Neopolitan Pizza & Foods has scheduled its 15th Annual General Meeting (AGM) for September 30, 2026, at 1:00 pm via video conferencing. The meeting will approve the audited financial statements for the fiscal year ended March 31, 2026, and the reappointment of Executive Director Arti Mukund Purohit.

Financial Performance in FY26

The company reported a significant contraction in profitability during FY26. Total income fell to ₹2,963.54 lakh, down from ₹5,126.10 lakh in the previous year. Consequently, net profit after tax halved to ₹20.39 lakh from ₹40.64 lakh in FY25.

Profit before depreciation and tax declined to ₹59.32 lakh from ₹98.51 lakh. After accounting for depreciation of ₹25.74 lakh, profit before tax stood at ₹33.58 lakh. Current tax expenses were ₹12.57 lakh, while deferred tax was ₹0.62 lakh.

Dividend and Reserves

The Board did not recommend any dividend for the financial year under review. No transfer to general reserves was proposed. The balance carried forward to the balance sheet was ₹274.22 lakh, an increase from ₹253.83 lakh in the prior year.

Operational Updates

Neopolitan Pizza continued its focus on vegetarian quick service restaurant (QSR) offerings and franchise-led growth. The company expanded its restaurant footprint with new outlets and strategic franchise arrangements. As per the IPO objects, seven new QSR outlets were operational, four were under construction, and the remainder were yet to be established as of the reporting date.

Management noted a decline in royalty income from franchise operations during the fourth quarter, attributing it to adverse business conditions and global LPG supply disruptions. Additionally, statutory auditors reported a deviation in the utilization of IPO proceeds, primarily due to ₹408.50 lakh being utilized for working capital requirements in excess of the originally specified amount.

Governance and Compliance

Ms. Arti Mukund Purohit retires by rotation at the AGM and offers herself for reappointment. She holds 64,080 shares in the company. The Board comprises Chairman and Managing Director Mukund Purohit, along with independent directors Ashok Kumar N. Shah, Devesh Pathak, and Dr. Alok Kumar Sinha.

The secretarial audit report confirmed compliance with applicable statutory provisions, including the Companies Act, 2013, and SEBI Listing Regulations. No fraud was reported by statutory auditors during the year.

Neopolitan Pizza and Foods Limited reported a sharp contraction in profitability for the financial year ended March 31, 2026, driven by a significant decline in top-line revenue.

The company’s net profit fell 49.8% year-on-year to ₹20.39 lakh, down from ₹40.64 lakh in FY25. This decline followed a 42.2% drop in total income, which stood at ₹2,963.54 lakh compared to ₹5,126.10 lakh in the previous year.

Financial Performance

Revenue from operations was recorded at ₹2,952.68 lakh for FY26. The profit before depreciation and tax (PBDT) declined to ₹59.32 lakh from ₹98.51 lakh in FY25. After accounting for depreciation and amortisation of ₹25.74 lakh and tax expenses, the company reported a profit before tax of ₹33.58 lakh.

What the Numbers Show

The divergence between the decline in revenue and the sharper drop in profitability highlights margin pressure during the period. While total income contracted by over 42%, the net profit nearly halved, indicating that fixed costs or lower-margin trading activities weighed more heavily on the bottom line relative to the top-line reduction. Additionally, the company maintained a strong liquidity position with a current ratio of 10.89 and a negligible debt-equity ratio of 0.01.

Operational Updates

The company continued its expansion in the quick service restaurant (QSR) segment through both company-owned outlets and franchise models. Against the proposed 16 new QSR outlets under its IPO objects, seven were operational, four were under construction, and the remainder were yet to be established as of the reporting date.

Management attributed a decline in royalty income from franchise operations in the fourth quarter to adverse business conditions and global LPG supply disruptions. The statutory auditors noted a deviation in the utilisation of IPO proceeds, primarily relating to ₹408.50 lakh used towards working capital requirements exceeding the originally specified amount.

Corporate Actions

The Board of Directors did not recommend any dividend for FY26, citing long-term requirements and prospects. No amount was transferred to the general reserve. The paid-up equity share capital remained unchanged at ₹17 crore, comprising 1.7 crore equity shares of ₹10 each.

Ms. Arti Mukund Purohit, Executive Director, retires by rotation at the upcoming 15th Annual General Meeting scheduled for September 30, 2026, and offers herself for re-appointment. The meeting will be held via video conferencing.