Nahar Spinning Mills reported a sharp recovery in profitability for the quarter ended June 30, 2026, with net profit from continuing operations surging 338% year-on-year to ₹69.88 lakh. The Ludhiana-based textile manufacturer saw revenue from operations rise 18% to ₹966.10 lakh, driven by stronger operational performance and significant margin expansion compared to the same period in the previous year. This marks a notable improvement from the ₹15.96 lakh net profit recorded in Q1FY26, signaling a robust turnaround in the company's financial health.

The Board of Directors approved the standalone un-audited financial results during a meeting held on August 5, 2026. The results were reviewed by M/s. Gupta Vigg & Co., Chartered Accountants, Ludhiana, pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. In addition to the financial results, the Board approved the re-appointment of Dinesh Oswal as Managing Director for five years effective January 1, 2027, subject to shareholder approval. The Board also approved the re-appointment of Dr. Yash Paul Sachdeva and Dr. Anchal Kumar Jain as Independent Directors for a second term of five years effective August 24, 2027.

Financial Performance

Revenue from operations grew to ₹966.10 lakh in Q1FY27, up from ₹819.28 lakh in the corresponding quarter of the previous year. Other income also saw a substantial increase, rising to ₹9.42 lakh from ₹3.68 lakh. Total income from operations stood at ₹975.52 lakh, compared to ₹822.96 lakh in Q1FY26. The following table summarises the key financial metrics for the quarter:

Total expenses increased by 10% to ₹882.13 lakh, primarily due to higher cost of materials consumed and power & fuel costs. Cost of materials consumed rose to ₹549.27 lakh from ₹548.26 lakh, while power and fuel expenses increased to ₹79.20 lakh from ₹73.62 lakh. Despite the rise in expenses, the company managed to improve its bottom line significantly.

EBITDA and Margin Expansion

Latest data reveals a significant improvement in operating profitability, with EBITDA more than doubling year-on-year. The EBITDA margin expanded sharply, reflecting improved operational efficiency and better cost management during the quarter. The table below highlights the EBITDA performance:

What the Numbers Show

The most striking aspect of the quarterly performance is the divergence between expense growth and profit growth. While total expenses rose by only 10%, net profit more than quadrupled. The profit before tax jumped from ₹21.28 lakh to ₹93.39 lakh, suggesting that the company successfully passed on input cost increases or benefited from a favorable product mix. The tax expense was ₹23.50 lakh, reflecting the higher taxable income.

Corporate Actions

The company announced that its 46th Annual General Meeting will be held on September 25, 2026, at 10:00 am through Video Conferencing/Other Audio Visual Means. The Register of Members and Share Transfer Books will remain closed from September 5, 2026, to September 9, 2026. The record date for dividend payment on Equity Shares for the financial year ended March 31, 2026, has been fixed as September 4, 2026. Shareholders holding shares on this date will be eligible for the dividend.

Nahar Spinning Mills Ltd has proposed the re-appointment of Dinesh Oswal as Managing Director and Dr. Yash Paul Sachdeva and Dr. Anchal Kumar Jain as Independent Directors, effective from 2027. The Board of Directors made the decision based on recommendations from the Nomination and Remuneration Committee, ensuring continuity in leadership and independent oversight for the textile manufacturer.

The proposals were disclosed under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company notified the National Stock Exchange of India Limited and The Bombay Stock Exchange Limited on August 05, 2026. All appointments are subject to approval by shareholders at the ensuing Annual General Meeting.

Board Appointments

The Board proposed the following re-appointments:

Dinesh Oswal will serve a further period of five consecutive years commencing January 1, 2027. Dr. Yash Paul Sachdeva and Dr. Anchal Kumar Jain will serve their second term of five consecutive years commencing August 24, 2027.

Director Profiles

Dinesh Oswal, aged 61, is a commerce graduate with more than 41 years of business experience in the textile industry and financial expertise. He manages the day-to-day affairs of the company under the direction of the Board. He is the son of Jawahar Lal Oswal, who serves as Director and Chairman, and the brother of Kamal Oswal, also a Director of the company.

Dr. Yash Paul Sachdeva, aged 64, holds an MBA in Financial Management and a Ph.D. in Capital Markets and Investment Management. He is an educationist and Corporate Advisor with more than 30 years of experience in Business Management and Administration. He retired as Professor in the Business Administration Department of Punjab Agriculture University, Ludhiana.

Dr. Anchal Kumar Jain, aged 64, holds a B.Tech, M.Tech, and Ph.D. in Soil and Water Engineering. He has more than 40 years of experience in teaching, research, and academic administration. He retired as Professor and Head (Soil and Water Engineering) from Punjab Agriculture University and served as Professor at Lovely Professional University, Phagwara.

Regulatory Compliance

The disclosure was made pursuant to Regulation 30 read with Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and SEBI/HO/49/14/14(7)2025-CFD-POD2/I/3762/2026 dated January 30, 2026. All three directors have submitted declarations stating they are not disqualified from holding office under Section 164 of the Companies Act, 2013. None of the directors are debarred by any SEBI order or other authority.