Linc Limited reports Q4FY26 PAT of INR1,046 lakhs

Linc Limited reported financial results for Q4FY26 and FY26, disclosing a Profit After Tax (PAT) of INR1,046 lakhs for the quarter with a margin of 7.5%. The company's operating income for Q4FY26 stood at INR137.67 crores, reflecting a decline of 10.6% compared to the corresponding quarter last year. The performance was impacted by moderated corporate sales due to a high base effect and reduced export revenues driven by geopolitical tensions.

For the full financial year FY26, operating income stood at INR543 crores, remaining broadly stable year-on-year. The company recorded an operating EBITDA of INR59.49 crores with a margin of 11%, a decline of 89 basis points over the previous year. In Q4FY26, operating EBITDA improved to INR17.78 crores with a margin of 12.9%, representing an improvement of 41 basis points year-on-year.

Financial Highlights

Metric	Q4FY26	FY26
Operating Income	INR137.67 crores	INR543 crores
Operating EBITDA	INR17.78 crores	INR59.49 crores
EBITDA Margin	12.9%	11%
PAT	INR1,046 lakhs	INR3,274 lakhs
PAT Margin	7.5%	5.9%

The balance sheet remained strong with a net cash position of INR686 lakhs as on March 31, 2026. Net debt to operating EBITDA stood at 0.12x negative, while Return on Capital (ROC) and Return on Equity (ROE) were 18.7% and 13.3%, respectively. The Board has approved a dividend of INR1.5 per share, subject to shareholder approval.

Strategic Updates

Management noted that polymer prices, the principal raw material, have risen due to supply-side disruptions, though immediate full pass-through in pricing is not feasible. The company is navigating these conditions through disciplined cost management. On the strategic front, the joint venture with Mitsubishi Pencil Company, Japan, remained stable, and operations with the Turkish partner have commenced successfully. The Board approved a further investment of $250,000 with a matching contribution from the JV partner. The subsidiary with Morris is linked to the upcoming West Bengal manufacturing facility, expected to become operational by Q3FY27.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-2.51%	+9.38%	+10.53%	-1.53%	-21.09%	+114.40%

Linc Limited reported a consolidated net profit of ₹3,274 lakh for the financial year ended March 31, 2026, a decline of 13.9% from ₹3,804 lakh in the previous year. The company's board has recommended a dividend of ₹1.50 per equity share, subject to shareholder approval. Operating income for FY26 stood at ₹54,301 lakh, broadly stable year-on-year, while operating EBITDA decreased by 7.6% to ₹5,949 lakh with a margin of 11.0%.

For the quarter ended March 31, 2026 (Q4 FY26), the company reported a profit after tax of ₹1,046 lakh, down 13.6% from ₹1,211 lakh in the same period last year. Operating income in Q4 fell 10.6% to ₹13,767 lakh. Operating EBITDA for the quarter improved by 41 basis points year-on-year to 12.9%, amounting to ₹1,778 lakh. M/s Singhi & Co., Chartered Accountants, issued an unmodified opinion on the audited financial results.

Management Commentary

Mr. Deepak Jalan, Managing Director, attributed the softer Q4 income to a moderation in corporate sales and dampened export revenue due to geopolitical uncertainty. He noted that corporate orders are project-driven and that export challenges reflect transient pressures. He also highlighted rising polymer prices due to supply-side disruptions, which have impacted margins despite disciplined cost management.

Strategic Initiatives

The company stated that its international growth initiatives are advancing steadily. Specific joint ventures, including the Mitsubishi Pencil partnership and the Turkey joint venture, are gaining traction. The Kenya subsidiary is building momentum, while Linc On Ecommerce Private Limited is expected to contribute meaningfully from FY27 onwards.