Kanani Industries Limited , a company listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE), has reported a change in its promoter shareholding. Harshil Premjibhai Kanani, a promoter of the company, has reduced his stake through open market transactions.

Transaction Details

Key Points

• Transaction Date: The disposal of shares took place on March 19, 2024.
• Method of Disposal: The shares were sold through open market transactions.
• Impact on Total Equity: The company's total equity share capital remained unchanged at 197,868,000 shares.

This transaction represents a marginal decrease in the promoter's shareholding, reducing it by 0.48 percentage points. The reasons for the share disposal have not been disclosed.

Despite this reduction, Harshil Premjibhai Kanani continues to hold a significant majority stake in Kanani Industries Limited, maintaining control over 57.63% of the company's total share capital.

Investors and market analysts may monitor any further changes in the promoter's shareholding pattern.

Kanani Industries Limited, a prominent player in the diamond industry, has released its unaudited financial results for the quarter ended June 30, showcasing a mixed performance across its standalone and consolidated operations.

Standalone Performance

On a standalone basis, Kanani Industries reported a net loss of Rs. 5.10 lakhs for the quarter, compared to a loss of Rs. 4.09 lakhs in the same quarter of the previous year. This represents a slight increase in losses year-over-year. The company's standalone revenue from operations stood at Rs. 1,020.46 lakhs.

Consolidated Results Show Strength

Despite the standalone loss, the company's consolidated performance painted a more positive picture. Kanani Industries achieved a consolidated net profit of Rs. 28.32 lakhs, marking a significant improvement from Rs. 25.98 lakhs in the corresponding quarter of the previous year. This represents an increase of approximately 9.01% in consolidated net profit.

The consolidated revenue from operations saw a substantial rise, reaching Rs. 8,369.46 lakhs compared to Rs. 6,654.44 lakhs in the same quarter last year, indicating a growth of about 25.77%.

Foreign Subsidiary Contribution

A key factor in the company's consolidated performance was the contribution from its foreign subsidiary, KIL International Limited. For the quarter, KIL International Limited contributed total revenues of Rs. 7,348.99 lakhs and a net profit of Rs. 33.42 lakhs, highlighting its significant role in the group's overall financial health.

Financial Stability

The company's paid-up equity share capital remained stable at Rs. 1,978.68 lakhs, with a face value of Re. 1 per share. This stability in share capital suggests that the company has not undergone any major changes in its equity structure during this period.

Corporate Governance

The financial results were reviewed by the audit committee and subsequently approved by the board of directors, adhering to proper corporate governance practices. The company has also appointed M/s. Deep Shukla, Practicing Company Secretary, as the scrutinizer for the upcoming Annual General Meeting (AGM) to ensure a transparent voting process.

Upcoming Annual General Meeting

Kanani Industries has announced that its 42nd Annual General Meeting will be held on Monday, September 29, at 11:00 A.M. through Video Conference (VC) or Other Audio-Visual Means (OAVM). The Register of Members and Share Transfer Books will remain closed from September 22 to September 29, for the purpose of the AGM.

Conclusion

While Kanani Industries faces challenges in its standalone operations, its consolidated performance, bolstered by its foreign subsidiary, shows resilience and growth in a competitive market environment. Investors and stakeholders will likely be watching closely to see how the company navigates these mixed results in the coming quarters.