Tuni Textile Mills has cancelled its Rights Issue Committee meeting scheduled for August 27, 2026. The company cited unavoidable exigencies for the cancellation and stated it will intimate the stock exchange regarding the revised date in due course.

The meeting was originally convened to consider and decide various matters concerning the proposed Rights Issue, including its terms. This decision follows previous intimations submitted to the BSE Limited on July 15, 2026, July 23, 2026, and August 5, 2026.

Regulatory Compliance

The disclosure was made pursuant to Regulation 29 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. Narendra Sureka, Managing Director of Tuni Textile Mills, signed the intimation letter addressed to the Listing Operations Department of BSE Limited.

Tuni Textile Mills Limited reported a net profit of ₹26.50 lakh for the quarter ended June 30, 2026 (Q1FY27), marking an improvement from the ₹20.45 lakh profit recorded in the corresponding period of the previous fiscal year. This result follows a net loss of ₹15.87 lakh in the immediately preceding quarter ended March 31, 2026, indicating a return to profitability for the textile manufacturer. Revenue from operations stood at ₹2,342.64 lakh, up from ₹2,276.95 lakh in Q1FY26.

The Board of Directors approved the unaudited financial results at a meeting held on August 12, 2026. The submission complies with Regulation 33(3) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. K. K. Jhunjhunwala & Co., the statutory auditors, issued a limited review report on the interim financial information, confirming that the statements disclose all required information and contain no material misstatements.

Financial Performance

The company’s total income for the quarter was ₹2,346.62 lakh, driven primarily by revenue from operations. Other income contributed ₹3.98 lakh. Total expenses amounted to ₹2,310.80 lakh, with purchases of stock in trade being the largest component at ₹2,819.73 lakh. However, this was partially offset by a decrease in inventories of finished goods, stock in trade, and work in progress, which reduced expenses by ₹726.84 lakh.

Profit before tax reached ₹35.82 lakh, compared to ₹6.22 lakh in Q4FY26 and ₹27.32 lakh in Q1FY26. Tax expenses for the quarter were ₹9.31 lakh, consisting entirely of current tax, as there were no deferred tax charges or adjustments for earlier periods in this quarter.

Rights Issue Progress

Tuni Textile Mills initiated a rights issue of equity shares during FY26 to raise funds. The company incurred costs aggregating to ₹65.05 lakh towards this proposed issue, including ₹60.31 lakh for stamp duty and fees related to the increase in authorized share capital. These qualifying costs have been deferred and disclosed under other current assets pending completion of the transaction.

As of June 30, 2026, the requisite approvals for the rights issue had not yet been fully received. However, the company noted that it obtained in-principle approval for the rights issue via a letter from the BSE dated July 14, 2026. The business activity remains confined to a single segment, the textile business, making segment reporting under Ind AS 108 inapplicable.

What the Numbers Show

The return to profitability in Q1FY27, after a loss in the preceding quarter, suggests improved operational efficiency or favorable inventory adjustments. The significant reduction in inventory levels (₹726.84 lakh decrease) contributed positively to the bottom line, offsetting high purchase costs. While revenue growth was modest at approximately 2.9% year-on-year, the ability to generate a higher net profit margin indicates effective cost management or mix optimization in the current quarter.