A1 (formerly A-1 Acid Limited) has announced its financial results for the quarter and half-year ended September 30, 2025, revealing a mixed performance amidst challenging conditions.

Financial Highlights

For the half-year period, A1 reported:

*As of March 31, 2025

The company experienced a significant decline in profitability, with profit after tax dropping by 63.10% compared to the same period last year. This decrease came alongside a 13.36% reduction in revenue from operations.

Operational Performance

A1, which primarily operates in trading of acids and chemicals, faced several challenges during the period:

1. Fire Incident: On April 12, 2025, a major fire broke out at the company's registered office, impacting building, plant machinery, and other assets. The company has stated that it is adequately insured and has lodged claims following the completion of a survey.

2. Working Capital Management: The company saw significant movements in its working capital, including a substantial decrease in trade receivables and an increase in other current assets.

3. Debt Reduction: A1 reduced its short-term borrowings from 2,092.54 lacs as of March 31, 2025, to 1,691.82 lacs by September 30, 2025, indicating efforts to manage its debt position.

Future Outlook

While the company faces immediate challenges, it has taken steps that may position it for future growth:

1. Investment in Associate: The company invested 23.00 lacs in an associate entity during the half-year period.

2. Capital Work in Progress: A1 reported 80.27 lacs in capital work in progress, suggesting ongoing expansion or improvement projects.

3. Regulatory Compliance: The company noted that it will assess the impact of the Code on Social Security, 2020, once it comes into effect, which may affect its contributions towards provident fund, gratuity, and ESIC.

The Board of Directors approved these unaudited financial results at their meeting held on November 11, 2025. As A1 navigates through the aftermath of the fire incident and a challenging economic environment, stakeholders will be closely watching how the company's strategies unfold in the coming quarters.

Note: All figures are in Indian Rupees (INR) lacs unless otherwise stated.

A1 , formerly known as A-1 Acid Limited, has announced a strategic move to strengthen its position in the electric vehicle (EV) sector. The company's board of directors has approved an increase in its partnership interest in A-1 Sureja Industries, a firm specializing in the manufacture of battery-operated electric two-wheelers and electrical vehicles.

Key Details of the Acquisition

Strategic Implications

The acquisition aligns with A1's strategic objective of diversifying from its existing chemicals and logistics operations into the emerging Electric Mobility and Green Energy segments. By increasing its stake from 45% to 51%, A1 will gain management control and operational oversight of A-1 Sureja Industries.

Impact on Corporate Structure

Upon completion of the transaction, A-1 Sureja Industries will become a subsidiary of A1. This change in status will allow A1 to consolidate A-1 Sureja Industries' operations under its management, potentially leading to better strategic alignment and integration of sustainability initiatives.

Financial Considerations

The company has stated that the acquisition is not considered material under regulatory thresholds and will be funded through internal accruals. The revenue contribution of A-1 Sureja Industries will be consolidated with A1's financial statements from the effective date of control.

Regulatory Compliance

The transaction is subject to the completion of all regulatory and statutory formalities. It will take effect upon the execution of a revised partnership deed and fulfillment of necessary regulatory requirements.

Market Outlook

This move by A1 reflects the growing interest in the electric vehicle sector among Indian companies. As the EV market in India continues to expand, such strategic acquisitions could play a crucial role in shaping the competitive landscape of the industry.

The board meeting that approved this decision was held on October 27, 2025, at the company's registered office in Ahmedabad. A1 has emphasized that this intimation contains factual statements and does not make any forward-looking representations beyond those required by applicable law.