Modern Threads (India) Limited has scheduled its 45th Annual General Meeting for September 30, 2026, to adopt the audited financial statements for FY26. The textile manufacturer reported a substantial improvement in profitability, with standalone net profit reaching ₹130.4 crore for the fiscal year ended March 31, 2026, compared to ₹33.7 crore in FY25.

Financial Performance

The company’s standalone revenue from operations and other income stood at ₹3,122.7 crore, up from ₹2,698.9 crore in the previous year. Profit before tax and exceptional items surged to ₹184.9 crore from ₹47.5 crore. On a consolidated basis, the group reported a profit after tax of ₹121.9 crore against ₹33.7 crore in FY25, with consolidated revenue at ₹3,064.3 crore.

Divisional Growth and Operations

The Woollen Division turnover increased to ₹1,849.6 crore from ₹1,676.0 crore, while the Yarn Division turnover rose to ₹1,168.2 crore from ₹935.9 crore. The management noted that despite global instability and short supply of Australian wool leading to higher raw material prices, the domestic market provided support. The company focused on spinning fine counts for better capacity utilization.

Capital Expenditure and Future Prospects

Modern Threads undertook major upgradation and capacity expansion during the year. The company plans to increase yarn sales by around 20-25% based on medium and coarse count products. The new plant is expected to be fully operational from the third quarter of the next financial year. However, the export future remains cautious due to reduced wool and blended yarn consumption by several small customers and countries.

Dividend and Reserves

The Board of Directors decided not to recommend any dividend on equity shares for FY26. The company retained resources for expansion and modernization of technology machineries, including increasing solar power capacity and reverse osmosis plant installations. No amount was transferred to reserves during the year.

Meeting Agenda Details

The primary ordinary business item involves adopting the Audited Financial Statements for the fiscal year ended March 31, 2026. Another key resolution concerns the reappointment of Mr. Prabodh Kumar Nahar as a director. He retires by rotation at this meeting but is eligible and offers himself for reappointment. Mr. Nahar serves as the Whole-time Director and CFO.

Special Business Resolutions

Under special business, shareholders will ratify the remuneration of the Cost Auditors for the financial year 2026-27. The Board recommends paying M/s S. Goyal & Co., Cost Accountants, a fee of ₹50,000 plus applicable GST and reimbursement of actual out-of-pocket expenses.

This resolution requires shareholder approval via an Ordinary Resolution pursuant to Section 148 of the Companies Act, 2013 and Rule 14 of the Companies (Audit and Auditors) Rules, 2014.

Voting and Logistics

The company will facilitate remote e-voting through National Securities Depository Limited (NSDL). The e-voting period commences on September 27, 2026, at 9:00 am and concludes on September 29, 2026, at 5:00 pm.

Members must hold shares as of the cut-off date of September 23, 2026, to be eligible for voting. The register of members will remain closed from September 24 to September 30, 2026, inclusive.

Director Profile

Mr. Prabodh Kumar Nahar brings approximately 37 years of experience in finance, taxation, and management. He holds an M.Com degree and is a Fellow Member of the Institute of Chartered Accountants of India. He currently serves on the Audit Committee and Stakeholders Relationship Committee.

Modern Threads (India) Limited reported a net profit of ₹588.44 lakh for the quarter ended June 30, 2026, marking a substantial recovery from the negligible profit of ₹0.63 lakh recorded in the corresponding quarter of FY25. The textile manufacturer’s revenue from operations expanded by 23.8% year-on-year to ₹8,661.69 lakh, reflecting robust top-line growth alongside improved bottom-line performance.

The company’s board of directors approved the unaudited consolidated financial results in a meeting held on August 14, 2026. The results were subsequently published in Kranti Tarang and The Indian Express on August 15, 2026, in compliance with Regulation 30 and Regulation 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance

Revenue from operations stood at ₹8,661.69 lakh for Q1FY26, compared to ₹6,986.41 lakh in Q1FY25. This growth outpaced the sequential increase from ₹7,450.34 lakh in the final quarter of FY25. Other income contributed ₹271.84 lakh to the total income, down from ₹375.30 lakh in Q4FY25 but significantly higher than the ₹174.98 lakh recorded in Q1FY25.

Total expenses for the quarter were ₹8,129.85 lakh, an increase from ₹7,132.44 lakh in the prior year period. Despite the rise in costs, the profit before tax jumped to ₹803.68 lakh from just ₹28.95 lakh a year ago. Tax expense was recorded at ₹215.24 lakh.

Standalone Results

On a standalone basis, Modern Threads reported revenue from operations of ₹8,942.70 lakh for the quarter. The standalone profit before tax was ₹787.33 lakh, while the net profit after tax stood at ₹572.95 lakh. These figures indicate that the parent entity contributed significantly to the overall consolidated performance.

What the Numbers Show

The divergence between the consolidated net profit (₹588.44 lakh) and standalone net profit (₹572.95 lakh) suggests minimal contribution from subsidiaries or associates in terms of bottom-line impact during the quarter. Additionally, the sharp rise in profit before tax relative to revenue growth indicates improved operational efficiency or margin expansion, as expenses grew at a slower pace than revenue.

Comprehensive Income

Other comprehensive income for the period was ₹47.82 lakh, leading to a total comprehensive income of ₹636.26 lakh. This compares to a total comprehensive income of ₹4.50 lakh in Q1FY25. The paid-up equity share capital remained unchanged at ₹3,477.52 lakh, with a face value of ₹10 per share.

Earnings per share (basic and diluted) were reported at ₹1.69 for Q1FY26, a notable improvement from ₹0.00 in the previous year’s quarter. The full format of the financial results is available on the company’s website and the stock exchange portals.