Surat Trade & Mercantile has confirmed KFIN Technologies Limited as its Registrar and Share Transfer Agent for the upcoming 80th Annual General Meeting. The company also appointed Mr. Jigar Vyas of M/s. Jigar Vyas & Associates as the scrutinizer for the e-voting process.

The 80th AGM is scheduled for Tuesday, September 22, 2026, at 3:30 pm via Video Conferencing or Other Audio-Visual Means. Remote e-voting will commence at 9:00 am on Saturday, September 19, 2026, and conclude at 5:00 pm on Monday, September 21, 2026. The cut-off date for voting eligibility remains Tuesday, September 15, 2026.

Board Re-appointments

Shareholders will consider the re-appointment of Mr. Alok P. Shah as a director liable to retire by rotation. Mr. Shah, who serves as Managing Director, holds an MBA from the University of Chicago and a degree in Electrical Engineering from Stanford University.

The meeting will also seek approval for the re-appointment of Mr. Deepak N. Shah as an Independent Director for a second term of five years. His tenure is set to run from August 11, 2027, to August 10, 2032.

Mr. Deepak N. Shah is a Fellow Member of the Institute of Chartered Accountants of India with over four decades of experience in statutory and tax audits. The Nomination and Remuneration Committee recommended his re-appointment based on performance evaluation and independence criteria.

Annual Report Access & KYC Reminder

Pursuant to Regulation 36(1)(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the company provided a web link for the Annual Report for FY25-26 to shareholders who have not registered their email addresses. The report is available at www.stml.in under Investor Relations > Annual Report > Annual Report 2025-2026.

The company reminded physical security holders to update their KYC details, including PAN, address, mobile number, bank account details, specimen signature, and choice of nomination, in compliance with SEBI Master Circular No. SEBI/HO/MIRSD/POD-1/P/CIR/2024/37 dated May 07, 2024. Failure to update these details may restrict dividend payments to electronic mode only.

Forms for nomination and KYC updation (ISR-1, ISR-2, ISR-3, SH-13, SH-14) are available on the RTA website. Shareholders are encouraged to dematerialise physical securities and register email IDs to avail online services.

Meeting Logistics

Institutional shareholders must submit certified copies of board resolutions authorizing their representatives to attend via email. Physical attendance has been dispensed with in compliance with Ministry of Corporate Affairs circulars. Proxy forms are not available for this meeting. Members can join the VC session 15 minutes before the scheduled start time.

Speaker registration for the Q&A session opens on Friday, August 28, 2026, and closes on Monday, August 31, 2026. Questions submitted during this window will be addressed during the meeting proceedings.

Surat Trade & Mercantile reported a 51% year-on-year increase in profit before tax (PBT) to ₹1,399.35 lakh for the financial year ended March 31, 2026 (FY26). The company’s revenue from operations grew by 62% to ₹11,134.58 lakh, driven by higher volumes in commodity trading and gains from the sale of artworks.

Financial Performance

Revenue from operations rose significantly from ₹6,863.70 lakh in FY25 to ₹11,134.58 lakh in FY26. The company attributed this growth to increased business volumes in metals, particularly gold and silver, amid global market volatility. While total income reached ₹12,513.14 lakh, other income declined slightly to ₹1,378.56 lakh from ₹1,482.44 lakh in the previous year due to lower returns in listed financial markets.

Profit before depreciation and amortization stood at ₹1,456.58 lakh, up from ₹980.24 lakh in FY25. Finance costs remained minimal at ₹15.18 lakh, reflecting the company’s debt-free status. Depreciation and amortization expenses increased marginally to ₹57.23 lakh from ₹51.65 lakh.

What the Numbers Show

A notable divergence exists between the company’s pre-tax and post-tax performance. While PBT surged by 51%, net profit after tax fell by 6% to ₹1,097.60 lakh. This contraction was primarily driven by a sharp reversal in tax expenses; the company recorded a tax expense of ₹301.75 lakh in FY26 compared to a tax benefit of ₹237.42 lakh in FY25. This shift indicates that the bottom-line growth did not fully translate into retained earnings due to higher current tax outflows and reduced deferred tax benefits.

Operational Highlights

The company’s core commodity trading segment generated income of ₹10,625.33 lakh, up from ₹6,863.70 lakh in FY25. Management leveraged hedging strategies using derivatives on recognized exchanges to mitigate risks associated with price volatility, particularly during geopolitical tensions in the Middle East. Additionally, the sale of artworks contributed to the profit boost, with related party transactions for art sales amounting to ₹811.25 lakh.

Investment activities saw mixed results. Income from Alternative Investment Funds (AIFs) increased to ₹924.40 lakh from ₹805.51 lakh, with the total asset value under AIFs rising to ₹9,542.07 lakh. However, non-AIF investment income declined to ₹454.16 lakh from ₹676.93 lakh.

Corporate Governance and Compliance

The Board of Directors decided not to recommend any dividend for FY26, opting to retain profits for future growth. The company also disclosed an inadvertent non-compliance regarding related party transactions with Managing Director Mr. Alok P. Shah, which exceeded prescribed limits under SEBI Listing Regulations. The transactions were subsequently ratified by the Audit Committee, Board, and shareholders at an Extra-Ordinary General Meeting held on August 10, 2026. A suo motu settlement application was filed with SEBI.

Balance Sheet Strength

Surat Trade & Mercantile remains debt-free with no outstanding term loans or working capital facilities availed during the year. Total assets increased to ₹23,259.22 lakh from ₹22,059.66 lakh in FY25. Cash and cash equivalents rose sharply to ₹896.78 lakh from ₹100.73 lakh, indicating strong liquidity position. The company also reclassified certain land as investment property and recognized an impairment loss of ₹30.54 lakh on associated buildings.