Shreyans Industries reported a net loss of ₹3.24 crore for the quarter ended June 30, 2026 (Q1FY27), marking a significant reversal from the net profit of ₹17.27 crore recorded in Q1FY26. The company’s Board of Directors approved the unaudited financial results on August 12, 2026, pursuant to Regulation 30 and Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. While revenue from operations grew by 4.2% year-on-year to ₹160.13 crore, the bottom line was pressured by rising material and operational costs that outweighed gains in other income.

The filing reveals that total income stood at ₹170.14 crore, up from ₹164.73 crore in the corresponding period last year. This growth was primarily driven by a surge in other income, which jumped to ₹10.01 crore from ₹11.10 crore, largely aided by a gain of ₹6.92 crore on the fair valuation of investments measured at fair value through profit or loss. However, this positive contribution was insufficient to offset the expansion in total expenses, which climbed to ₹173.58 crore from ₹142.44 crore in Q1FY26.

Key Financial Metrics

Cost of materials consumed rose sharply by 30.8% to ₹90.87 crore, while power and fuel expenses nearly doubled to ₹41.53 crore from ₹26.55 crore. Employee benefits expense also increased slightly to ₹19.55 crore. These cost escalations resulted in an operating loss before tax of ₹3.44 crore, compared to a profit of ₹22.29 crore in the prior year period. Deferred tax benefits of ₹2.05 crore helped narrow the final net loss to ₹3.24 crore.

What the Numbers Show

The divergence between revenue growth and expense inflation highlights margin compression in Shreyans Industries’ core operations. While top-line growth remained modest at 4.2%, total expenses surged by 21.9%, indicating that input cost pressures—particularly in raw materials and energy—were not fully passed on to customers or absorbed through efficiency gains. The reliance on fair value gains in other income to support total income further underscores the volatility in non-operating segments, as these gains can fluctuate significantly with market conditions.

The statutory auditors, SCV & Co. LLP, issued an unmodified conclusion on the unaudited financial results after conducting a review in accordance with Standard on Review Engagements (SRE) 2410. The financial statements were prepared in compliance with Ind AS 34 and Section 133 of the Companies Act, 2013. The company operates solely in the writing and printing paper segment, with no reportable segments under Ind AS 108.

Earnings per share (basic and diluted) turned negative at ₹(2.34), down from ₹12.49 in Q1FY26. The paid-up equity share capital remained unchanged at ₹138.25 crore. There were no exceptional items or discontinued operations reported during the quarter.

Shreyans Industries Limited has fixed August 5, 2026, as the record date to determine shareholder eligibility for the dividend for FY 2025-26, subject to declaration at the Annual General Meeting (AGM). The 46th AGM is scheduled to be held on August 12, 2026, at 11:00 a.m. at the company's registered office in Ludhiana. The register of members and share transfer books will remain closed from August 6, 2026, to August 12, 2026, for the AGM and dividend payment.

The board has proposed the re-appointment of Mr. Kunal Oswal as Whole Time Director for a period of three years from August 1, 2026, to July 31, 2029. Additionally, the company seeks shareholder approval to re-appoint Mr. Rajneesh Oswal as Chairman & Managing Director and Mr. Vishal Oswal as Vice-Chairman & Managing Director, both for three years from September 1, 2026, to August 31, 2029. The remuneration for these roles includes salaries, perquisites, and commissions not exceeding 3% of the net profit annually.

Financial Performance

The company reported a total revenue of ₹63,425.09 lakh for the year ended March 31, 2026, compared to ₹63,457.70 lakh in the previous year. Profit before tax stood at ₹778.43 lakh, a decrease from ₹6,774.83 lakh in the prior year. Net profit after tax for the period was ₹646.78 lakh.

Agenda and E-voting

Shareholders will also consider ratifying the remuneration of ₹75,000 plus goods and service tax payable to M/s. Rajan Sabharwal and Associates, Cost Auditors, for the financial year ending March 31, 2027. Remote e-voting facilities will be available from August 8, 2026, at 9:00 a.m. to August 11, 2026, at 5:00 p.m.