Chaman lal setia exports Ltd has delivered a strong turnaround in Q3 FY26, driven by a significant surge in export volumes and favorable market dynamics. The company's strategic positioning in global markets and enhanced brand presence through marquee events have contributed to robust demand across key international markets.

Financial Performance Highlights

The company reported impressive financial results for Q3 FY26, demonstrating strong operational leverage and margin expansion.

For the nine-month period FY26, the company recorded net sales of Rs. 1,011.2 crores compared to Rs. 1,127.6 crores in the corresponding period of the previous year, representing a decline of 10.3%. However, EBITDA margin improved to 10.36% from 9.55% in 9M FY25.

Export Volume Surge and Market Dynamics

The company achieved a drastic surge in export volumes to 48,965 MT in Q3 FY26, marking a pivotal turnaround for the export business. This growth was driven by strategic global stockpiling and rising rice consumption, partly due to food security concerns during geopolitical tensions. The company capitalized on shifting global dynamics and amplified brand presence through participation in marquee events like Anuga and Gulfood, along with multiple upcoming exhibitions.

Key markets showing significant volume growth included:

• Egypt
• Malaysia
• Dubai
• Israel-Palestine region

The surge in volume was further supported by a highly favorable pricing environment, with the company realizing price increases of 10%-20% across premium Basmati categories, specifically the 1509 and 1718 variants (Steam and Parboiled).

Operational Excellence and Business Model

The company operates a fully integrated farm-to-fork business model with strong operational metrics:

The company maintains an asset-light model with majority production through procurement of semi-finished rice and conversion to finished rice, keeping the overall processing cycle short and inventory risk lower. The procurement split shows 86% semi-finished to finished goods and 14% paddy to finished goods.

Strategic Advantages and Market Position

Chaman Lal Setia Exports benefits from several competitive advantages:

• Established Network: Strong relationships with commission agents across all mandis in basmati growing areas
• Quality Control: Stringent quality control measures with majority procurement on cash basis
• Global Presence: Exports to 90+ countries through 440+ distributors with average relationships of approximately 15 years
• Brand Recognition: Flagship brand 'Maharani' present in 35+ countries

The reduction of U.S. import tariffs from 25% to 18% represents a significant structural tailwind, lowering the landed cost of premium Basmati and strengthening competitiveness in the U.S. market.

Financial Strength and Working Capital Management

The company demonstrates prudent financial management with a net working cycle of approximately 188 days, significantly lower than industry peers. Key financial ratios for FY25 include:

The company's strong balance sheet position with low leverage provides ample headroom for future growth initiatives while maintaining financial discipline.

Chaman lal setia exports Ltd., a government-recognized Star Export House specializing in basmati rice exports, has scheduled an investor conference call to discuss its financial performance for the third quarter and nine months of FY26.

Conference Call Details

The company has organized the earnings call to provide insights into its financial results for the quarter ended December 31, 2025. The conference call is scheduled as follows:

Management Participation

The management team will be represented by Mr. Rajeev Setia, Joint Managing Director, who will lead the discussion on the company's Q3 & 9M FY26 financial performance. Investors and analysts interested in participating need to register using the provided link to receive joining details via email.

Regulatory Compliance

Chaman Lal Setia Exports Ltd. has informed both BSE and NSE about the scheduled conference call through a formal communication dated February 6, 2026. The notification was made pursuant to Regulation 30 read with Part A of Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Call Coordination

Kaptify Consulting, a strategy and investor relations advisory firm, is coordinating the conference call. The company has noted that the call will be held over Zoom and will be recorded in line with SEBI regulations. Additional information about the conference call is also available on the company's website at www.clsel.in .

The conference call represents an opportunity for investors and analysts to gain insights into the company's operational and financial performance during the third quarter of FY26, as well as the cumulative nine-month period performance.