Real Eco-Energy FY26 Results: Net profit drops 44% to ₹39.91 lakh
- Net profit declined 44% YoY to ₹39.91 lakh in FY26
- Total income fell to ₹250.43 lakh from ₹334.74 lakh in FY25
- No dividend recommended for FY26; profits transferred to reserves
- Long-term loans and advances surged to ₹1,644.34 lakh
- Debt-equity ratio increased significantly to 2.73 from 0.76

*this image is generated using AI for illustrative purposes only.
Real Eco-Energy Limited reported a net profit of ₹39.91 lakh for the financial year ended March 31, 2026, marking a significant decline from ₹71.73 lakh in the previous year. Total income contracted to ₹250.43 lakh from ₹334.74 lakh in FY25, driven by lower revenue from operations.
The company’s Board of Directors has decided not to recommend any dividend for FY26. The profits for the year have been transferred to reserves. This performance update coincides with the announcement of the 33rd Annual General Meeting (AGM), scheduled for September 30, 2026, at 12:30 pm at the registered office in Ahmedabad.
Financial Performance Overview
The annual report highlights a contraction in both top-line and bottom-line figures. Revenue from operations stood at ₹249.49 lakh, a decrease from ₹334.74 lakh in FY25. The decline in profitability was accompanied by a reduction in total expenditure, which fell to ₹209.89 lakh from ₹262.31 lakh in the preceding year.
| Metric | FY26 (₹ Lakh) | FY25 (₹ Lakh) | Change |
|---|---|---|---|
| Total Income | 250.43 | 334.74 | -25.2% |
| Total Expenditure | 209.89 | 262.31 | -20.0% |
| Profit Before Tax | 40.54 | 72.43 | -44.0% |
| Net Profit | 39.91 | 71.73 | -44.4% |
Balance Sheet and Key Ratios
The company’s balance sheet reflects a substantial increase in non-current assets, primarily due to long-term loans and advances rising to ₹1,644.34 lakh from ₹36.44 lakh in FY25. Conversely, trade receivables decreased to ₹448.10 lakh from ₹684.83 lakh. Cash and cash equivalents increased to ₹76.06 lakh from ₹28.37 lakh.
Key financial ratios indicate a shift in leverage and efficiency:
- Debt Equity Ratio: Increased to 2.73 from 0.76, reflecting higher borrowings.
- Return on Equity (RoE): Declined to 6.08% from 11.83%.
- Net Profit Margin: Dropped to 16.00% from 21.43%.
AGM Agenda and Voting Details
The primary agenda for the upcoming AGM includes the adoption of the audited financial statements for FY26 and the re-appointment of Managing Director Dharm S. Patel (DIN: 07464810), who is liable to retire by rotation. Shareholders holding shares in physical or dematerialized form can cast their votes electronically via the CDSL system.
| Detail | Information |
|---|---|
| AGM Date | September 30, 2026 |
| Time | 12:30 pm |
| Venue | Registered Office, Ahmedabad |
| E-Voting Start | September 27, 2026 |
| E-Voting End | September 29, 2026 |
| Record Date | September 23, 2026 |
Share transfer books and the register of members will remain closed from September 23, 2026, to September 30, 2026, both days inclusive. Mr. Chintan K. Patel, Practicing Company Secretary, has been appointed as the Scrutinizer for the voting process.
What the Numbers Show
A divergence is visible between the sharp drop in net profit and the modest decline in total expenditure. While revenue fell by approximately 25%, net profit declined by over 44%. This suggests that fixed costs or non-operating expenses weighed more heavily on margins relative to the top-line contraction. Additionally, the significant rise in long-term loans and advances, coupled with increased borrowings, has pushed the debt-equity ratio up nearly fourfold, indicating a shift towards higher leverage despite lower operational earnings.
Historical Stock Returns for Real Eco Energy
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -0.23% | -7.56% | -10.57% | -7.56% | -11.11% | 0.0% |
What specific projects or entities account for the nearly 45-fold increase in long-term loans and advances, and how might this impact future liquidity?
How does the company plan to service its significantly higher debt load given the 44% decline in net profit and rising debt-equity ratio?
Are there strategic operational changes or new market entries planned to reverse the 25% contraction in revenue from operations?






























