Rose Merc Ltd turns profitable with ₹56.8 crore PAT in FY26

1 min read     Updated on 02 Jun 2026, 03:34 PM
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Reviewed by
Anirudha BScanX News Team
AI Summary

Rose Merc Ltd returned to profitability in FY26 with a net profit of ₹56.8 crore, compared to a net loss of ₹5.6 crore in FY25. Revenue from operations rose 12.3% to ₹888.4 crore, while total equity increased to ₹444.3 crore. Strategic developments included a proposed 30% stake acquisition in Virtual Gain Technologies Pvt. Ltd., brand ambassadorships with cricketers Riyan Parag and Dhruv Jurel, and the acquisition of a property in Lonavala.

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Rose Merc Ltd returned to profitability in FY26, reporting a consolidated net profit of ₹56.8 crore compared to a net loss of ₹5.6 crore in the previous year. The company’s revenue from operations increased 12.3% to ₹888.4 crore from ₹790.9 crore in FY25. This financial recovery was supported by strategic initiatives across its diversified portfolio, which includes sports, events, fintech, and financial services. The company submitted a revised investor presentation as of June 2026, detailing these financial results and its strategic roadmap.

Financial Performance

The turnaround in profitability was accompanied by growth in key operational metrics. Total income for FY26 stood at ₹888.4 crore, up from ₹790.9 crore in the prior year. The company’s profit before tax for the year was recorded at ₹121.6 crore, a significant improvement from the ₹166.9 crore loss before tax reported in FY25. Earnings per share (EPS) for the year improved to ₹9.54 from a negative ₹1.16 in the previous year.

Consolidated Financials FY26

Metric FY26 (₹ crore) FY25 (₹ crore)
Revenue from Operations 888.4 790.9
Total Income 888.4 790.9
Profit Before Tax 121.6 -166.9
Net Profit 56.8 -5.6
Earnings Per Share 9.54 -1.16

Balance Sheet and Assets

Rose Merc Ltd strengthened its balance sheet during the year, with total equity reaching ₹444.3 crore as of March 31, 2026, compared to ₹278.9 crore in the previous year. In a strategic move to expand its asset portfolio, the company acquired a bungalow property in Lonavala, Maharashtra, in April 2026. The property, valued at approximately ₹1.4 crore, is proposed to be utilized by Vastavya RoseMerc Ltd, an associate company, for facility management and hospitality-related business activities.

Strategic Developments

The company continued to execute its multi-segment growth strategy through various partnerships and investments. Rose Merc Ltd announced a strategic investment in Virtual Gain Technologies Pvt. Ltd., acquiring a proposed 30% equity stake to expand its presence in the fintech and digital commerce sectors. Additionally, the company expanded its sports ecosystem by signing Indian cricketers Riyan Parag and Dhruv Jurel as brand ambassadors and securing principal sponsorships for teams in the T20 Mumbai League and Baroda Premier League.

Historical Stock Returns for Rose Merc

1 Day5 Days1 Month6 Months1 Year5 Years
-5.78%+2.88%-1.81%+3.36%+27.45%+1,647.31%

What are the primary drivers behind Rose Merc Ltd's shift from a loss to a profit, and are these gains sustainable?

How will the strategic investment in Virtual Gain Technologies contribute to the company's fintech and digital commerce growth?

What impact will the acquisition of the Lonavala property have on Vastavya RoseMerc Ltd's hospitality business?

Rose Merc signs pact to acquire 30.01% stake in Virtual Gain

1 min read     Updated on 02 Jun 2026, 12:33 PM
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Ashish TScanX News Team
AI Summary

Rose Merc Limited has signed a Shareholders Agreement to acquire a 30.01% stake in Virtual Gain Technologies Private Limited for ₹1,00,00,000. The agreement grants Rose Merc the right to appoint majority directors and includes anti-dilution provisions. Amitkumar Singh, a promoter of Virtual, is proposed to be appointed to Rose Merc's Board post-transaction.

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Rose Merc Limited has executed a Shareholders Agreement to acquire a 30.01% stake in Virtual Gain Technologies Private Limited for an aggregate amount of ₹1,00,00,000. The agreement, dated June 01, 2026, records the inter se rights and obligations of the parties as shareholders of Virtual. Rose Merc will subscribe to 4,288 equity shares of Virtual, having a face value of ₹10 each, at an issue price of ₹2,332 per share.

This transaction follows a Subscription Agreement intimated to the stock exchanges on April 24, 2026. The acquisition grants Rose Merc significant rights, including the appointment of majority directors on the Board of Virtual, reserved matters requiring prior approval, and further funding and anti-dilution rights. Upon completion of the transaction, Amitkumar Singh, a promoter of Virtual, is proposed to be appointed as a director on the Board of Rose Merc.

The collaboration aims to enable Rose Merc to enter the fintech sector in India by leveraging Virtual's expertise as a technical service provider. The proposed business will include payment aggregation, payment switching solutions, and payout solutions. A prior Collaboration Agreement dated June 1, 2026, established a 50:50 revenue sharing arrangement between the entities.

The filing disclosed the turnover figures for both entities for the last three financial years.

Financial Year Rose Merc Limited (Amount in Rupees) Virtual Gain Technologies Private Limited (Amount in Rupees)
2023-24 3,18,03,000 64,62,816
2024-25 3,19,51,000 98,87,703
2025-26 6,19,16,000 1,23,75,226

The transaction is subject to the receipt of necessary authorisations, consents, and approvals from shareholders and concerned governmental or regulatory authorities in India.

Historical Stock Returns for Rose Merc

1 Day5 Days1 Month6 Months1 Year5 Years
-5.78%+2.88%-1.81%+3.36%+27.45%+1,647.31%

What is the expected timeline for obtaining the necessary regulatory approvals to complete the acquisition?

How will Rose Merc fund the ₹1 crore investment and planned fintech operations given the recent surge in its turnover?

What specific regulatory hurdles must the company clear to launch payment aggregation and switching solutions in India?

More News on Rose Merc

1 Year Returns:+27.45%