AG Ventures Limited, formerly known as Oriental Carbon & Chemicals Limited, has released its unaudited financial results for the first quarter of the fiscal year 2025-26, revealing a substantial loss primarily attributed to the demerger of its chemicals business.

Standalone Performance

The company reported standalone revenue from operations of Rs 227.02 crore for the quarter ended June 30, 2025, compared to Rs 241.92 crore in the previous quarter and Rs 677.68 crore in the same quarter last year. This represents a significant year-on-year decline of 66.50%.

The most notable figure in the results was an exceptional items loss of Rs 374.95 crore related to the demerger of AG Ventures' chemicals business. Consequently, after accounting for these exceptional items, the company reported a loss after tax of Rs 375.21 crore from continuing operations.

Consolidated Results

On a consolidated basis, which includes the results of its subsidiary Duncan Engineering Limited, AG Ventures posted revenue from operations of Rs 18.68 crore, lower than the Rs 20.90 crore reported in the previous quarter.

Business Restructuring and Delisting

The company has undergone significant changes in its corporate structure:

• AG Ventures has demerged its chemicals business, which has had a substantial impact on its financial performance this quarter.
• The company has voluntarily delisted its equity shares from the National Stock Exchange of India (NSE).
• It continues to be listed on the BSE Limited, ensuring that shareholders can still trade their shares.

Management Commentary

Arvind Goenka, Chairman of AG Ventures Limited, stated, "The quarter's results reflect the significant impact of our strategic decision to demerger our chemicals business. While this has resulted in a substantial one-time loss, we believe this restructuring will position AG Ventures for focused growth in its core areas going forward."

Looking Ahead

As AG Ventures navigates through this transition phase, investors and market watchers will be keen to see how the company performs in the coming quarters without its chemicals business. The management's ability to drive growth in its remaining business segments will be crucial in determining the company's future trajectory.

The board meeting for the approval of these results was held on August 4, 2025, commencing at 1:00 PM and concluding at 2:30 PM.

Investors are advised to consider these results in the context of the company's ongoing restructuring efforts and to watch for further updates on AG Ventures' business strategy in the post-demerger scenario.

Oriental Carbon & Chemicals , a microcap company with a market capitalization of Rs 302.00 crore, saw its stock price soar 20% following news of Bank of America's recent stake acquisition. The stock closed at Rs 302.40 on the Bombay Stock Exchange (BSE), significantly outperforming the benchmark Sensex index.

Bank of America's Strategic Move

Bank of America has made a notable entry into Oriental Carbon & Chemicals' shareholder list. The global banking giant purchased 53,428 shares of the company at Rs 289.53 per share. This transaction amounted to a total investment of Rs 1.50 crore, signaling potential interest in the microcap sector.

Stock Performance

The market reacted positively to this development, with Oriental Carbon & Chemicals' stock price witnessing a substantial uptick:

This significant price movement has brought attention to the company, which operates in the chemicals sector.

Implications and Outlook

While the reasons behind Bank of America's investment decision are not explicitly stated, such moves by major financial institutions often attract investor interest, particularly in the microcap segment. The substantial price increase suggests that market participants view this development positively.

Investors and market analysts will likely keep a close eye on Oriental Carbon & Chemicals in the coming days to see if this momentum continues and whether it leads to any changes in the company's operations or strategy.

As always, investors are advised to conduct their own research and consider their risk tolerance when making investment decisions, especially in the volatile microcap sector.