Regaal Resources has scheduled its 14th Annual General Meeting (AGM) for Wednesday, September 23, 2026, at 3:00 pm via Video Conferencing or Other Audio-Visual Means. The meeting will transact business including the approval of the Annual Report for FY26.

Dividend Recommendation

The Board of Directors, in its meeting held on May 27, 2026, recommended a final dividend of ₹0.25 per equity share with a face value of ₹5 each for the financial year ended March 31, 2026. This recommendation is subject to shareholder approval at the upcoming AGM.

Eligible shareholders are those whose names appear in the Register of Members or Depository records as on the record date of September 16, 2026. The company will deduct Tax Deducted at Source (TDS) as per applicable sections of the Income-tax Act before disbursing the net dividend. Payments will be made exclusively through electronic mode in compliance with SEBI Listing Regulations.

E-Voting and Logistics

The cut-off date to determine eligibility for voting is fixed as Wednesday, September 16, 2026. Members may exercise their right to vote through remote e-voting starting Sunday, September 20, 2026, at 9:00 am and ending Tuesday, September 22, 2026, at 5:00 pm. The facility is provided by MUFG Intime India Private Limited.

Members who have already cast their votes remotely may attend the AGM but cannot vote again during the meeting. Those who have not voted remotely can do so during the AGM session. Shareholders holding shares in dematerialized form are requested to ensure their email addresses and Electronic Clearing Service (ECS) mandates are updated with their respective Depository Participants.

Regaal Resources reported a net profit of ₹133.28 million for the quarter ended June 30, 2026, marking a 47% increase from ₹90.67 million in the corresponding quarter of FY25. The Board of Directors approved the unaudited standalone financial results on August 14, 2026.

Revenue from operations stood at ₹2,021.49 million, down 18% year-on-year from ₹2,465.69 million. Despite the topline contraction, earnings before interest, tax, depreciation and amortisation (EBITDA) rose to ₹310 million from ₹244 million in Q1FY26. Consequently, the EBITDA margin expanded to 15.35% from 9.92% in the prior year period. Earnings per share (basic) rose to ₹1.30 from ₹1.10 in Q1FY25.

Operational Expansion and Strategy

The company highlighted significant capacity enhancements at its Kishanganj, Bihar factory during the quarter:

• Commissioned enhanced crushing capacity from 825 MT per day (TPD) to 1,650 TPD.
• Launched a new Liquid Glucose (LG) manufacturing facility with a production capacity of 180 TPD.
• Established a new Maltodextrin Powder (MDP) manufacturing facility with a capacity of 50 TPD.
• Increased captive co-generation power plant capacity from 7.1 MW to 15.8 MW.

These expansions have established Regaal as the largest maize wet milling facility in eastern India. Management stated that the company is transitioning from a CAPEX-led phase to one focused on cash generation and deleveraging. The company plans to enter high-value derivatives including Dextrose Anhydrous, Dextrose Monohydrate, and Hydrol during FY27, while expanding into specialized modified starches such as cationic starch, carboxymethyl starch, pre-gel starch, and spray starch.

Maize crushing volumes rose to 69,689 metric tons from 64,770 metric tons in Q1FY26. Capacity utilization stood at 71.4%, impacted by planned shutdown days for integration. Management expects crushing volumes to exceed 400,000 tons for FY27, up from approximately 265,000 tons in FY26.

Financial Performance

Total expenses fell 21% to ₹1,847.09 million, driven primarily by a favorable change in inventories of finished goods, stock-in-trade, and work-in-progress, which contributed a negative expense of ₹125.88 million compared to a positive expense of ₹83.85 million in the prior year quarter. Cost of materials consumed decreased to ₹1,276.55 million from ₹1,340.28 million.

Value-added revenue grew 30.3% year-on-year to ₹80.53 million, with the value-added margin expanding to 39.8% from 25.1% in Q1FY26. This improvement was driven by a deliberate reduction in low-margin trading activity, which fell to 3.3% of revenue from 19.5% in the prior year quarter.

Balance Sheet and Working Capital

Net debt stood at ₹735.32 million as of June 30, 2026, reflecting funding for the expansion program and seasonal raw material procurement. The cash conversion cycle was 130 days, driven by higher inventory levels built to support the expanded capacity. Management noted that inventory days are seasonally higher during Q1 and Q2 due to advance maize procurement.

All debt raised for new CAPEX qualifies for interest subvention under Bihar's Industrial Investment Promotion Policy. Management guided that net interest cost for FY27 would be approximately ₹39 to ₹40 million, remaining flat compared to FY26. Of the total project outlay of approximately ₹664 million, around ₹552 million had been incurred as of June 30, 2026.

Export Growth

Contribution from exports more than doubled to 10.4% of revenue in Q1FY27 from 4.9% in Q1FY26. Management highlighted growing acceptance of products in international markets and stated that Indian maize prices remain competitive globally, supporting export viability.

What the Numbers Show

The divergence between revenue decline and profit growth is largely attributable to a strategic mix shift rather than purely operational leverage. While total revenue contracted 18%, the deliberate reduction of low-margin trading activity (from 19.5% to 3.3% of turnover) allowed value-added margins to expand significantly to 39.8%. This structural change, combined with inventory drawdown benefits, drove the 47% surge in net profit despite lower top-line sales. The elevated net debt of ₹735.32 million is expected to normalize as utilization ramps up and free cash flow generation strengthens in the second half of FY27.

Regulatory and Corporate Updates

The financial results were reviewed by Singhi & Co., Chartered Accountants, pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

On July 21, 2026, the company allotted 270,400 equity shares under its employee stock option plan, increasing paid-up capital from ₹513.62 million to ₹514.97 million. The company also disclosed a provision of ₹66.57 million in the previous fiscal year related to SGST reimbursement reversals, noting that no further material impact is likely.