Marc Loire Fashions has fixed October 3, 2026, as the record date for its Extra-Ordinary General Meeting (EGM). The company will hold the meeting on October 10 to seek shareholder approval for increasing its authorised share capital to ₹20 crore.

The board approved the proposal on September 16, 2026. This intimation was issued pursuant to Regulation 42 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Capital Increase Details

The board approved raising the authorised share capital from ₹8 crore (80 lakh equity shares of ₹10 face value each) to ₹20 crore (2 crore equity shares of ₹10 face value each). This involves creating 1.2 crore additional equity shares ranking pari-passu with existing shares.

The resolution requires shareholder consent under Section 61 of the Companies Act, 2013. The Memorandum of Association will be amended accordingly upon approval.

EGM Schedule and Logistics

The meeting will be held via video conferencing or other audio-visual means (VC/OAVM). Shareholders holding equity shares as of the record date are eligible to vote. Remote e-voting through National Securities Depository Limited (NSDL) will commence on October 6 and conclude on October 9.

The register of members and share transfer books will remain closed from October 4 to October 10, 2026. M/s MRS & Associates has been appointed as the scrutinizer for the voting process.

Voting Instructions

Individual shareholders holding securities in demat mode can vote via their depository participants (NSDL/CDSL) or directly through the NSDL e-voting portal. Physical shareholders must use their folio number and EVEN number for login. Proxy appointments are not available for this VC/OAVM meeting, though body corporates may appoint authorized representatives.

Questions from members should be sent to the company secretary at least 10 days before the meeting date. The explanatory statement confirms that no directors or key managerial personnel have a financial interest in the resolution.

Marc Loire Fashions reported a 62% year-on-year decline in net profit to ₹17.7 crore for FY26, weighed down by significant one-time expenses related to its initial public offering. The company's revenue from operations also contracted by 16% to ₹353.9 crore during the period ended March 31, 2026.

Despite the drop in bottom-line profitability, the footwear brand maintained positive operating performance, posting an EBITDA of ₹27.0 crore with a margin of 7.57%. The Board attributed the sharp decline in profit after tax primarily to IPO-related costs, which amounted to ₹22.4 crore and were accounted for within other expenses during the financial year.

Financial Performance

The company raised ₹210.0 crore through its IPO in July 2025, listing its equity shares on the BSE SME platform. While the capital infusion strengthened the balance sheet, the associated issuance costs heavily impacted the current fiscal's net margins. Revenue from operations stood at ₹353.9 crore compared to ₹422.6 crore in FY25. Total income for the year was ₹357.0 crore, including other income of ₹3.1 crore.

Total expenses for the year were ₹332.8 crore. This included purchases of stock-in-trade amounting to ₹269.9 crore and employee benefit expenses of ₹11.0 crore. Finance costs decreased to ₹1.0 crore from ₹1.6 crore in the previous year.

Balance Sheet and Cash Flows

Marc Loire Fashions closed FY26 with a debt-free balance sheet. The company's net worth increased to ₹335.2 crore, supported by equity share capital of ₹71.0 crore and reserves and surplus of ₹264.2 crore. Current assets stood at ₹370.9 crore, significantly higher than current liabilities, resulting in a robust current ratio of 7.29 times compared to 1.84 times in FY25.

Cash flow from operating activities turned negative at -₹128.7 crore, largely driven by a substantial increase in inventory levels. Inventories rose by ₹92.7 crore during the year, reflecting stock buildup ahead of retail expansion. Investing activities consumed ₹67.7 crore, while financing activities yielded a marginal inflow of ₹0.4 crore. The closing cash balance was ₹23.7 crore.

Operational Highlights

The company expanded its physical footprint by opening three exclusive brand outlets in Delhi NCR by March 2026. It plans to open five additional stores in Punjab and targets reaching 15 stores nationwide by March 2027. E-commerce continued to be the dominant channel, contributing 53% of total revenue, while wholesale and other channels accounted for 41%. Offline retail contributed 6% as the company scales its omnichannel presence.

What the Numbers Show

The divergence between positive EBITDA and sharply lower net profit highlights the non-recurring nature of the drag on profitability. With operating margins holding steady at 7.57%, the core business remains profitable. The primary pressure point is the ₹22.4 crore in issue expenses, which reduced the net profit margin to 4.96% from 11.08% in the prior year. Excluding these one-time costs, the underlying operational efficiency appears stable despite the top-line contraction.