Surbhi Industries Limited has communicated to the Bombay Stock Exchange that the provisions of Regulation 23(9) of the SEBI (Listing Obligation and Disclosure Requirement) Regulation, 2015 are not applicable to the company for the quarter ended March 31, 2026. This notification was formally submitted by the Managing Director, Ravjibhai P. Patel, on May 15, 2026.

Regulatory Exemption Details

The exemption is availed pursuant to Regulation 15(2) of the SEBI (Listing Obligation and Disclosure Requirement) Regulation, 2015. This regulation provides relief from specific corporate governance norms for listed entities that meet certain financial criteria. Consequently, the company is not required to submit the "Disclosure of Related Party Transaction on a Consolidated basis" for the specified quarter.

Eligibility Criteria

The company qualifies for this non-applicability based on the following conditions outlined in the regulations:

• The listed entity has a paid-up equity share capital not exceeding Rs. 10 Cr.
• The net worth of the entity does not exceed Rs. 25 Cr., calculated as on the last day of the previous financial year.
• The company's equity share capital is listed exclusively on the SME Exchange.

Corporate Governance Compliance

Under the cited regulation, compliance with various corporate governance provisions is not required for eligible companies. These include regulations 17 through 27, specific clauses of sub-regulation (2) of regulation 46, and paragraphs C, D, and E of Schedule V of the SEBI LODR regulations.

Surbhi Industries Limited has released its standalone audited financial results for the fiscal year ended March 31, 2026. The Board of Directors approved the results during a meeting held on May 15, 2026. The company reported a net profit of ₹198.72 lakh for the full fiscal year, a decline from ₹329.25 lakh in the previous year. Statutory auditors Ghael Choksi & Company issued an unmodified opinion on the standalone financial results, confirming that the financial statements give a true and fair view of the company's state of affairs as of March 31, 2026.

Financial Performance

Revenue from operations for the year stood at ₹3153.86 lakh, compared to ₹3592.85 lakh in the previous fiscal year. Total income for the period was ₹3380.07 lakh, against ₹3934.85 lakh in the prior year. The company managed its total expenses at ₹3228.05 lakh for the year, while profit before exceptional items and tax was recorded at ₹152.02 lakh. For the quarter ended March 31, 2026, net profit rose to ₹87.73 lakh from ₹52.91 lakh in the corresponding quarter of the previous year, while revenue from operations for the quarter was ₹775.89 lakh against ₹798.57 lakh in the same period last year.

The following table summarizes the key financial metrics for the quarter and year ended March 31, 2026:

Assets and Liabilities

As of March 31, 2026, the company's total assets stood at ₹4503.51 lakh, up from ₹3480.82 lakh in the previous year. Non-current assets included Property, Plant and Equipment valued at ₹3102.40 lakh, compared to ₹2133.91 lakh in the prior year. Current assets included inventories of ₹696.10 lakh and trade receivables of ₹372.78 lakh. On the liabilities side, equity share capital remained constant at ₹343.74 lakh, while other equity increased to ₹1562.29 lakh from ₹1365.90 lakh. Non-current borrowings stood at ₹1479.06 lakh and current borrowings at ₹862.00 lakh.

Cash Flow Highlights

For FY 2025-26, net cash flow from operating activities was ₹486.22 lakh, compared to ₹874.58 lakh in FY 2024-25. Net cash outflow from investing activities was ₹1035.95 lakh, driven primarily by purchase of fixed assets worth ₹1357.83 lakh. Net cash inflow from financing activities was ₹549.74 lakh, supported by an increase in term loans of ₹790.97 lakh, partially offset by financial charges of ₹241.23 lakh. The net cash flow for the year was ₹0.01 lakh, with cash and bank balances remaining at ₹1.21 lakh as of March 31, 2026.

Auditor's Report and Compliance

Ghael Choksi & Company, Chartered Accountants (FRN: 0153978W), conducted the audit in accordance with the Standards on Auditing specified under Section 143(10) of the Companies Act, 2013. The auditors confirmed that proper books of account have been maintained, the financial statements comply with Accounting Standards under Section 133 of the Act, and none of the directors are disqualified under Section 164(2) as of March 31, 2026. The auditors also noted that the company has an adequate internal financial controls system over financial reporting that was operating effectively as at March 31, 2026. The company has no pending litigations impacting its financial position, no material foreseeable losses on long-term contracts, and no amounts required to be transferred to the Investor Education and Protection Fund. Additionally, the company did not declare or pay any dividend during the year. Managing Director Ravjibhai Parbatbhai Patel (DIN: 00023332) signed the results on behalf of Surbhi Industries Limited from Surat on May 15, 2026.