Ambica Agarbathies Aroma Industries Reports 16.4% Revenue Growth in H1 FY2026
Ambica Agarbathies Aroma Industries Limited announced financial results for H1 FY2026, ending September 30, 2025. Total income increased by 16.4% to ₹68.65 crore, with net profit marginally up at ₹2.07 crore. The Agarbathies Division generated ₹51.90 crore, while the Hotel Division contributed ₹16.76 crore. Despite overall growth, the company faces cash flow challenges in its hotel segment, leading to irregular EMI repayments to LIC Housing Finance Limited. Management expects to regularize these payments in the future.
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Ambica Agarbathies Aroma Industries Limited, a key player in the agarbathies and hospitality sectors, has announced its financial results for the second quarter and half-year ended September 30, 2025. The company demonstrated resilience with notable growth in revenue, despite facing challenges in its hotel division.
Financial Highlights
| Particulars (in ₹ crore) | H1 FY2026 | H1 FY2025 | YoY Change |
|---|---|---|---|
| Total Income | 68.65 | 58.99 | +16.4% |
| Net Profit | 2.07 | 2.05 | +1.0% |
| Basic EPS (in ₹) | 1.20 | 1.19 | +0.8% |
Segment-wise Performance
The company operates in two business segments:
- Agarbathies Division: Generated revenue of ₹51.90 crore in H1 FY2026.
- Hotel Division: Contributed ₹16.76 crore to the half-year revenue.
Key Observations
- The company's total income for H1 FY2026 stood at ₹68.65 crore, marking a significant increase of 16.4% compared to ₹58.99 crore in the same period last year.
- Net profit showed a marginal improvement, rising from ₹2.05 crore in H1 FY2025 to ₹2.07 crore in H1 FY2026.
- Basic earnings per share (EPS) for the half-year was ₹1.20, slightly up from ₹1.19 in the previous year.
Challenges and Outlook
The company acknowledged facing cash flow constraints in its hotel division, attributing these challenges to the lingering impact of COVID-19. As a result, there have been irregular repayments of EMIs to LIC Housing Finance Limited. However, the management expressed confidence in regularizing these payments moving forward.
Board Meeting and Audit Review
The unaudited financial results were reviewed by the company's statutory auditors and recommended by the Audit Committee. The Board of Directors approved these results at their meeting held on November 10, 2025.
Conclusion
While Ambica Agarbathies Aroma Industries Limited has shown robust top-line growth, the marginal increase in profitability suggests ongoing challenges, particularly in the hotel segment. The company's ability to manage its debt obligations and improve cash flows in the hotel division will be crucial for its financial health in the coming quarters.
Historical Stock Returns for Ambica Agarbathies
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -2.13% | -1.13% | -0.47% | -14.79% | -19.97% | +92.32% |
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