Studds Accessories has incorporated a wholly owned subsidiary in Italy named SMK Helmets Europe SRL with a capital of EUR 300,000 to strengthen its presence in Europe. The subsidiary was registered on May 25, 2026, as part of the company's global growth strategy. This move allows Studds Accessories to directly manage the import, export, wholesale, and retail distribution of its products in the European market.

The subsidiary will handle protective helmets, accessories, spare parts, clothing, and footwear for motorcycling, cycling, sports, and personal safety use. It will also provide marketing, logistics, and warehousing support. The business activities align with the main line of business of the parent company.

Governance and Management

The Board of SMK Helmets Europe SRL is constituted in compliance with the Italian Civil Code. Day-to-day operations are managed by a locally appointed Director and Chief Executive Officer, Mr. Matteo Schieppati, who is an independent professional and not a related party of Studds Accessories. Mr. Sidhartha Khurana, Promoter and Managing Director of Studds Accessories, serves on the board of the subsidiary.

The transaction involved a cash consideration of EUR 300,000 for the subscription of 100% equity shares. Studds Accessories confirmed that the incorporation was completed upon registration and that no promoter or group company holds any interest other than the stated shareholding. The transaction was conducted at arm's length.

Key Details of the Subsidiary

The requisite approvals were obtained from relevant statutory authorities, including European Authorities. The disclosure was made to the exchanges pursuant to Regulation 30 read with Part A of Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Studds Accessories has released the audio recording of its earnings conference call held on May 25, 2026. The call, conducted for analysts and investors, discussed the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026. The disclosure was made pursuant to Regulation 30 and Part A of Schedule III of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The company recorded a net profit of ₹826.53 million for the financial year 2025-26, representing an 18.7% increase from ₹696.43 million in the previous year. Revenue from operations for the year stood at ₹6,342.33 million, up 8.6% from ₹5,839.51 million in FY25. EBITDA for the year rose 16.4% to ₹1,222 million, with margins improving to 19.3%.

Key Financial Highlights (Consolidated)

The following table summarises the key annual financial metrics:

Q4 Performance

For the quarter ended March 31, 2026, Studds Accessories posted strong year-on-year improvement across key metrics. Net profit rose to ₹210.99 million from ₹198.90 million in the same quarter of the previous year. Revenue from operations came in at ₹1,675.42 million compared to ₹1,497.51 million in the year-ago period. EBITDA for the quarter stood at ₹318 million versus ₹273 million, with EBITDA margins expanding to 19.11% from 18.37% year-on-year.

Board Decisions and Dividend

The Board of Directors has recommended a dividend of ₹3 per equity share of face value ₹5 each for FY 2025-26, subject to shareholder approval at the ensuing Annual General Meeting. Additionally, the Board approved the formulation of the Studds Accessories Limited Employee Stock Option Scheme 2026. The scheme proposes granting options not exceeding 0.75% of the post-issued equity share capital, exercisable into up to 2,97,381 equity shares.

Management Changes

The Board announced key management appointments effective July 1, 2026. Mr. Manish Mehta will step down as Chief Financial Officer (CFO) and Key Managerial Personnel (KMP) to assume the role of Vice President- Taxation & Compliance. Mr. Bharat Goyal has been appointed as the new CFO and KMP. The Board also appointed Deloitte Haskins & Sells LLP as Internal Auditors for FY 2026-27.

Expansion Plans

The company is expanding its presence in Europe, with operations in Italy expected to commence in Q2FY27. A Phase-I capacity expansion of 1.5 million helmets per annum is progressing as planned and is expected to start operations by Q2FY27. An additional 1.5 million helmets are planned for expansion over the next 15–18 months. Post completion, the total installed capacity will increase by 30% over FY26 levels to 12.5 million helmets per annum.