Sangal Papers reported a net profit of ₹2.68 crore for the quarter ended June 30, 2026, up from ₹0.80 crore in the corresponding period of FY25. Revenue from operations grew 17.5% year-on-year to ₹55.91 crore, supported by higher operational activity and inventory adjustments.

The company’s profit before tax (PBT) stood at ₹3.71 crore, compared to ₹1.09 crore in Q1FY26. Total income reached ₹56.15 crore, driven by core revenue growth and a modest increase in other income to ₹0.24 crore from ₹0.15 crore previously.

Financial Performance

The financial results reflect improved operational efficiency alongside revenue growth. Cost of materials consumed rose to ₹47.73 crore from ₹41.43 crore in Q1FY26, tracking with the higher sales volume. Employee benefits expense increased slightly to ₹2.17 crore, while finance costs remained stable at ₹0.60 crore.

Tax expenses for the quarter totaled ₹1.03 crore, comprising current tax of ₹0.62 crore, deferred tax of ₹0.23 crore, and MAT credit entitlement of ₹0.19 crore. Basic earnings per share (EPS) jumped to ₹20.50 from ₹6.15 in the prior year period.

What the Numbers Show

A key driver of the profit surge was the favorable movement in inventory valuation. The change in inventories contributed a negative expense of ₹12.12 lakh (a credit) in Q1FY27, compared to a minor credit of ₹0.76 lakh in Q1FY26. This reduction in cost of goods sold, combined with stable employee benefit costs despite revenue growth, expanded the pre-tax margin significantly. The company’s total comprehensive income stood at ₹25.60 lakh for the quarter.

Board Approvals and Corporate Actions

During its meeting on August 13, 2026, the Board of Directors approved several administrative changes:

• Salary Revisions: Effective September 1, 2026, the monthly salaries of Managing Director Himanshu Sangal and Whole Time Director Amit Sangal were revised from ₹7.00 lakh to ₹10.00 lakh each. President Marketing Tanmay Sangal and President Operations Vinayak Sangal saw their salaries increase from ₹3.50 lakh to ₹4.00 lakh per month. All revisions remain within limits approved by shareholders via special resolution.
• Director Re-appointments: Tanmay Sangal and Vinayak Sangal, retiring by rotation, were recommended for re-appointment at the upcoming Annual General Meeting (AGM).
• Auditor Appointments: Mr. Surendra Rai Kapur was appointed as Cost Auditor, and Sh. Anurag Chauhan as Internal Auditor for FY27.

The company will hold its 46th AGM on September 23, 2026, via video conferencing. Remote e-voting will be available, with September 16, 2026, as the cut-off date for determining shareholder eligibility.

Sangal Papers Ltd has closed its trading window for all insiders and designated persons effective July 1, 2026, to comply with insider trading regulations. The restriction will remain in place until 48 hours after the company declares its unaudited financial results for the quarter ended June 30, 2026. This measure ensures adherence to the SEBI (Prohibition of Insider Trading) Regulations, 2015 and the company's internal code of conduct.

The board meeting to approve and declare the unaudited financial results for Q1FY27 is scheduled, though the specific date has not yet been intimated. Once the results are announced, the trading window will reopen 48 hours later, allowing designated persons to trade in the company's securities again.

Key Dates and Restrictions

The closure applies to all insiders and designated persons associated with Sangal Papers Ltd . The company stated that the exact date of the board meeting for the results declaration will be communicated in due course.