Nahar Capital & Financial Services reported a standalone net profit of ₹1381.97 lakh for the quarter ended June 30, 2026, marking a 63.4% year-on-year increase from ₹845.59 lakh in Q1FY25. The strong performance was primarily driven by a significant net gain on fair value changes of ₹871.19 lakh under other income, alongside a recovery in operational revenues. Consolidated net profit jumped to ₹6743.87 lakh, compared to ₹1148.12 lakh in the corresponding quarter of the previous year, largely boosted by a ₹3595.34 lakh share of profit from its associate companies.

The Board of Directors approved the unaudited financial results on August 5, 2026, pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were subjected to a limited review by M/s. Gupta Vigg & Co., Chartered Accountants, Ludhiana, in accordance with Regulation 33. The company also announced the re-appointment of Dinesh Oswal as Managing Director for five years effective January 1, 2027, and independent directors Yash Paul Sachdeva and Rajan Dhir for a second term starting August 24, 2027.

Financial Performance Highlights

Standalone revenue from operations rose to ₹939.35 lakh in Q1FY26, up from ₹566.59 lakh in Q1FY25. This growth was supported by an increase in interest income to ₹375.42 lakh and rental income to ₹167.76 lakh. However, total income reached ₹1844.95 lakh, significantly higher than the ₹1480.65 lakh recorded in the prior year quarter, due to the aforementioned fair value gains. Total expenses stood at ₹390.18 lakh, down from ₹482.46 lakh in Q4FY25 but up from ₹313.33 lakh in Q1FY25.

Consolidated figures show a similar trend, with total revenue from operations at ₹939.35 lakh. The consolidated other income remained robust at ₹905.60 lakh. The share of profit from associates, namely Nahar Poly Films Limited and Nahar Spinning Mills Limited, contributed ₹3595.34 lakh to the bottom line, compared to ₹1474.24 lakh in Q1FY25. Basic and diluted earnings per share for the consolidated entity stood at ₹40.27, a sharp rise from ₹6.86 in the previous year’s corresponding quarter.

What the Numbers Show

The disparity between standalone and consolidated profits highlights the company’s heavy reliance on its associate companies for overall profitability. While standalone operations generated a healthy net profit of ₹1381.97 lakh, the consolidated result of ₹6743.87 lakh indicates that over 50% of the total profit originated from equity-accounted associates. Furthermore, the volatility in ‘other income’—swinging from a loss of ₹290.19 lakh in Q4FY25 to a gain of ₹905.60 lakh in Q1FY26—suggests that fair value adjustments play a critical role in quarterly earnings stability. Investors should monitor whether these gains are recurring or one-off market movements.

Corporate Actions and Tax Regime

The company noted that it has opted for the new tax regime as per the 2026 budget, replacing the earlier old tax regime. Consequently, the company estimates it can avail brought forward Minimum Alternate Tax (MAT) credit up to ₹6 crore conservatively against future tax liabilities. This change renders current quarter figures not directly comparable with earlier quarters. The 21st Annual General Meeting is scheduled for September 25, 2026, via video conferencing. The register of members will remain closed from September 5 to September 9, 2026, with September 4 fixed as the record date for dividend payment for FY26.

Nahar Capital and Financial Services Ltd reported a 26.8% rise in consolidated net profit to ₹6314.14 lakh for the financial year ended March 31, 2026, compared to ₹4981.22 lakh in the previous year. The growth was primarily driven by a significant increase in the share of profit from associates, which rose to ₹4529.91 lakh from ₹2305.47 lakh in FY25. The board recommended a dividend of ₹1.50 per equity share of ₹5 each, subject to approval by members at the ensuing Annual General Meeting. The statutory auditors, M/s. Gupta Vigg & Co., issued an audit report with an unmodified opinion on the standalone and consolidated financial results.

Total consolidated revenue from operations for the year increased to ₹4894.12 lakh from ₹4648.89 lakh in FY25. For the quarter ended March 31, 2026, the company recorded a consolidated net profit of ₹1819.43 lakh, while revenue from operations stood at ₹782.94 lakh. The board approved the standalone and consolidated audited financial results at a meeting held on May 28, 2026.

On a standalone basis, net profit for the year declined to ₹2876.72 lakh from ₹3040.00 lakh in the previous year. Total revenue from operations for the year increased to ₹3071.25 lakh from ₹2904.97 lakh in FY25. For the quarter ended March 31, 2026, the company recorded a standalone net profit of ₹119.66 lakh, a decline from ₹273.21 lakh in the same period last year. Revenue from operations for the quarter stood at ₹782.94 lakh.

The company's financial results were prepared in accordance with Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Companies Act, 2013. The operating segments identified by the company are Investments/Financial Activity and Real Estate Activity. The board noted that the incremental impact of the new labour codes notified by the Government of India is not material based on the information currently available.

Consolidated Financial Results (₹ in Lakhs)

Standalone Financial Results (₹ in Lakhs)