Safari Industries (India) Limited reported a consolidated net profit of ₹47.75 crore for the quarter ended June 30, 2026, a 5.8% decline from the ₹50.49 crore posted in the corresponding quarter of the previous fiscal year. Despite the dip in profitability, the company demonstrated strong top-line momentum, with total income from operations rising 11.5% year-on-year to ₹588.58 crore from ₹527.83 crore. This divergence between revenue growth and profit contraction suggests potential pressure on operating margins or increased costs during the period.

The disclosure was made pursuant to Regulation 47 read with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The unaudited financial results were published in Business Standard and Sakal on August 5, 2026, and are available on the company’s website at www.safaribags.com . The filing confirms that the financial statements have been prepared in accordance with Indian Accounting Standards (IND AS) prescribed under Section 133 of the Companies Act, 2013.

Financial Performance Overview

On a standalone basis, revenue from operations stood at ₹586.77 crore for the quarter, up from ₹527.34 crore in Q1FY25. Standalone profit after tax was ₹28.87 crore, compared to ₹39.69 crore in the same quarter last year, indicating a sharper decline in standalone profitability than in the consolidated figures.

What the Numbers Show

The primary driver of the quarter’s performance was the significant increase in total income from operations, which grew by over ₹60 crore compared to the prior year. However, this growth did not translate proportionally into net profit. While pre-tax profits remained relatively stable at ₹61.05 crore versus ₹65.44 crore in Q1FY25, the post-tax net profit declined more sharply. This pattern suggests that while core business activity expanded, factors such as tax provisions or other non-operational expenses may have impacted the final bottom line. Investors should note that the company’s paid-up equity share capital remains unchanged at ₹9.80 crore.

Abhijaat Sinha, Company Secretary & Legal Head, signed off on the intimation, confirming the submission to both BSE Limited and the National Stock Exchange of India Limited.

Safari Industries (India) Limited reported a standalone net profit of ₹28.87 crore for the quarter ended June 30, 2026, marking a 27% year-on-year decline from ₹39.69 crore in Q1FY25. This contraction occurred despite an 11% surge in revenue from operations to ₹586.77 crore, up from ₹527.34 crore in the prior-year period. The divergence between top-line growth and bottom-line pressure highlights significant margin compression during the quarter. Concurrently, the Board of Directors appointed Aditya Bhargava as Chief Financial Officer, effective August 4, 2026.

The Board meeting, held on August 4, 2026, approved the unaudited financial results for both standalone and consolidated entities. Consolidated revenue from operations rose 11% to ₹588.58 crore, compared to ₹527.83 crore in Q1FY25. However, consolidated net profit slipped 5% to ₹47.75 crore from ₹50.49 crore in the corresponding period last year. The results were reviewed by Walker Chandiok & Co LLP, the statutory auditors, pursuant to Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance Breakdown

Standalone total income increased to ₹596.73 crore from ₹536.03 crore in Q1FY25, driven primarily by higher revenue. Other income remained stable at ₹9.96 crore. Total expenses rose to ₹559.05 crore from ₹484.07 crore, with purchases of stock-in-trade increasing significantly to ₹316.00 crore from ₹252.09 crore. Employee benefits expense also edged up to ₹29.86 crore from ₹26.05 crore.

Tax expense for the standalone entity was ₹8.81 crore, compared to ₹12.27 crore in Q1FY25. For the consolidated group, tax expense stood at ₹13.30 crore against ₹14.95 crore in the previous year. Earnings per share (basic) declined to ₹5.89 from ₹8.12 on a standalone basis and to ₹9.75 from ₹10.33 on a consolidated basis.

What the Numbers Show

The financial data reveals a clear trend of expanding sales but contracting profitability. While revenue grew by approximately 11%, net profit fell by 27% standalone and 5% consolidated. This suggests that the cost structure did not scale efficiently with revenue growth. Specifically, the increase in 'purchases of stock-in-trade' and 'other expenses' outpaced revenue growth. In the standalone figures, other expenses rose to ₹125.40 crore from ₹111.66 crore, indicating potential operational inefficiencies or higher input costs that were not fully passed on to customers. Investors should monitor whether these margin pressures are temporary or structural in subsequent quarters.

Leadership Change

Aditya Bhargava assumes the role of CFO and Key Managerial Personnel immediately. He joins from Badshah Masala Private Limited, a Dabur enterprise, where he served as CFO and SAARC Finance Head. With qualifications including a Chartered Accountancy degree and B.Com Honors from Delhi University, Bhargava brings experience from PepsiCo India and Gillette India. His appointment follows recommendations from the Nomination, Remuneration and Compensation Committee and the Audit Committee. The company disclosed this change under SEBI Master Circular No HO/49/14/14(7)2025-CFD-POD2/1/3762/2026 dated January 30, 2026.