Rex Sealing & Packing Industries reported a 9.7% year-on-year rise in total income to ₹3,828.5 crore for FY26, while net profit after tax declined 6.6% to ₹180.4 crore. The board approved the annual report on September 3, 2026, ahead of the 21st Annual General Meeting scheduled for September 30, 2026.

Revenue from operations grew to ₹3,818.7 crore in FY26 from ₹3,479.6 crore in the previous year. However, total expenses increased by 9.5% to ₹3,575.1 crore, driven by a rise in cost of materials consumed to ₹2,405.6 crore and employee benefits expense reaching ₹454.6 crore. Finance costs also rose to ₹74.5 crore from ₹56.8 crore.

Financial Performance

The company’s profit before tax stood at ₹253.3 crore, compared to ₹241.1 crore in FY25. After accounting for current tax of ₹64.0 crore and deferred tax adjustments, the net profit for the period was ₹180.4 crore. Earnings per share (basic and diluted) decreased to ₹7.12 from ₹8.71 in the prior year.

Balance Sheet and Cash Flow

Rex Sealing significantly reduced its debt burden during the year. Long-term borrowings dropped sharply to ₹11.4 crore from ₹1,074.0 crore in FY25, following a net repayment of ₹1,062.6 crore. Conversely, short-term borrowings rose to ₹367.7 crore from ₹4.0 crore, primarily due to working capital loans from ICICI Bank and State Bank of India.

Share capital increased to ₹253.5 crore from ₹222.0 crore as the company issued 314,952 equity shares upon conversion of preferential warrants. This transaction brought in proceeds of ₹571.4 crore. Reserves and surplus expanded to ₹2,192.1 crore from ₹1,471.8 crore.

Corporate Actions and Governance

The register of members and share transfer books will remain closed from September 22 to September 29, 2026. Remote e-voting for the AGM will be available from September 27 to September 29, 2026. M/s Aabid & Co has been appointed as the scrutinizer for the e-voting process.

Mrs. Meeta Manjunath Nayak retires by rotation at the AGM and is seeking reappointment. The company also noted changes in key managerial personnel, with Ms. Manisha Gupta appointed as Company Secretary effective May 5, 2026.

What the Numbers Show

The divergence between revenue growth and net profit decline highlights margin pressure. While top-line growth remained robust at nearly 10%, operating expenses rose faster than income. Cost of materials consumed, which accounts for roughly two-thirds of revenue, increased by 4.8%, but this was outpaced by a 29% jump in other expenses and a 31% rise in employee benefits. Additionally, the shift from long-term to short-term debt indicates a restructuring of the capital base, likely leveraging the fresh equity inflow from warrant conversions to pay down older, potentially more expensive long-term liabilities.

Rex Sealing and Packing Industries Limited reported a net profit of ₹180.42 lakh for the year ended March 31, 2026, on a total income of ₹3,828.45 lakh. The company’s Board of Directors approved the audited standalone financial results for the half year and full year during a meeting held on May 29, 2026. The results were reviewed and recommended by the Audit Committee prior to the Board's approval.

The financial performance for the half year ended March 31, 2026, reflected a total income of ₹2,011.75 lakh and a net profit of ₹109.46 lakh. In comparison, the previous year ended March 31, 2025, recorded a total income of ₹3,507.46 lakh and a net profit of ₹193.26 lakh. The company stated that it operates only one business segment.

Financial Results Summary

The following table outlines the audited financial results for the half year and full year ended March 31, 2026, compared with prior periods. Figures are in ₹ lakh.

The earnings per share (EPS) for the year ended March 31, 2026, stood at ₹7.12 on a basic and diluted basis. For the half year ended March 31, 2026, the basic and diluted EPS was ₹4.34. The equity share capital for the full year stood at ₹253.50 lakh, while other equity was recorded at ₹2,102.11 lakh.

Pursuant to Regulation 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company published these results in the Financial Express and Tarun Bharat. The advertisement was disseminated to comply with the applicable listing regulations.