Somi Conveyor Beltings passed all three ordinary resolutions proposed at its 26th Annual General Meeting (AGM), held on September 30, 2026, at its registered office in Jodhpur.

The meeting addressed the adoption of audited financial statements for the year ended March 31, 2026, the re-appointment of a director retiring by rotation, and the ratification of the cost auditor's remuneration for FY27.

Voting outcomes

The company reported a high approval rate across all agenda items. For the adoption of financial statements, 89,34,395 votes were cast in favour against just 245 votes against. The resolution to re-appoint Mrs. Payal Daga as director received 89,34,295 votes in favour, with 345 votes against. Similarly, the ratification of the cost auditor's remuneration saw 89,34,295 votes in favour and 345 votes against.

Shareholder participation

A total of 8,492 shareholders were on record as of the cut-off date. Physical attendance was limited, with 7 promoters and 26 public shareholders present at the venue. No video conferencing facility was arranged as there were no requests. Voting was conducted through remote e-voting via CDSL and a poll at the meeting.

What the numbers show

The voting data highlights a significant concentration of power among promoters. Promoters and their group held 69,60,757 shares, casting 100% of their votes in favour of all resolutions. In contrast, public non-institutional shareholders, holding 19,73,883 shares, showed slight dissent on the director re-appointment and auditor remuneration, with 345 votes cast against these specific items. This indicates that while promoter support was unanimous, a small fraction of retail investors expressed opposition to governance-related items, though not enough to impact the outcome.

Somi Conveyor Beltings filed its 26th annual report for FY26, revealing a contraction in profitability despite steady operational progress. The company reported a net profit after tax (PAT) of ₹503.06 lakh, down from ₹548.62 lakh in the previous year.

Revenue from operations stood at ₹10,074.43 lakh, reflecting a marginal decline of 0.49% compared to ₹10,123.77 lakh in FY25. Earnings before interest, tax, depreciation, and amortization (EBITDA) decreased by 1.64% to ₹989.23 lakh.

Financial Performance

The financial results for the year ended March 31, 2026, highlight a focus on deleveraging and working capital efficiency rather than top-line growth.

The Board did not recommend any dividend for FY26, opting to conserve resources for future growth and capital investment.

Balance Sheet and Liquidity

The company significantly improved its liquidity position during the year. The debt-equity ratio declined sharply from 0.28 to 0.17, driven by reduced reliance on temporary working capital facilities. Current borrowings fell to ₹1,179.29 lakh from ₹2,022.71 lakh in the prior year.

Trade receivables turnover improved substantially, with debtor days dropping from 143 to 87 days. This acceleration in collections strengthened cash flows, allowing the company to reduce current liabilities faster than current assets, thereby improving the current ratio from 2.04 to 2.85 times.

Capital Expenditure and Capacity

During FY26, Somi Conveyor Beltings completed the installation of a new mixing line at its Tanawara plant. The project, which cost ₹864.77 lakh, enhances compounding capacity for all conveyor belt grades, including steel cord belts. This expansion aims to support timely order execution and improve product quality through modern automation features.

Corporate Governance

The company scheduled its 26th Annual General Meeting for September 30, 2026. Key agenda items include the adoption of audited financial statements and the re-appointment of Mrs. Payal Daga as a Non-Executive Non-Independent Woman Director. M/s. Anchal Jain & Co was appointed as Cost Auditor for FY27 with remuneration of ₹35,000 plus taxes.

What the Numbers Show

The divergence between stable revenue and declining profits highlights the impact of higher other expenses, which rose to ₹1,744.09 lakh from ₹1,356.84 lakh in FY25. This increase includes a significant provision for bad debts of ₹93.23 lakh and bad debts written off amounting to ₹167.33 lakh, indicating past credit risks being cleared from the books. Despite this, the aggressive reduction in debt has positioned the balance sheet for lower interest outflows in future periods.