Transcorp International Limited has announced that it is not progressing further with its proposed scheme of arrangement in its existing form. The decision follows a communication from the principal regulator regarding the status of required concurrences.

The company had approached relevant regulatory authorities to obtain approvals for the scheme, which was originally filed on July 5, 2022 (Case no 154513). The recent update clarifies that the regulatory position necessitates a halt to the current process.

Regulatory feedback drives decision

The company stated that the matter will now be placed before the Board of Directors for consideration. This review aims to determine the best course of action in the interest of the company and its stakeholders.

Key details from the filing

The filing was signed by Jayesh Kumar Pooniya, Group Company Secretary & Compliance Officer. No financial figures or operational metrics were disclosed in this specific update.

Transcorp International reported a sharp turnaround in profitability for the quarter ended June 30, 2026, with standalone net profit after tax (PAT) rising 166% year-on-year to ₹1.73 crore from ₹0.65 crore in Q1FY25. The surge was primarily driven by a 24.3% increase in revenue from operations to ₹283.65 crore and a significant reduction in finance costs. Consolidated PAT also rose to ₹2.18 crore from ₹0.84 crore in the corresponding period of the previous year. Alongside the financial results, the company secured critical regulatory milestones, including membership in the Reserve Bank of India’s INFINET and Real Time Gross Settlement (RTGS) systems, enhancing its direct payment settlement capabilities.

Revenue from operations grew 45.7% quarter-on-quarter to ₹283.65 crore, up from ₹194.66 crore in Q4FY26. Profit before tax (PBT) jumped 175% YoY to ₹2.39 crore from ₹0.87 crore, aided by disciplined cost management. Finance costs declined nearly 39% to ₹35.67 lakh from ₹58.44 lakh, reflecting efficient treasury management. Basic earnings per share (EPS) rose 166% to ₹0.54 from ₹0.20 in the corresponding period of FY25. Consolidated revenue from operations stood at ₹284.99 crore, with other income contributing ₹1.74 crore.

Strategic Regulatory Milestones

The Reserve Bank of India granted Transcorp International membership of the INFINET and the RTGS System during the quarter. As an INFINET Member and Type 'D' RTGS Member, the company can now initiate and settle RTGS and NEFT transactions directly through the RBI’s Centralised Payment Systems (CPS). This development reduces dependency on intermediary banks for high-value settlements, potentially improving operational efficiency and liquidity management.

Additionally, Transcorp was empanelled as a Business Correspondent (BC) of Indian Overseas Bank for providing Customer Service Point (CSP) services. This partnership expands its financial inclusion network, which currently operates over 1,250 locations across India, primarily serving State Bank of India and Indian Overseas Bank customers.

Financial Performance Overview

Segment-wise Performance

The foreign exchange and money transfer segment remained the primary revenue driver, contributing ₹283.68 crore to total consolidated revenue. This segment reported a profit before tax and interest of ₹1.75 crore. The travel, ticketing, and car rental segment contributed ₹1.36 crore in revenue with a segment result of ₹0.18 crore. Conversely, the real estate and building rent segment incurred a loss of ₹0.29 crore. Total unallocated finance costs were ₹0.42 crore, while other unallocable income was ₹1.74 crore.

Corporate Governance Updates

Pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Board of Directors appointed M/s R Sogani & Associates LLP as the Internal Auditor for the financial year 2026-27. The appointment, effective July 31, 2026, is for a term of one year. R Sogani & Associates LLP is a Jaipur-based firm providing statutory audit, internal audit, taxation, and advisory services. The firm has no relationship with any director of the company.

What the Numbers Show

The disproportionate rise in profit relative to revenue growth highlights improved operating leverage. While revenue increased by 24.3%, PBT surged by 175%, largely due to a 39% drop in finance costs. This suggests that margin expansion was driven more by cost optimization and treasury efficiency than by top-line pricing power. The acquisition of INFINET and RTGS memberships further supports this trend by enabling direct settlement, which may reduce transaction costs and improve working capital cycles in future quarters. The consolidation of subsidiaries, including Transwire Forex Limited and Transcorp Payments Limited, adds depth to the group’s earnings profile, with consolidated PAT exceeding standalone figures by approximately 25%.

The Board of Directors approved the un-audited financial results on July 31, 2026. The Audit Committee reviewed and recommended the results earlier on the same day. The company’s statutory auditor, Anand Jain & Co., expressed an unmodified opinion on the financial statements. Results were published in Financial Express and Jansatta on August 1, 2026, in compliance with SEBI (LODR) Regulations, 2015.