Suraj Industries Ltd. has been imposed with a Rs. 10,000.00 fine by the BSE Limited for alleged non-compliance with Regulation 29 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The fine pertains to the prior intimation of a Rights Issue Committee meeting held on October 07, 2025.

Dispute and Company's Response

The company has contested the fine, asserting that it has fully complied with all prior intimation obligations under Regulation 29 for the Rights Issue Committee meeting. Suraj Industries has requested BSE to withdraw the penalty, maintaining that there has been no breach of regulatory requirements.

Financial Impact

According to the company's statement, the financial impact is limited to the fine amount of Rs. 10,000.00. Suraj Industries has emphasized that there are no operational effects resulting from this regulatory action.

Recent Corporate Actions

In a separate development, Suraj Industries recently amended its loan agreement with its material subsidiary, Carya Chemicals & Fertilizers Private Limited. The key points of this amendment include:

1. Increased Loan Amount: The sanctioned loan amount has been raised from Rs. 20.00 crores to Rs. 50.00 crores.
2. Interest Rates:
   • Rs. 8.14 crores of the loan will carry an interest rate of 15.00% per annum, effective from October 01, 2025.
   • The remaining amount will be charged at 9.85% per annum.
3. Loan Tenure: The loan is granted for a maximum period of 3 years from the date of disbursement, with the possibility of extension by mutual agreement.
4. Convertibility: The unsecured loan is convertible into equity shares of Carya Chemicals at the lender's discretion during the loan tenure.

Relationship Between Entities

Suraj Industries holds an 85.75% stake in Carya Chemicals & Fertilizers Private Limited, making it a material subsidiary. The loan transaction is classified as a related party transaction but is stated to be conducted on an arm's length basis.

As of the latest disclosure, Rs. 12.30 crores remain outstanding under the previous loan agreement executed on July 11, 2025.

These corporate actions highlight the ongoing financial arrangements and regulatory challenges faced by Suraj Industries. The company's response to the BSE fine and its expanded loan agreement with its subsidiary reflect its active management of both regulatory compliance and strategic financial decisions.

Suraj Industries Limited , a player in the liquor industry, has reported a significant increase in net loss for the second quarter of fiscal year 2026, according to the company's latest financial results.

Financial Performance

The company posted a net loss of Rs 77.45 lakhs for the quarter ended September 30, 2025, a substantial increase from the Rs 27.17 lakhs loss reported in the same quarter of the previous year. This represents a year-on-year increase in losses of approximately 185%.

Revenue from operations saw a slight improvement, rising to Rs 549.61 lakhs from Rs 533.00 lakhs in the corresponding quarter last year, marking a modest increase of about 3.1%.

Half-Year Results

The company's financial struggles appear to be more pronounced when looking at the half-year performance:

All figures in Rs lakhs

The half-yearly results show a significant deterioration in the company's financial health, with losses expanding by over 2000% and revenue declining by 18.2% compared to the same period in the previous fiscal year.

Segment Performance

Suraj Industries operates primarily in the liquor segment. For the quarter ended September 30, 2025:

• The liquor operations segment reported revenue of Rs 530.66 lakhs.
• The segment result (before finance costs and unallocable expenses) showed a loss of Rs 82.11 lakhs.

Balance Sheet Highlights

As of September 30, 2025, the company's balance sheet shows:

• Total assets of Rs 10,036.29 lakhs
• Shareholders' funds of Rs 8,183.43 lakhs
• Current liabilities of Rs 1,808.52 lakhs

Recent Corporate Action

In a separate development, Suraj Industries Limited has reported a change in its shareholding in M/s Shri Gang Industries and Allied Products Limited. Following an allotment of sweat equity shares by Shri Gang, Suraj Industries' stake in the company has been revised to 19.31% of the increased paid-up equity share capital.

Conclusion

Suraj Industries Limited's Q2 FY2026 results reflect a challenging period for the company, with widening losses and declining revenues. The company's performance in the coming quarters will be crucial in determining its ability to address these financial challenges and improve its overall financial health.