a sound balance sheet with a net cash position of ₹6.86 crore as on March 31, 2026.

Q1FY27 Update

The first quarter of FY27 presented challenges. Operating income rose 1% YoY to ₹135.65 crore. However, net profit fell 30.42% to ₹5.10 crore, driven by sharp increases in polymer prices due to supply constraints and higher crude oil costs.

Segment performance was mixed:

• Corporate sales declined 14% against a high base.
• Export revenue dropped 3%, citing geopolitical uncertainty.
• General trade grew 8%.
• E-commerce surged 32%, supported by Linc On, the e-commerce subsidiary.

Strategic Initiatives

Linc marked its 50th anniversary with enhanced dealer engagement programs. A new 1.5 lakh square feet facility at Serakole, Kolkata, is expected to become operational in Q3 FY27 to improve efficiency and scalability.

Strategic partnerships remain key:

• Joint Venture with Mitsubishi Pencil Co. (Japan) commenced operations in October 2025.
• Turkish partner JV (50:50) is transitioning towards automation.
• Kenya subsidiary (60%) shows improving sales momentum.
• Morris, Korea subsidiary (50%) progress linked to the West Bengal facility.
• Linc On (65%) operations commenced in FY26.

What the Numbers Show

While FY26 revenue remained stable, the 30.42% drop in Q1FY27 net profit highlights significant margin pressure from raw material costs. The divergence between robust e-commerce growth (32%) and declining corporate sales (14%) suggests a structural shift in demand channels, which the company is addressing through digital investments and cost management.

Linc Limited has issued a postal ballot notice seeking shareholder approval for the reappointment of Sanjay Jhunjhunwalla as an independent director. The company also seeks approval for salary increases for two senior managers, effective November 1, 2026.

The e-voting process will commence on September 8, 2026, at 9:00 am and conclude on October 7, 2026, at 5:00 pm. The cut-off date for determining voting rights is August 28, 2026.

Key Resolutions

The Board of Directors proposed three resolutions for member approval through remote e-voting facilitated by National Securities Depository Limited (NSDL).

Sanjay Jhunjhunwalla, currently serving as an independent director, was recommended for reappointment by the Nomination and Remuneration Committee following a performance evaluation. He serves as Chairperson of both the Stakeholders Relationship Committee and the Audit Committee.

Related Party Transactions

Aakash Aloke Jalan and Utkarsh Aloke Jalan, both Senior Managers in Corporate & MISMAT, are sons of Whole Time Director Aloke Jalan. Their proposed remuneration enhancement requires shareholder approval under Section 188 of the Companies Act, 2013.

The Board approved the salary increase subject to member consent. Both individuals will receive benefits and perquisites applicable to employees in similar positions as per company policy. No other directors or key managerial personnel have a financial interest in these resolutions.

Voting Process

Shareholders holding shares as on the cut-off date can cast their votes electronically via the NSDL e-voting platform. Institutional shareholders must submit scanned copies of board resolutions or authority letters to the scrutinizer. Results are expected to be declared by October 9, 2026.