Linc Limited reported a 20% year-on-year decline in consolidated net profit to ₹581 lakhs for the quarter ended June 30, 2026, as rising polymer prices compressed operating margins. While revenue from operations grew 1.4% to ₹13,895 lakhs, the company faced significant headwinds in corporate sales and exports, offset partially by robust 32% growth in its e-commerce segment. The contraction in profitability highlights the immediate impact of input cost inflation on the stationery manufacturer’s bottom line.

The Board of Directors approved the unaudited financial results on August 6, 2026, pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were reviewed by statutory auditors Singhi & Co., Chartered Accountants. The Board also approved the re-appointment of Sanjay Jhunjhunwalla as a Non-Executive Independent Director for five years, effective November 12, 2026, subject to shareholder approval. Additionally, the Board sought shareholder consent to revise the annual remuneration of Aakash Alope Jalan and Utkarsh Alope Jalan to not exceed ₹40,00,000 each, effective November 1, 2026.

Financial Performance Highlights

Consolidated revenue from operations rose 1.4% to ₹13,895 lakhs from ₹13,699.50 lakhs in Q1FY26 (derived from prior year base). Operating EBITDA stood at ₹1,209 lakhs, reflecting an EBITDA margin of 8.7%, down from 9.59% in the previous year due to higher raw material costs. Profit after tax (PAT) declined to ₹581 lakhs, translating into a PAT margin of 4.2%.

Segment-wise performance showed divergent trends. Corporate sales declined by 14% against a high prior-year base, while exports decreased by 3% due to geopolitical uncertainties affecting global trade flows. In contrast, General Trade grew by 8%, and e-commerce registered strong momentum with 32% growth, supported by Linc On, the company’s e-commerce focused subsidiary.

Note: Q1FY26 figures are derived from YoY growth rates provided in the source.

What the Numbers Show

The divergence between top-line growth and bottom-line contraction underscores significant margin pressure. While revenue remained nearly flat, the 89 basis point compression in EBITDA margin was primarily attributable to increased polymer prices, driven by supply constraints and higher crude oil prices. Management indicated that pass-through of these higher input costs will be gradual due to competitive pressures.

The resilience of the e-commerce segment, growing at 32%, provides a counterbalance to the weakness in corporate and export channels. However, the overall impact of input cost inflation has reduced the Profit After Tax margin to 4.2%. Internationally, Uni Linc, the joint venture with Mitsubishi Pencil Co., remains operationally stable with exports accounting for more than 50% of its revenue. Operations at the Türkiye joint venture continue to progress steadily, while the subsidiary with Morris of Korea awaits commissioning of a new manufacturing facility in West Bengal, expected to be operational by Q3FY27.

Linc Limited has announced a group conference call with analysts and investors scheduled for Friday, August 7, 2026, to discuss its financial performance for the quarter ended June 30, 2026. The event aims to provide stakeholders with insights into the company's operational and financial outcomes for Q1FY27, offering a direct channel for queries regarding the latest results.

The announcement was made pursuant to Regulation 30(6) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Linc Limited submitted the intimation to the Listing Departments of the Calcutta Stock Exchange Ltd., BSE Limited, and the National Stock Exchange of India Ltd. on August 4, 2026. The filing ensures transparency and timely dissemination of material information to the market participants as per regulatory mandates.

Conference Call Details

The conference call is set to begin at 15:30 IST. Participants can join via a dedicated Diamond Pass link or through universal access numbers provided by the organizer, SKP Securities Ltd. The event is designed to be universally accessible from all networks and countries, facilitating broad participation from domestic and international investors.

Management Participation

Senior leadership from Linc Limited will address the analysts and investors during the session. The participating executives include:

• Rohit Deepak Jalan, Whole Time Director
• N.K. Dujari, Director Finance & CFO
• Sanjeev Sancheti, Uirtus Advisors LLP (IR Advisor)

For further information regarding the event, institutional equities head Navin B. Agrawal and research head Vaibhav Pachisia at SKP Securities Ltd. have been designated as points of contact.