Saraswati Saree Depot Limited has successfully obtained overwhelming shareholder approval for its strategic expansion into real estate development. The company announced the results of its postal ballot process on January 3, 2026, with shareholders demonstrating strong confidence in the diversification strategy by approving the alteration of the Memorandum of Association with 99.95% votes in favor.

Postal Ballot Results

The voting results reveal exceptional shareholder support for the company's expansion plans:

Voting Process and Compliance

The postal ballot was conducted through remote e-voting on the BigShare Services platform at https://ivote.bigshareonline.com . CS Devendra Deshpande of DVD & Associates, Company Secretaries, served as the appointed scrutinizer for the voting process. The e-voting facility remained open from December 2, 2025 (9:00 AM) to January 1, 2026 (5:00 PM), providing shareholders adequate time to participate.

The company has fulfilled all regulatory requirements under Section 110 of the Companies Act, 2013, and Regulations 30 and 44 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The detailed voting results and scrutinizer's report have been made available on the company's website and the e-voting platform.

Strategic Business Expansion

With the special resolution passed, Saraswati Saree Depot Limited can now officially expand beyond its traditional saree and garment trading business into real estate development. This diversification represents a significant strategic shift that could open new revenue streams for the textile company, which operates from Kolhapur, Maharashtra.

Corporate Governance

The postal ballot notice was dated November 14, 2025, and the entire process was overseen by Company Secretary & Compliance Officer Vidhi Bharat Oswal. The scrutinizer's report confirmed that the resolution secured the requisite majority of votes and may be considered to have been passed as a Special Resolution.

The successful approval marks a pivotal moment for Saraswati Saree Depot Limited as it embarks on its journey into the real estate sector, backed by overwhelming shareholder support and confidence in the company's diversification strategy.

Saraswati Saree Depot Limited, a leading organized saree wholesaler in India, has announced strong financial results for the second quarter of fiscal year 2026. The company reported a significant increase in revenue and profitability, driven by healthy sales during the Utsav season and early festival period.

Key Financial Highlights for Q2 FY26

Operational Performance

The company's revenue from operations surged to Rs. 208.39 crore, marking a robust 26.5% year-on-year growth. This impressive performance was attributed to strong sales in the Utsav segment and the early onset of the festive season, with Diwali falling in October this year.

EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) grew by 14.1% to Rs. 14.06 crore, reflecting the company's operational efficiency. However, the EBITDA margin experienced a slight contraction of 73 basis points, settling at 6.75% compared to 7.48% in the same quarter last year.

Profit After Tax (PAT) increased by 9.9% to Rs. 10.51 crore, demonstrating the company's ability to translate top-line growth into bottom-line results. The PAT margin stood at 5.04%, down 77 basis points from the previous year, primarily due to higher depreciation costs.

Financial Position

Saraswati Saree Depot maintained its debt-free status, showcasing strong financial health. The company reported cash reserves of Rs 31.32 crore, providing a solid foundation for future growth and expansion initiatives.

Expansion and Strategic Initiatives

In line with its growth strategy, the company has expanded its operations by establishing a new 25,000 sq ft purchase office in Surat. This move is expected to enhance the company's procurement capabilities and strengthen its presence in one of India's key textile hubs.

Management Commentary

Mr. Shankar Dulhani, Chairman & Executive Director of Saraswati Saree Depot Ltd., commented on the results: "Our performance in Q2 reflects the strength of our business model, the resilience of our categories, and the disciplined execution across all operational fronts. We continue to drive efficiencies across procurement, inventory handling, and store operations, while maintaining disciplined cost controls."

He further added, "The strong performance in Q2 was driven by our continued focus on volume growth, supported by healthy traction in the Utsav segment. Additionally, the early onset of the festive season provided a further boost to demand and enabled us to capture incremental sales."

Conclusion

Saraswati Saree Depot's Q2 FY26 results demonstrate the company's ability to capitalize on seasonal demand and execute its growth strategy effectively. The strong revenue growth, coupled with the expansion of operations and maintenance of a debt-free status, positions the company well for future growth. Investors and stakeholders will be watching closely to see how the company leverages its new purchase office in Surat and navigates the upcoming festive seasons to drive further growth and profitability.