Svaraj Trading & Agencies reported a net profit of ₹55.83 lakh for FY26, reversing a net loss of ₹71.10 lakh in the previous year. The company scheduled its 46th Annual General Meeting (AGM) for September 30, 2026.

Financial Performance

The company’s total income for FY26 was ₹1.37 crore, comprising revenue from operations of ₹1.22 crore and other income of ₹14.59 lakh. In contrast, the previous year recorded no revenue from operations and total income of only ₹12.70 lakh, entirely from other sources.

Total expenses rose slightly to ₹84.65 lakh from ₹81.09 lakh in FY25. Employee benefits accounted for the largest share at ₹47.90 lakh, followed by depreciation and amortization of ₹19.28 lakh. Other expenses stood at ₹17.48 lakh.

Key Financial Metrics

The profit before tax was ₹52.28 lakh, compared to a loss of ₹68.40 lakh in FY25. Tax expense for the current year was ₹3.55 lakh, while the previous year saw a tax benefit of ₹2.70 lakh.

What the Numbers Show

The turnaround in profitability is driven by the initiation of revenue-generating activities, specifically the sale of marketing rights, which contributed the entire ₹1.22 crore in operating revenue. While operational revenue emerged, other income—primarily unrealized gains on mutual funds (₹12.14 lakh) and profits on sale of investments (₹1.85 lakh)—remained a significant contributor to total income. The company’s total assets decreased to ₹41.20 crore from ₹58.03 crore in FY25, largely due to a decline in non-current financial assets (investments), which fell from ₹38.18 crore to ₹20.87 crore.

Balance Sheet Highlights

As of March 31, 2026, total equity stood at ₹41.11 crore, down from ₹57.86 crore in the previous year. This reduction was primarily due to a decrease in "Equity Instruments Through Other Comprehensive Income," which fell by ₹17.30 crore due to fair value adjustments. Cash and cash equivalents remained stable at ₹5.06 lakh. The company had no outstanding borrowings or financial liabilities as of the reporting date.

AGM Details

The 46th AGM will be held via video conferencing on September 30, 2026, at 12:30 pm. Key agenda items include:

• Adoption of audited financial statements for FY26.
• Reappointment of Managing Director Harendra Gupta, who retires by rotation. He draws a monthly remuneration of ₹30,000.

Shareholders can participate remotely using the Central Depository Services Limited (CDSL) e-voting system. The remote e-voting period runs from September 26 to September 29, 2026. The book closure period is from September 24 to September 30, 2026.

Corporate Governance

The Board of Directors comprises five members: two executive directors and three independent directors. During FY26, six board meetings were held. The company did not declare any dividend for the year under review. Statutory auditors M/s G R A M and Associates LLP issued an unmodified opinion on the financial statements.

Svaraj Trading & Agencies reported a net loss of ₹19.41 lakh for the quarter ended June 30, 2026, marking a sharp deterioration from the ₹102.41 lakh profit posted in the corresponding period of FY25. The Mumbai-based trading firm recorded zero revenue from operations for the third consecutive quarter, highlighting a persistent lack of core business activity. Consequently, total income was restricted to ₹1.73 lakh from other sources, insufficient to cover fixed operational costs. This continued absence of trading activity raises concerns about the company's ability to sustain operations without consuming cash reserves or equity.

The Board of Directors approved the unaudited financial results on August 10, 2026, pursuant to Regulation 30 and Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were reviewed by M/s G R A M and Associates LLP, Chartered Accountants, under Standard on Review Engagements (SRE) 2410. Additionally, the Board appointed Ms. Pragati Rai as Company Secretary and Compliance Officer effective August 10, 2026, based on the recommendation of the Nomination and Remuneration Committee.

Financial Performance

The company’s financial position reflects high fixed cost burdens against negligible top-line growth. While employee benefits expenses decreased slightly to ₹11.53 lakh from ₹10.67 lakh in the prior year quarter, depreciation and other expenses saw marginal increases. The absence of operating revenue means the company is consuming cash reserves or equity to sustain operations.

What the Numbers Show

The most critical insight from the filing is the complete decoupling of income from operations. In Q1FY25, the company generated ₹122.34 lakh in revenue, which drove a substantial profit. In Q1FY26, with zero operational revenue, the company’s “other income” of ₹1.73 lakh was dwarfed by fixed costs totaling ₹21.14 lakh. This structural shift indicates that without a restart in trading activities, the company will continue to report quarterly losses driven by non-discretionary expenses such as employee benefits and depreciation. The paid-up equity capital remains unchanged at ₹1,475 lakh, suggesting no recent dilution or buyback activity.

Corporate Developments

Alongside the financial results, the Board scheduled the 46th Annual General Meeting for September 30, 2026. Ms. Pragati Rai, an Associate Member of the Institute of Company Secretaries of India (ICSI) with over four years of post-membership experience, joins the leadership team to handle secretarial and compliance matters. Her appointment aims to strengthen governance frameworks during this period of operational transition.