Cello World Limited announced its unaudited financial results for the third quarter ended December 31, 2025, reporting consolidated revenue of ₹553.66 crore and net profit of ₹69.41 crore. The Board of Directors approved the results at their meeting held on February 14, 2026.

Consolidated Financial Performance

The company's consolidated financial results showed mixed performance compared to the previous quarter:

Management Commentary

Commenting on the results, Mr. Pradeep Rathod, Chairman & Managing Director, stated that the company generated revenues of ₹554 crore during Q3FY26, with EBITDA of 22.1% and PAT of 11.5%. He noted that this performance came despite strong festive offtake by channel partners in the previous quarter, coupled with mixed demand sentiments.

Segment Performance

The company's performance varied across different business segments during the quarter:

Standalone Results

On a standalone basis, the company reported revenue from operations of ₹253.72 crore for Q3FY26, with net profit of ₹8.55 crore. The standalone earnings per share stood at ₹0.39 for the quarter.

Capital Restructuring Initiative

The company announced a significant capital restructuring for its wholly-owned subsidiary, Cello Consumerware Private Limited (CCPL). The restructuring involves converting pre-existing inter-company loans of ₹500 crore into equity shares, along with a fresh capital infusion of ₹100 crore for additional equity shares. This transaction will not impact the ownership or control of the subsidiary.

Impact of Labour Codes

The company recorded exceptional items of ₹198.13 lakh on standalone basis and ₹743.82 lakh on consolidated basis due to the implementation of new Labour Codes notified by the Government of India on November 21, 2025. These codes consolidate 29 existing labour laws and have resulted in incremental impact on retiral benefits based on actuarial valuation.

Strategic Focus Areas

Looking ahead, the management is focusing on streamlining the product portfolio, expanding premium offerings, and reshaping sales channels with greater emphasis on emerging platforms. These initiatives are aimed at enhancing operational efficiency, strengthening margins, improving working capital management, and boosting ROCE over time.

Nine-Month Performance

For the nine months ended December 31, 2025, the company reported consolidated revenue of ₹1,670.12 crore and net profit of ₹201.38 crore, compared to revenue of ₹1,547.57 crore and net profit of ₹268.41 crore in the corresponding period of the previous year.

Investor Presentation

The company has released a comprehensive investor presentation for Q3FY26 results under Regulation 30, providing detailed insights into financial highlights, business segments, and growth drivers. The presentation was digitally signed by Company Secretary Hemangi Pragnesh Trivedi on February 14, 2026.

Cello World Limited has secured regulatory approval to expand its employee stock option program, receiving in-principle clearance from India's major stock exchanges for listing additional equity shares under its employee benefits scheme.

Exchange Approvals Received

The company announced that both the National Stock Exchange of India Limited and BSE Limited have granted in-principle approval for listing equity shares under the CELLO ESOP-2025 scheme. The approvals were issued on January 05, 2026, marking a significant milestone for the company's employee incentive program.

ESOP Scheme Details

The approval covers the listing of up to a maximum of 66,26,551 equity shares with a face value of ₹5.00 each. These shares will be issued to employees of Cello World Limited upon exercise of stock options granted under the CELLO ESOP-2025 scheme.

Regulatory Compliance Requirements

Both exchanges have outlined specific conditions that must be fulfilled before the final listing approval. The key requirements include:

• Notification to exchanges under Regulation 10(c) after allotment of securities
• Receipt of all statutory and regulatory approvals from SEBI, RBI, and MCA
• Compliance with SEBI (LODR) Regulations, 2015
• Adherence to Companies Act provisions and other applicable laws
• Submission of required documentation including board resolutions and allottee details

Documentation and Next Steps

The exchanges have specified that Cello World Limited must submit certified copies of various documents, including the statement under Regulation 10(c), board resolution of allotment, and detailed lists of allottees. The company must also provide confirmation from registrar and transfer agents regarding credit to beneficiary accounts or dispatch of physical certificates.

Both NSE and BSE have reserved the right to withdraw their in-principle approval if any information submitted is found to be incomplete, incorrect, or misleading. The final trading permission will be granted upon receipt of proper notification and compliance with all stated conditions.

The approval enables Cello World Limited to proceed with its employee stock option scheme, providing a mechanism to incentivize and retain talent through equity participation in the company's growth.