VTM Ltd Reports FY26 Net Profit of ₹1,119.88 Lakh Amid Margin Pressure

VTM Limited has announced its audited financial results for the quarter and year ended March 31, 2026, following a meeting of its Board of Directors on May 22, 2026. The company, engaged in the manufacturing of textiles, reported a decline in annual net profit compared to the previous year, impacted by exceptional items, foreign exchange fluctuations, and a sharp contraction in quarterly EBITDA margins.

For the quarter ended March 31, 2026, the company recorded a net profit of ₹89.65 lakh, a significant decrease from ₹1,217.19 lakh in the corresponding quarter of the previous year. Revenue from operations for the quarter stood at ₹11,016.68 lakh, up from ₹10,869.40 lakh in the same period last year. Total income for the quarter was ₹11,043.23 lakh. EBITDA for the quarter came in at 73M rupees, sharply lower than 185M rupees in the same quarter of the previous year, with the EBITDA margin contracting to 6.61% from 16.97% year-on-year.

On an annual basis, net profit for the year ended March 31, 2026, settled at ₹1,119.88 lakh, down from ₹4,537.41 lakh in the previous year. Revenue from operations for the fiscal year increased to ₹37,198.13 lakh from ₹34,452.68 lakh in the prior year. Total income for the year rose to ₹37,538.96 lakh. The company noted that exceptional items, including provisions for gratuity and the abnormal effect of changes in forex rates, impacted profitability. Additionally, the company provided discounts aggregating to ₹1,997.40 lakh to customers in the USA to mitigate tariff burdens.

Financial Performance

The following table summarises the key annual financial metrics for the year ended March 31, 2026, compared to the previous year:

Metric:	Year Ended March 31, 2026 (₹ in Lakh)	Year Ended March 31, 2025 (₹ in Lakh)
Net Sales / Income from Operations:	37,198.13	34,452.68
Total Income:	37,538.96	34,935.19
Total Expenses:	35,740.25	28,883.64
Net Profit for the Period:	1,119.88	4,537.41
Earnings Per Share (Basic):	1.11	4.51

The quarterly performance further highlights the pressure on margins, with EBITDA declining steeply on a year-on-year basis:

Metric:	Q4 FY26	Q4 FY25
Net Profit:	₹89.65 lakh	₹1,217.19 lakh
Revenue from Operations:	₹11,016.68 lakh	₹10,869.40 lakh
EBITDA:	73M Rupees	185M Rupees
EBITDA Margin:	6.61%	16.97%

The statement of assets and liabilities as of March 31, 2026, shows total assets at ₹44,808.75 lakh, compared to ₹38,260.57 lakh in the previous year. Equity share capital increased to ₹1,005.69 lakh from ₹402.28 lakh, following the issuance of bonus shares. Reserves stood at ₹30,493.39 lakh.

Corporate Governance

The Board has decided to hold the Annual General Meeting on July 31, 2026. The share transfer books will remain closed from July 26, 2026, to July 31, 2026. The Board has not recommended any dividend for the financial year 2025-2026. The statutory auditors, M/s CNGSN & Associates LLP, have expressed an unmodified opinion on the audited financial results. The company also informed the exchanges that it is in the process of complying with required procedures to list its equity shares on the National Stock Exchange of India Limited.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+2.94%	-5.64%	-12.69%	-23.24%	-31.20%	+451.75%

VTM Limited has notified the Bombay Stock Exchange of an upcoming Board of Directors meeting scheduled for Friday, May 22, 2026, at 04:30 PM at Thiagarajar Mills Premises, Kappalur. The intimation, dated May 14, 2026, was filed by Company Secretary K. Preyatharshine (M.No: A58314) in compliance with regulatory disclosure requirements.

Key Agenda Items

The board meeting carries a comprehensive agenda covering annual financial approvals, shareholder returns, and statutory compliance. The following items are set to be considered:

Agenda Item:	Details
Financial Statements:	Balance Sheet as on March 31, 2026, and Profit & Loss Account for the year ended March 31, 2026
Director's Report:	Consideration and approval
Dividend:	Recommendation of dividend, if any, on equity shares
AGM:	Fixing the date for the 79th Annual General Meeting and settling the agenda
Circular Resolutions:	Recording of circular resolutions
Statutory Registers:	Perusal and signing of register under Section 189 of the Companies Act, 2013
Director Notices (Sec. 184):	Recording of notices received from directors
Director Notices (Sec. 164):	Recording of notices received from directors
Director-Interested Agreements:	Consideration of agreements with concerns in which directors are interested
Statutory Compliance:	Recording compliance of statutory requirements
Any Other Business:	Any other subject brought before the meeting

Annual Financial Review

A central focus of the May 22, 2026 board meeting will be the review and approval of VTM Limited's annual financial statements for the fiscal year ended March 31, 2026. The board will consider the Balance Sheet as on March 31, 2026, and the Profit and Loss Account for the corresponding period, along with the Director's Report for the year.

Dividend and AGM

The board will also deliberate on recommending a dividend, if any, on equity shares for the financial year. Separately, the meeting will determine the date and agenda for the company's 79th Annual General Meeting, marking a significant milestone in the company's corporate calendar.

Statutory and Compliance Matters

Beyond financial approvals, the agenda includes several statutory compliance items. These encompass recording circular resolutions, signing the register maintained under Section 189 of the Companies Act, 2013, and recording notices received from directors under Sections 184 and 164 of the Companies Act, 2013. The board will also consider entering into agreements with concerns in which directors hold an interest, and will record overall compliance with statutory requirements.

VTM Limited is headquartered at Thiagarajar Mills Premises, Kappalur – 625 008, Madurai, India, with its registered office at Sulakarai, Virudhunagar – 626 003.