Rossell India Limited reported a net profit of ₹381 lakh for the quarter ended June 30, 2026, marking a return to profitability after posting a net loss of ₹2,379 lakh in the immediately preceding quarter. The company’s earnings per share (EPS) stood at ₹1.01, compared to a loss per share of ₹6.31 in March 2026 and an EPS of ₹2.12 in Q1FY26. Total revenue from operations for the quarter was ₹3,678 lakh, a decline from ₹4,358 lakh in the same period last year.

The Board of Directors approved the unaudited financial results at a meeting held on August 7, 2026, following review by the Audit Committee. The results were filed with the stock exchanges in compliance with Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company also published the extract of the results in Business Standard and Aajkal, Kolkata, as required under Regulation 47 of the Listing Regulations.

Financial Performance Overview

The company’s paid-up equity share capital remains at ₹754 lakh, with reserves excluding revaluation reserve standing at ₹19,221 lakh as of March 31, 2026. Total comprehensive income for the quarter was ₹358 lakh, compared to ₹772 lakh in Q1FY26.

What the Numbers Show

While revenue declined by approximately 15.6% year-on-year, the company significantly improved its bottom line, turning a quarterly loss into a profit. The pre-tax profit for Q1FY27 was ₹536 lakh, compared to a pre-tax loss of ₹2,650 lakh in Q4FY26. This swing indicates improved operational efficiency or cost management during the quarter, despite lower top-line growth compared to the prior year period.

Rossell India Limited reported a net profit of ₹3.81 crore for the first quarter ended June 30, 2026, marking a 52% decline from the ₹8.01 crore recorded in the same period last year. Revenue from operations fell 15% year-on-year to ₹36.78 crore, driven by higher employee costs due to notified wage rate increases and the non-recognition of the Orthodox Subsidy amid receipt uncertainty. The Board of Directors also approved significant leadership transitions, including the retirement of Chief Financial Officer Nirmal Kumar Khurana after 32 years with the company.

The financial results were reviewed by the Audit Committee and approved by the Board on August 7, 2026, in compliance with Regulation 30 and Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Khandelwal Ray & Co., Chartered Accountants, issued a limited review report on the unaudited standalone financial results prepared under Ind AS 34. The company disclosed that its tea cultivation and manufacturing business is seasonal, meaning quarterly results are not indicative of full-year performance.

Financial Performance

Total revenue from operations stood at ₹36.78 crore in Q1FY26, compared to ₹43.58 crore in Q1FY25. Gross revenue from the sale of products and services decreased to ₹36.27 crore from ₹40.45 crore in the prior year period. Other operating income dropped significantly to ₹51 lakh from ₹3.13 crore, primarily because the Orthodox Subsidy was not recognised under other operating revenue during the quarter due to uncertainty regarding its receipt.

*Profit before finance cost, depreciation, exceptional items, and tax.

Operating expenses totalled ₹30.21 crore, up from ₹32.87 crore in the corresponding quarter of the previous year, but this reduction was outweighed by the fall in revenue. Employee benefits expense rose to ₹44.47 crore from ₹39.12 crore, reflecting a 12% revision in wage rates for daily-rated workers at tea estates effective April 1, 2026, and arrears from a retrospective salary revision for sub-staff effective June 1, 2025. Consumption of green leaf increased to ₹3.10 crore from ₹2.19 crore.

Leadership Changes

Nirmal Kumar Khurana, who served as Whole Time Director, Chief Financial Officer, and Company Secretary & Compliance Officer, will retire from service on September 1, 2026, upon attaining superannuation age. He will cease to hold his directorship immediately following the Annual General Meeting scheduled for August 25, 2026.

The Board appointed Raunak Rathi as the new Chief Financial Officer, effective September 1, 2026. Rathi is a qualified Chartered Accountant with over 28 years of experience in the tea industry, having previously served as COO at Asian Tea Group and CFO at Apeejay Tea Limited. Manish Shaw was appointed as Company Secretary and Compliance Officer on the same date. Shaw is a Member of the Institute of Company Secretaries of India with over 10 years of experience in corporate governance.

Committee Reconstitution

Following Khurana’s departure, the Board reconstituted the Stakeholders Relationship Committee and Corporate Social Responsibility Committee effective August 26, 2026. Ms. Nayantara Palchoudhuri continues as Chairperson of both committees. Mr. Digant Mahesh Parikh replaces Khurana as a member of the Stakeholders Relationship Committee, subject to shareholder approval at the AGM. Ms. Samara Gupta joins the Corporate Social Responsibility Committee alongside Mr. Rahul Bhatnagar.