Rajshree Sugars & Chemicals company name shareholders approved the appointment of M/s. Karthikeyan & Jayaram as its new Statutory Auditors for a five-year term at its 40th Annual General Meeting (AGM) held on July 23, 2026. The meeting also saw the re-appointment of R. Varadarajan as Wholetime Director for five years, effective June 5, 2026. These governance decisions were passed with near-unanimous support, reflecting strong alignment between the promoter group and public non-institutional investors on leadership continuity and audit oversight.

The AGM was conducted via Video-Conferencing/Other Audio-Visual Means (VC/OAVM) in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Ms. Rajshree Pathy, Chairperson, declared the meeting duly convened after confirming the requisite quorum at the deemed venue in Uppilipalayam, Coimbatore. Scrutinizer B. Krishnamoorthi, Chartered Accountant, reported that all proposed resolutions were passed with a requisite majority.

Auditor Rotation and Appointment

The most significant governance change involves the mandatory rotation of statutory auditors. M/s. S. Krishnamoorthy & Co., Chartered Accountants (Firm Registration No. 001496S), retired upon completion of two consecutive five-year terms. Shareholders appointed M/s. Karthikeyan & Jayaram, Chartered Accountants (Firm Registration No. 007570S), as the new Statutory Auditors. The firm’s mandate covers the audit of financial statements for the five financial years ending March 31, 2027, to March 31, 2031.

M/s. Karthikeyan & Jayaram, established in November 1974, has offices in Coimbatore and Erode and seven partners. It provides services in audit, assurance, risk advisory, taxation, and corporate advisory across sectors including manufacturing, banking, and agro-based industries. The Chairperson confirmed that both the previous Statutory Auditors’ Report and the Secretarial Audit Report contained no qualifications or observations.

Leadership Continuity

Shareholders re-appointed Mr. R. Varadarajan (DIN: 00001738) as a Director liable to retire by rotation and as Wholetime Director for five years, from June 5, 2026, to June 4, 2031. This tenure includes his continuation in the role after attaining the age of 70. Mr. Varadarajan has been associated with the company since its inception in 1987 and currently serves as President of the South Indian Sugar Mills Association (SISMA). He holds Master's degrees in Business Management and English Literature.

The Board also secured approval for the ratification of remuneration payable to M/s. S. Mahadevan & Co., Cost Auditors, for the financial year ending March 31, 2027.

Voting Results Summary

Remote e-voting was open from July 20 to July 22, 2026. As of the cut-off date on July 16, 2026, 31,512 shareholders held equity shares. Promoter and Promoter Group holdings accounted for 13,492,021 shares, all voting in favor. Public Non-Institutions held 18,689,316 shares, with approximately 15% participating in e-voting. Public Institutions did not cast any votes.

What the Numbers Show

The near-unanimous support across all resolutions, including the special resolution for Mr. Varadarajan’s tenure beyond age 70, indicates stable shareholder confidence in the company’s long-term strategic direction. The clean audit reports from the outgoing firm suggest no major compliance issues during the transition period.

Rajshree Sugars & Chemicals Ltd reported a widened net loss of ₹2,332.96 lakh for the quarter ended June 30, 2026, compared to a net loss of ₹1,414.19 lakh in the same period last year. The company's revenue from operations rose to ₹15,322.53 lakh in Q1FY26 from ₹14,092.87 lakh in Q1FY25, driven primarily by its Sugar and Distillery segments. The unaudited financial results were reviewed by the Audit Committee and approved by the Board of Directors in its 219th meeting held on July 20, 2026.

The total expenditure for the quarter stood at ₹17,673.07 lakh, a significant increase from the previous year's ₹15,515.82 lakh. This rise was largely attributed to changes in inventories of finished goods, work in progress, and stock-in-trade, which amounted to ₹10,990.89 lakh, compared to ₹8,060.83 lakh in the prior year. Finance costs also increased to ₹377.08 lakh from ₹318.76 lakh. Consequently, the profit before tax for the period was a loss of ₹2,332.96 lakh, compared to a loss of ₹1,414.19 lakh in the corresponding quarter of the previous year.

Segment Performance

The company operates across three business segments: Sugar, Cogeneration, and Distillery. The Sugar segment reported revenue of ₹12,430.47 lakh but incurred a loss before tax and interest of ₹1,568.78 lakh. The Distillery segment contributed ₹3,326.92 lakh in revenue and posted a profit of ₹138.30 lakh before tax and interest. The Cogeneration segment recorded revenue of ₹420.11 lakh and a loss of ₹130.05 lakh before tax and interest.

Financial Metrics

The basic and diluted earnings per share (EPS) for the quarter were reported at a loss of ₹7.04, compared to a loss of ₹4.27 in the same quarter of the previous year. The paid-up equity share capital remained unchanged at ₹3,313.56 lakh. The statutory auditors, S. Krishnamoorthy & Co., conducted a limited review of the financial results in accordance with the Standard on Review Engagements (SRE) 2410.