Baroda rayon Corporation Limited has released its unaudited financial results for the quarter and nine months ended December 31, 2025, showing mixed performance with sequential decline in quarterly profitability despite year-over-year growth in nine-month metrics. The Board of Directors approved these results in their meeting held on February 13, 2026.

Quarterly Financial Performance

The company's Q3FY26 performance showed sequential moderation across key metrics. Net profit declined to ₹423.10 lakhs from ₹603.78 lakhs in Q2FY26, though remaining relatively stable compared to ₹426.23 lakhs in Q3FY25.

Nine-Month Performance Highlights

The nine-month period demonstrated stronger performance with improved year-over-year metrics. Total revenue increased to ₹4,936.27 lakhs from ₹4,502.20 lakhs in the corresponding period last year, representing growth of 9.64%.

Segment-wise Analysis

The company operates through two primary segments: Real Estate and Textiles. Real Estate remains the dominant revenue contributor, generating ₹1,284.17 lakhs in Q3FY26 compared to ₹38.91 lakhs from Textiles. The Real Estate segment showed strong profitability with segment results of ₹402.20 lakhs, while Textiles contributed ₹38.91 lakhs to segment results.

Exceptional Items and Cost Structure

The company reported exceptional income of ₹39.50 lakhs in Q3FY26, primarily due to write-off of sundry creditors amounting to the same amount that were no longer payable. Finance costs increased significantly to ₹57.51 lakhs from ₹42.62 lakhs in the previous quarter, impacting overall profitability.

Key Financial Metrics

The company maintains a strong balance sheet with total assets of ₹76,552.32 lakhs as of December 31, 2025, compared to ₹76,012.03 lakhs in the previous quarter. The paid-up equity share capital remains stable at ₹2,291.14 lakhs with a face value of ₹10 per share. Notably, the company has no current tax liability due to unabsorbed depreciation and brought forward business losses.

Operational Notes

The Textiles segment has remained operationally inactive since August 2008, with the company actively exploring new avenues to restart operations in this segment. The Real Estate segment focuses on sale of plots and industrial units, continuing to drive the company's primary business operations and revenue generation.

Baroda Rayon Corporation Limited has entered into a significant loan agreement with Unipat Rayon Limited, securing financial assistance up to ₹13.00 crores for business purposes. The company disclosed this development in compliance with regulatory requirements under SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Loan Agreement Details

The financial arrangement represents a strategic move by Baroda Rayon Corporation Limited to strengthen its capital position for business operations. The loan agreement provides the company with access to substantial funding through Unipat Rayon Limited.

Regulatory Compliance and Disclosure

The disclosure was made pursuant to Regulation 30 read with Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company has ensured full compliance with the regulatory framework.

Transaction Structure and Terms

The loan agreement does not involve any special rights such as director appointment rights, first right to share subscription, or restrictions on capital structure changes. The arrangement is structured as a straightforward financial assistance agreement without complex terms or conditions.

Corporate Governance and Transparency

Baroda Rayon Corporation Limited has demonstrated its commitment to corporate governance by ensuring timely disclosure of material agreements. The company has confirmed that the transaction does not fall within related party transactions, maintaining transparency in its financial dealings.

The loan facility provides the company with financial flexibility to pursue its business objectives while maintaining an unsecured structure. With no current outstanding amount as of the execution date, the company has the full facility available for utilization as per business requirements.