Modern Dairies Limited's promoter group has completed the conversion of 28,00,000 convertible warrants into equity shares, as disclosed under Regulation 7(2) of SEBI (Prohibition of Insider Trading) Regulations, 2015. The conversion was executed between February 26-27, 2026, with formal disclosures submitted to BSE Limited by the respective promoter entities.

Warrant Conversion Details

The conversion involved warrants originally issued to promoters and promoter group entities on a preferential basis. Each warrant carried the right to convert into one equity share at a predetermined conversion price of Rs. 50 per share.

Promoter Group Participation

The warrant conversion was executed by multiple entities from the promoter and promoter group category. Chandigarh Finance Private Limited led the conversion with 12,00,000 warrants, while other promoter group entities and individual promoters participated proportionally.

Shareholding Pattern Changes

The warrant conversion resulted in significant changes to the shareholding structure. The combined promoter and promoter group shareholding increased from 38.94% to 44.97%, strengthening management control. Chandigarh Finance Private Limited recorded the highest increase, with its stake rising from 4.96% to 8.70%.

Regulatory Compliance

The disclosures were made pursuant to Regulation 7(2) of SEBI (Prohibition of Insider Trading) Regulations, 2015. All required submissions were completed by the respective promoter group entities, with proper intimation to BSE Limited. The newly allotted equity shares rank pari-passu with existing equity shares and are subject to applicable lock-in provisions as per SEBI regulations.

Modern dairies Limited announced its unaudited financial results for the third quarter of fiscal year 2026, covering the period ended December 31, 2025. The Board of Directors approved these results during their meeting held on February 14, 2026, in Chandigarh, following review and recommendation by the Audit Committee.

Financial Performance Overview

The company's Q3FY26 performance reflected mixed results across key financial metrics. Net profit for the quarter declined to ₹121.65 lacs compared to ₹169.23 lacs in the preceding quarter, representing a sequential decrease of 28.1%. Revenue from operations also showed a downward trend, falling to ₹8,748.20 lacs from ₹8,195.85 lacs in Q2FY26.

Nine-Month Performance Analysis

For the nine-month period ended December 31, 2025, Modern Dairies Limited demonstrated resilience despite quarterly fluctuations. The company achieved revenue from operations of ₹24,774.33 lacs compared to ₹25,703.31 lacs in the corresponding period of the previous year. Net profit for the nine-month period stood at ₹455.94 lacs, significantly lower than ₹6,510.38 lacs in the previous year, primarily due to exceptional items recorded in the prior period.

Operational Cost Structure

The company's expense management showed mixed trends during Q3FY26. Cost of materials consumed increased to ₹6,754.88 lacs from ₹6,537.48 lacs in the preceding quarter. Employee benefits expense remained relatively stable at ₹401.25 lacs compared to ₹407.38 lacs in Q2FY26. Finance costs rose to ₹31.38 lacs from ₹26.40 lacs, while other expenses decreased to ₹1,016.36 lacs from ₹1,092.43 lacs in the previous quarter.

Earnings Per Share and Capital Structure

Earnings per share (basic) for Q3FY26 improved significantly to ₹24.84 compared to ₹1.78 in the preceding quarter. The diluted earnings per share also increased to ₹24.84 from ₹1.66 in Q2FY26. The company maintained its paid-up equity share capital at ₹2,565.89 lacs throughout the reporting periods.

Legal and Regulatory Matters

The company continues to address ongoing legal proceedings related to Milk Cess liability under the Haryana Murrah Buffalo and other Milch Animal Breed Act, 2001. Modern Dairies Limited has filed a Special Leave Petition before the Supreme Court and received an interim stay in September 2012. The company has provided ₹15.75 lacs for Milk Cess provision in the current quarter, bringing the total provision to ₹21.74 crores as of December 31, 2025. Out of this amount, ₹9.91 crores has already been deposited as per court orders.

Business Operations and Compliance

Modern Dairies Limited operates primarily in the manufacturing of milk and milk products, which constitutes a single primary reportable segment under Indian Accounting Standards. The financial results have been prepared in accordance with Ind-AS as prescribed under Section 133 of the Companies Act 2013 and SEBI guidelines. The statutory auditors have completed their limited review of the quarterly results and issued their report, which is available on the company's website at www.moderndairies.com .