Sandur Manganese & Iron Ores Limited (SMIORE) has reported strong quarterly results, with total income rising 84% year-on-year to ₹1,150.00 crore. The company's EBITDA grew 47% to ₹314.00 crore, while profit after tax increased 16% to ₹167.00 crore. However, the EBITDA margin declined to 27% compared to the previous year's levels.

The growth was primarily driven by the company's mining capacity expansions, with manganese ore capacity increased to 0.599 MTPA and iron ore to 4.45 MTPA. The integration of Arjas Steel, acquired in November 2024, also contributed to the company's performance.

Production and Sales

Production volumes remained strong, with manganese ore at 1.21 lakh tonnes and iron ore at 10.71 lakh tonnes, although sales volumes declined year-on-year for most segments. SMIORE, which holds the position of the 2nd largest manganese ore miner and 3rd largest iron ore miner in Karnataka, also commissioned a 42.9 MW renewable energy project.

Bonus Share Issue

In a significant move for shareholders, the Board of Directors has approved a bonus share issuance in the ratio of 2:1, subject to shareholder approval. This means shareholders will receive two new fully paid-up equity shares for every one existing share held.

Segment-wise Performance

The company's segment-wise performance was as follows:

Corporate Actions

• SMIORE has increased its authorized share capital from ₹200.00 crore to ₹600.00 crore to accommodate the bonus issue.
• The company has set September 10, 2025, as the record date for determining shareholder eligibility for the final dividend of ₹1.25 per equity share.
• The Board has re-appointed Bahirji Ajai Ghorpade as Managing Director for a period of three years, effective from October 1, 2025, to September 30, 2028, subject to shareholder approval.

Management Outlook

Management highlighted their focus on ramping up sales after capacity expansions and maximizing synergies from the steel acquisition. They also noted that seasonal softness is expected in steel markets due to the monsoon.

Annual General Meeting

The 71st Annual General Meeting is scheduled for September 17, 2025, to be held via video conferencing.

These strategic moves, including the bonus share issuance and leadership continuity, reflect SMIORE's commitment to shareholder value and long-term growth in the metals and mining sector.

Sandur Manganese & Iron Ores Limited (SMIORE) has announced a series of significant developments, including a bonus share issue, re-appointment of its Managing Director, and robust financial results for the first quarter.

Bonus Share Issue

The company's Board of Directors has approved a bonus issue in the ratio of 2:1, meaning shareholders will receive two new fully paid-up equity shares for every one existing share held. This move will see the issuance of approximately 32.41 crore new equity shares, increasing the total paid-up share capital from ₹162.03 crore to ₹486.10 crore.

Re-appointment of Managing Director

Bahirji Ajai Ghorpade has been re-appointed as the Managing Director for another three-year term, effective from October 1, 2025, to September 30, 2028. The decision, subject to shareholder approval, comes as recognition of Ghorpade's leadership, during which the company has achieved record-breaking turnover and profitability.

Q1 Financial Performance

For the quarter ended June 30, SMIORE reported strong financial results:

The company's consolidated revenue saw a significant year-on-year increase of 88.72%, while net profit rose by 15.64%.

Segment Performance

• Mining segment revenue stood at ₹370.42 crore
• Steel segment, which includes operations of subsidiary Arjas Steel Private Limited, contributed ₹724.94 crore to the total revenue

Expansion of Mining Capacity

SMIORE received approval from the Central Empowered Committee to enhance its Permissible Annual Production (PAP) limit. The new limits are:

• Manganese ore: Increased from 0.032 Million Metric Tonnes (MMT) to 0.049 MMT
• Iron ore: Set at 0.089 MMT for Mining Lease No. 2679

Additionally, the company is permitted to transport 0.327 MMT of already produced incidental iron ore over the next two financial years.

Looking Ahead

With these developments, Sandur Manganese & Iron Ores Limited appears well-positioned for growth. The bonus issue is likely to improve stock liquidity, while the increased production limits could potentially boost revenues in the coming quarters.

The upcoming Annual General Meeting, scheduled for September 17, 2025, will be a key event where shareholders will vote on these significant decisions, including the re-appointment of Bahirji Ajai Ghorpade as Managing Director and the proposed bonus issue.