Steelco Gujarat reported a net loss of ₹372.72 crore for FY26, widening from a loss of ₹205.38 crore in the previous year. The company recorded revenue from operations of ₹585.29 crore, a significant increase from ₹41.77 crore in FY25, as it resumed commercial production following its emergence from the Corporate Insolvency Resolution Process (CIRP).

The financial year marked a decisive turnaround for the manufacturer, which recommenced operations in July 2025. Management focused on recommissioning plant machinery, re-engaging the workforce, and rebuilding supply-chain relationships. Despite the operational restart, profitability remains constrained by high finance costs and administrative expenses associated with the restructuring phase.

Financial Performance

Revenue growth was driven by the sale of manufactured goods and traded items. The company produced 6,832.18 metric tonnes of steel products, including galvanised coils and pre-painted galvanized iron (PPGI) sheets. Sales volumes reached 8,435.42 metric tonnes, generating total income of ₹591.99 crore.

The widening loss was primarily attributed to finance costs of ₹152.49 crore, employee benefit expenses of ₹41.78 crore, and other operational expenses. Finance costs rose sharply due to interest on new borrowings, including non-convertible debentures issued during the year.

Capital Raise and Subsequent Events

In January 2026, the company raised ₹140 crore through the issuance of Secured Listed Non-Convertible Debentures (NCDs). These funds were deployed towards working capital requirements, funding the restart of production, and augmenting manufacturing capacity. The NCDs carry an internal rate of return of 21.90% per annum and are secured by first-ranking mortgages and hypothecations on company assets.

Subsequent to the financial year-end, Steelco Gujarat completed a Rights Issue in June 2026. The company allotted 13.30 lakh equity shares at ₹112 per share, raising approximately ₹149 crore. This move was undertaken to comply with Minimum Public Shareholding (MPS) requirements under SEBI regulations and to strengthen the capital structure.

What the Numbers Show

The divergence between revenue growth and net loss highlights the heavy cost burden of restarting operations after a prolonged period of insolvency. While revenue surged more than 13-fold, finance costs alone consumed roughly 26% of total income. Additionally, the debt-equity ratio stands at 83.47 times, reflecting the substantial leverage taken on to fund the turnaround. The subsequent rights issue aims to dilute this leverage and improve the equity base.

Governance and Compliance

The company appointed M/s T R Chadha & Co LLP as statutory auditors to fill the casual vacancy caused by the resignation of M/s M Sahu & Co. This change was necessitated by compliance requirements under the Debenture Trust Deed. The Board also approved the appointment of Mr. Sudeep Saxena as an Independent Director.

Management emphasized strict adherence to the Resolution Plan terms and covenants applicable to listed debt securities. The focus for the coming year remains on improving capacity utilization, optimizing costs, and maintaining working capital discipline.

Steelco Gujarat Limited has released its unaudited financial results for the first quarter ended June 30, 2026. The company’s Board of Directors approved the standalone and consolidated figures following a review by the Audit Committee.

The Board meeting took place on Thursday, August 13, 2026. The financial statements were subsequently filed with the stock exchanges in accordance with Regulation 33 and 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Regulatory Compliance

The disclosure aligns with the listing obligations mandated by SEBI. The full format of the financial results is available on the website of the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). Investors can also access the detailed report via the company’s official website or by scanning the QR code provided in the original filing.

What the Numbers Show

The filing confirms the procedural approval of Q1FY26 results but does not disclose specific line-item metrics such as revenue, net profit, or EBITDA in the provided text. The absence of granular financial data in this extract limits immediate performance analysis, though the timely filing indicates standard regulatory compliance.