Nath Industries Limited concluded its 44th Annual General Meeting on September 30, 2026, with shareholders approving all five resolutions placed before them. The meeting, conducted via video conferencing, saw the adoption of the audited financial statements for FY26 and the re-appointment of key board members.

The proceedings were chaired by Kashinath Iyer, with remote e-voting having commenced on September 27 and concluded on September 29. The scrutinizer’s report confirmed that all ordinary and special resolutions were passed with a requisite majority, reflecting strong shareholder support for the proposed governance changes.

Key resolutions passed

Shareholders voted to adopt the Audited Balance Sheet as at March 31, 2026, and the Statement of Profit & Loss for the year ended on that date. Additionally, Nupur Lodwal was re-appointed as a Director retiring by rotation. Two special resolutions were passed regarding independent directors:

• Hitesh Rajnikant Purohit: Re-appointed for a second term of five years from March 31, 2027, to March 30, 2032.
• Madhukar Deshpande: Re-appointed for a second term of five years from May 30, 2027, to May 29, 2032.

The remuneration of Cost Auditors M/s Raja Dutta & Co for FY27 was also ratified by the members.

Voting results

The e-voting results indicate overwhelming support for all agenda items, with only a single member casting votes against each resolution. The voting pattern remained consistent across all five resolutions.

Governance stability

The unanimous passage of the special resolutions for the re-appointment of both independent directors for second terms signals continuity in the company’s board composition. With 40 members voting in favour across all items, the low dissent rate suggests minimal shareholder contention regarding the current management and audit structures.

Nath Industries reported a 31% year-on-year decline in net profit to ₹667.70 lakh for the fiscal year ended March 31, 2026 (FY26). The company’s total income rose 16% to ₹4,948.7 crore, marking its highest-ever turnover despite significant geopolitical headwinds.

The Board of Directors decided against declaring a dividend for the year, opting instead to retain profits for future growth and investment requirements. The company will hold its 44th Annual General Meeting on September 30, 2026, to approve the financial statements and reappoint independent directors.

Financial Performance

Revenue from operations grew to ₹4,906.9 crore from ₹4,244.7 crore in the previous year. However, EBITDA (profit before interest and depreciation) contracted to ₹2,921 lakh from ₹3,467 lakh, resulting in an EBITDA margin compression from 8.11% to 5.90%.

What the Numbers Show

The divergence between top-line growth and bottom-line contraction highlights severe margin pressure. While revenue expanded by nearly ₹700 crore, operating profits fell by over ₹500 lakh. This indicates that rising input costs, supply chain disruptions, and export tariff impacts absorbed most of the incremental revenue, eroding profitability despite higher sales volumes.

Segment Highlights

The paper division contributed 60.43% of total turnover, achieving ₹2,960 crore in sales compared to ₹2,850 crore previously. The chemical division saw stronger growth, with turnover rising to ₹1,940 crore from ₹1,380 crore. Export turnover for the paper division stood at ₹363.8 million, impacted by US tariffs and shipping disruptions.

Governance and AGM

Shareholders will vote on the reappointment of Hitesh Purohit and Madhukar Deshpande as independent directors for five-year terms. The company also seeks ratification of cost auditor remuneration at ₹50,000 plus taxes. The register of members will remain closed from September 27 to September 29, 2026.