NewsCorporate ActionsSuryo Foods & Industries Approves Rs 6 Crore Rights Issue Amid Nil Revenue QuarterSuryo Foods & Industries Approves Rs 6 Crore Rights Issue Amid Nil Revenue Quarter
Suryo Foods & Industries Limited (BSE: 519604) has approved a rights issue of up to Rs 6 crore and released Q2 FY2026 results. The company reported zero operational revenue but managed a profit of Rs 152,000, down from Rs 185,000 in Q1. Other income of Rs 1,391,000 was the main profit contributor. Total expenses were Rs 826,000. The rights issue details are pending Board determination and regulatory approvals. An auditor's note mentioned reclassification of Rs 3.67 crore from non-current to current liabilities.
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Suryo Foods & Industries Limited , a company listed on the Bombay Stock Exchange (BSE: 519604), has announced a significant corporate action alongside its latest financial results. The Board of Directors has greenlit a rights issue and disclosed the company's performance for the quarter ending September 30, 2025.
Rights Issue Approval
The Board has approved a rights issue of equity shares with a face value of Rs 10 each, for an amount not exceeding Rs 6 crore. This move is aimed at raising capital from eligible shareholders. The specifics of the rights issue, including the price, entitlement ratio, record date, and timing, are yet to be determined by the Board and will be subject to necessary regulatory approvals.
Financial Performance
The company's financial results for the quarter and half-year ended September 30, 2025, paint a picture of minimal operational activity:
| Financial Metric | Q2 FY2026 (in Rs '000) | Q1 FY2026 (in Rs '000) |
|---|---|---|
| Revenue from Operations | 0 | 0 |
| Other Income | 1,391.00 | Not provided |
| Total Expenses | 826.00 | Not provided |
| Profit | 152.00 | 185.00 |
| Basic EPS (in Rs) | 0.43 | Not provided |
Key Observations
- Zero Operational Revenue: The company reported nil revenue from operations for the quarter, indicating a lack of core business activity.
- Profit Decline: Despite the absence of operational revenue, Suryo Foods & Industries managed to post a profit of Rs 152.00 thousand, lower than the previous quarter's Rs 185.00 thousand.
- Other Income: The company's other income of Rs 1,391.00 thousand appears to be the primary contributor to its profitability.
- Expenses: Total expenses for the quarter stood at Rs 826.00 thousand, suggesting tight cost management in the absence of operational activities.
Capital Structure
The company's paid-up equity share capital remains unchanged at Rs 39,600.00 thousand. With the announced rights issue, this figure is expected to increase, potentially altering the company's capital structure and shareholding pattern.
Auditor's Note
The limited review report by Sanjit Mohanty & Co., Chartered Accountants, highlights a reclassification of Rs 3.67 crore from non-current liabilities to current liabilities. This change is based on management's expectation that these amounts will be settled within the next twelve months.
Conclusion
Suryo Foods & Industries Limited's decision to pursue a rights issue comes at a time when the company is reporting no operational revenue. The move could be seen as an attempt to infuse capital for future operations or to strengthen the company's financial position. Investors and market watchers will likely keep a close eye on how the company utilizes the funds raised and whether it can revitalize its core business activities in the coming quarters.
Historical Stock Returns for Suryo Foods & Industries
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +4.98% | +21.46% | +20.55% | +55.16% | +36.03% | +195.09% |
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