Terai Tea Company Limited has scheduled its 53rd Annual General Meeting for September 30, 2026. The primary agenda involves appointing long-serving director Rajendra Kanodia as Whole-time Director effective August 25, 2026.

The company issued the intimation pursuant to Regulation 42 of the SEBI (LODR) Regulations, 2015. The meeting will be held at the registered office in Kolkata at 10:30 am. Shareholders will also consider ordinary business items, including the adoption of audited standalone and consolidated financial statements for FY26.

Key Agenda Items

The special business includes two primary resolutions:

• Approval of remuneration for the cost auditor for FY27.
• Change in designation of Mr. Rajendra Kanodia from Non-Executive Director to Whole-time Director.

Director Appointment Details

Mr. Kanodia, who has served on the board since January 28, 1987, will assume the role of Whole-time Director effective August 25, 2026. The appointment is for a period of five years, concluding on August 24, 2031.

The resolution requires shareholder approval because Mr. Kanodia will attain the age of 70 years on February 20, 2027, during his tenure. Section 196(3) of the Companies Act, 2013 mandates special resolution approval for employment beyond this age.

Remuneration Structure

The explanatory statement outlines the following terms for Mr. Kanodia’s new role:

The board noted that Mr. Kanodia holds 14,700 equity shares in the company. His last drawn remuneration in FY26 was ₹16.20 lakh per annum.

Cost Auditor Approval

Shareholders will ratify the re-appointment of M/s. Debabrota Banerjee & Associates as Cost Auditors for FY27. The approved remuneration is ₹15,000 plus applicable taxes and out-of-pocket expenses.

Voting and Logistics

Remote e-voting commences on September 27, 2026, at 9:00 am and concludes on September 29, 2026, at 5:00 pm. The record date for voting eligibility is September 23, 2026. Equity share transfer registers will remain closed from September 24, 2026, to September 30, 2026.

Terai Tea Company reported a sharp rise in standalone net profit for FY26, driven by significant deferred tax benefits and gains from mutual fund investments. The Kolkata-based tea manufacturer posted a net profit of ₹959.92 lakh for the year ended March 31, 2026, up from ₹368.06 lakh in the previous year.

Despite the bottom-line improvement, revenue from operations contracted 14% to ₹8,871.39 lakh, reflecting lower average price realizations in the tea market. Production volumes, however, expanded significantly, indicating a divergence between supply and pricing power.

Financial Performance

The company’s total income stood at ₹10,266.63 lakh, supported by other income of ₹1,395.24 lakh. This included ₹350.21 lakh from profits on the sale or redemption of mutual funds and ₹988.11 lakh from the sale of rights in agricultural land.

The profit before tax rose 19% to ₹513.72 lakh, aided by a reduction in finance costs to ₹324.45 lakh from ₹350.08 lakh. Depreciation expenses also decreased slightly to ₹116.71 lakh.

What the Numbers Show

The surge in net profit was primarily non-operational. Standalone profit before tax increased by only ₹83.61 lakh, yet net profit jumped by nearly ₹592 lakh. This divergence is explained by a ₹425.95 lakh credit in deferred tax expenses, compared to a charge of ₹51.86 lakh in FY25. Additionally, other income grew by ₹300.31 lakh, largely due to capital gains on mutual funds and land rights sales. Operational margins remained under pressure as revenue fell despite higher production volumes.

Operational Review

Total tea production increased 27% to 26.94 lakh kg of black tea, up from 21.22 lakh kg in FY25. Sales quantity also rose sharply to 26.32 lakh kg from 18.10 lakh kg.

However, average price realization dropped to ₹120.99 per kg from ₹161.36 per kg. Management attributed the price decline to higher supply, lower domestic consumption, quality issues, and low-cost imports from neighboring countries.

Consolidated View

On a consolidated basis, net profit after tax fell to ₹518.46 lakh from ₹953.13 lakh in the previous year. This decline was driven by a re-measurement loss of ₹760.23 lakh from associate companies, which offset the share of profit of ₹318.76 lakh earned from these associates.

Corporate Developments

The Board of Directors did not recommend a dividend for FY26, citing funding requirements for ongoing expansion plans. The company’s debt-equity ratio improved to 0.39 from 0.77, following loan repayments and an increase in reserves.

Mr. Rajendra Kanodia, Non-Executive Director, retires by rotation at the upcoming AGM scheduled for September 30, 2026. Shareholders will also vote on his re-appointment as Whole-Time Director for a five-year term.