Patels Airtemp (India) Limited reported a net loss of ₹62.17 lakh for the quarter ended June 30, 2026, marking a sharp reversal from the net profit of ₹280.19 lakh recorded in the corresponding period of the previous year. The engineering equipment manufacturer saw revenue from operations drop significantly to ₹1,551.52 lakh in Q1FY27, down from ₹8,256.67 lakh in Q1FY26. Despite the quarterly loss, the Board of Directors recommended a dividend of ₹3.00 per equity share for the financial year ended March 31, 2026, which is pending approval at the 34th Annual General Meeting scheduled for September 14, 2026.

The results were approved by the Board on August 8, 2026, pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The unaudited financial statements were reviewed by the statutory auditors, M/s. Parikh & Majmudar, Chartered Accountants. The company operates under a single reportable segment, Engineering, rendering segment reporting disclosures under Ind AS-108 and Regulation 33 inapplicable. Shareholders holding equity shares as of the record date, August 21, 2026, will be eligible for the dividend if approved by shareholders at the AGM.

Financial Performance

The decline in profitability was driven by a substantial contraction in top-line growth and higher relative expenses. Total income for the quarter stood at ₹1,577.44 lakh, compared to ₹8,315.91 lakh in Q1FY26. Other income also decreased to ₹25.92 lakh from ₹59.24 lakh in the prior year period. Total expenses amounted to ₹1,654.15 lakh, exceeding total income and resulting in a pre-tax loss of ₹76.71 lakh. In contrast, the company had reported a profit before tax of ₹409.64 lakh in Q1FY26.

| Particulars | Q1FY27 (₹ Lakh) | Q1FY26 (₹ Lakh) | Change | | ---: | :--- | :--- | :--- | Total Revenue from Operations | 1,551.52 | 8,256.67 | -81.2% | Other Income | 25.92 | 59.24 | -56.2% | Total Income | 1,577.44 | 8,315.91 | -81.1% | Total Expenses | 1,654.15 | 7,906.28 | -79.1% | Profit Before Tax | (76.71) | 409.64 | N/A | Net Profit/Loss | (62.17) | 280.19 | N/A |

Cost of materials consumed was ₹1,342.01 lakh, down from ₹2,813.92 lakh in Q1FY26. Employee benefits expense remained relatively stable at ₹418.73 lakh against ₹404.38 lakh previously. Finance costs decreased to ₹197.94 lakh from ₹218.23 lakh. However, other expenses constituted a significant portion of the cost structure at ₹1,171.16 lakh, compared to ₹1,497.37 lakh in the prior year quarter. The negative change in inventories of finished goods, work-in-progress, and stock-in-trade contributed ₹1,603.63 lakh to reducing expenses, whereas it had added ₹2,861.89 lakh to expenses in Q1FY26.

What the Numbers Show

The most striking aspect of the Q1FY27 results is the divergence between revenue decline and expense reduction. While revenue fell by approximately 81% year-on-year, total expenses decreased by only 79%. This narrow gap between the rate of revenue contraction and expense reduction eroded margins completely, leading to a net loss. Specifically, while variable costs like material consumption dropped in line with lower production or sales volumes, fixed or semi-fixed costs such as employee benefits and depreciation did not decrease proportionately. Depreciation expenses were nearly flat at ₹88.02 lakh versus ₹86.03 lakh in Q1FY26. This rigidity in the cost base during periods of low volume highlights operational leverage working against the company in this quarter. The basic earnings per share turned negative to ₹(1.14), compared to ₹5.12 in Q1FY26.

Dividend and Corporate Actions

The Board has fixed August 21, 2026, as the record date for determining entitlement to the dividend of ₹3.00 per equity share of face value ₹10 each for FY26. This represents a 30% payout on the face value. The dividend is subject to approval by shareholders at the 34th AGM, which will be held via Video Conferencing/Other Audio Visual Means on September 14, 2026. If approved, the dividend will be paid within 30 days from the date of the AGM, subject to deduction of tax at source. The Annual Report for FY26 will be dispatched to members with registered email addresses in due course.

Patels Airtemp (India) Limited Patels Airtemp (India) Limited has scheduled its 34th Annual General Meeting (AGM) for Monday, September 14, 2026, at 11:30 a.m. IST. The meeting will be conducted remotely through Video Conferencing (VC) or Other Audio Visual Means (OAVM), adhering to circulars issued by the Ministry of Corporate Affairs (MCA) and the Securities and Exchange Board of India (SEBI). This virtual format ensures accessibility for all shareholders while maintaining regulatory compliance for the discussion of the company’s financial performance for the fiscal year ended March 31, 2026.

The announcement follows a Board meeting held on August 8, 2026, which commenced at 3:30 p.m. and concluded at 4:20 p.m. During this session, the Board approved the convening of the AGM in accordance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with Para-A of Part-A of Schedule III. The disclosure was submitted to BSE Limited on August 8, 2026, referencing Scrip Code No. 517417 and ISIN INE082C01024.

Shareholders will receive the Annual Report for the financial year 2025-26 in due course. This document comprises the Notice of AGM, Financial Statements for the year ended March 31, 2026, the Board's Report, Auditors' Report, and other mandatory attachments. These materials will be dispatched electronically to members whose email addresses are registered with the company, its Registrar and Transfer Agent (RTA), Depository Participants, or Depositories.

Key Meeting Details

The Notice of AGM will provide specific instructions on how shareholders can register or update their email addresses, cast votes through remote e-voting, and participate in e-voting during the AGM. Additionally, it will outline the procedures for attending the meeting via VC/OAVM. All relevant information regarding the meeting and the disclosures made will also be available on the company’s website, www.patelsairtemp.com .

What the Numbers Show

While this filing primarily concerns procedural compliance for the upcoming AGM, it signals the formal conclusion of the reporting cycle for FY26. The dispatch of the Annual Report containing the Auditors' Report and Board's Report indicates that the statutory audit for the fiscal year ended March 31, 2026, is complete. Shareholders should monitor the release of the Annual Report for detailed insights into revenue growth, profitability, and strategic initiatives undertaken during FY26.