TCM Limited has launched a new poultry feed product at its leased facility in Palakkad, Kerala. The move adds approximately 1,500 tonnes of monthly production capacity to the company’s feed division.

The expansion is part of the company’s broader strategy to address evolving market demand within the feed sector. The facility, located in Pulinchode, operates from a commercial factory and office space of 10,760 sq ft owned by M/s Better Feeds Pvt Ltd.

Capacity and Utilization

The new capacity is exclusively for poultry feed production. TCM disclosed that initial utilization for the first six months is expected to be less than 20% of this proposed capacity.

This addition complements the company’s existing cattle feed operations at its Kalady plant, which has a current manufacturing capacity of 1,000 tonnes per month. For the quarter ended June 2026, the utilization of this existing cattle feed capacity stood at 50%.

Investment Details

The total investment required for the poultry feed launch is ₹2.50 crore. This amount covers machinery procurement and working capital needs. The entire expenditure will be financed through internal accruals.

What the Numbers Show

The capital structure of the investment highlights a heavy reliance on working capital rather than fixed assets. Working capital requirements account for 60% of the total ₹2.50 crore outlay, suggesting that raw material inventory and receivables management will be critical drivers of cash flow for this new vertical in its early stages.

TCM Limited scheduled its 82nd Annual General Meeting (AGM) for September 25, 2026, to approve financial statements showing a significant turnaround in profitability. The company reported a consolidated net loss of ₹599.6 million for the fiscal year ended March 31, 2026, reversing a net profit of ₹151.4 million recorded in the previous year.

The decline in earnings was driven by lower operational revenue and higher finance costs. Consolidated total income fell to ₹2,070.0 million from ₹3,047.5 million in the prior period. Meanwhile, total expenses stood at ₹2,672.5 million, reflecting increased employee benefit expenses and interest outlays.

Financial Performance

The standalone entity also reported a net loss of ₹363.4 million, compared to a profit of ₹326.4 million in the preceding year. Standalone total income was ₹1,853.3 million, while total expenses reached ₹2,219.6 million.

What the Numbers Show

The financial results reveal a sharp divergence between operating performance and non-operating income. In the previous year, the company benefited from a substantial write-back of liabilities amounting to ₹423.0 million, which significantly boosted other income. For the current year, this write-back dropped to ₹59.5 million, removing a key support for the bottom line. Additionally, finance costs surged to ₹192.4 million on a consolidated basis, up from ₹59.1 million in the prior year, indicating increased leverage or borrowing activity that weighed heavily on profitability despite relatively stable operating expenses.

Business Operations and Strategy

The company continues operations across solar power, medical diagnostics, cattle feed, and real estate. The chemical manufacturing unit at Mettur remains suspended due to financial constraints and raw material shortages. In real estate, the company has entered into a memorandum of understanding with Asset Homes TCM Townships Pvt. Ltd. for the joint development of an 11-acre land parcel in Kalamassery. Construction is expected to commence in FY27 subject to statutory approvals.

Corporate Governance and Dividend

The Board of Directors did not recommend any dividend for FY26 due to the losses incurred during the year. The AGM agenda includes the reappointment of Mrs. Rani Jose as a director retiring by rotation. Additionally, shareholders are sought to approve the reappointment of independent directors Mr. Gopalakrishnan Mahesh and Mr. Jose Jacob for a second term of five years each.