Cheviot Company Limited has delivered exceptional financial performance in Q3FY26, with the jute goods manufacturer reporting a remarkable turnaround in profitability. The company announced its unaudited financial results for the quarter ended December 31, 2025, following Board approval on February 14, 2026, in compliance with Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Outstanding Quarterly Performance

The company's Q3FY26 results demonstrate significant operational improvements across key financial metrics. Net profit witnessed an extraordinary surge, while revenue growth remained robust despite challenging market conditions.

Nine-Month Performance Highlights

The company sustained its growth momentum throughout the nine-month period, reflecting consistent operational excellence and strategic execution.

Operational Efficiency and Cost Management

Cheviot Company demonstrated improved cost management during Q3FY26, with total expenses rising at a slower pace than revenue growth. Cost of materials consumed increased to ₹8,654.03 lakhs from ₹5,719.27 lakhs in Q3FY25, while employee benefits expense grew marginally to ₹1,747.76 lakhs from ₹1,689.39 lakhs year-on-year.

The company maintained disciplined financial management with finance costs remaining stable at ₹9.85 lakhs compared to ₹10.67 lakhs in the previous year quarter. Other comprehensive income for Q3FY26 stood at ₹450.49 lakhs, contributing to total comprehensive income of ₹2,170.04 lakhs.

Corporate Governance and Regulatory Compliance

The financial results received approval from the Audit Committee and Board of Directors during meetings held on February 14, 2026, commencing at 11:30 a.m. and concluding at 12:30 p.m. The statutory auditors conducted a limited review of the unaudited financial results and provided an unmodified opinion.

As a focused jute goods manufacturer, Cheviot Company operates within a single primary business segment, eliminating the need for separate segment reporting. The company continues monitoring developments related to the New Labour Codes implemented from November 21, 2025, with management currently evaluating potential impacts on operations and workforce arrangements. The company has no subsidiary, associate or joint venture as of December 31, 2025.

Cheviot Company Limited has disclosed another significant acquisition of equity shares in Hindalco Industries Limited through secondary market purchase, as announced in a regulatory filing dated January 7, 2026. This latest transaction substantially expands the company's existing investment in the metal manufacturing giant, demonstrating continued confidence in Hindalco's long-term prospects.

Recent Acquisition Activity

The company has completed multiple purchases of Hindalco Industries Limited shares in early January 2026, significantly building its investment portfolio. The following table summarizes the recent transaction history:

Current Investment Position

Following the latest acquisition, Cheviot's investment position in Hindalco has grown substantially. The current holding details are presented below:

Target Company Profile

Hindalco Industries Limited, incorporated in 1958, remains a prominent player in the metal and metal products manufacturing sector. The company's robust financial performance continues to attract investor interest, as evidenced by Cheviot's repeated investments.

Note: Figures are on standalone basis

Investment Strategy and Rationale

Cheviot Company Limited has maintained its strategic approach to the investment, emphasizing that the share purchases are made without any intention to acquire control over Hindalco Industries Limited. The investment decision continues to be driven by Hindalco's strong fundamentals and leading market position in the metals sector. The company views these acquisitions as long-term investments, considering the target entity's consistent performance and market leadership.

Regulatory Compliance and Disclosure

The transactions fall under the purview of Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015. While the shareholding remains below 0.01% of Hindalco's share capital, the value of the acquisitions exceeds the threshold specified in Regulation 30(4)(i)(c) of the Listing Regulations, making the disclosures mandatory. The transactions do not constitute related party transactions, and Cheviot's promoter/promoter group/group companies maintain no interest in Hindalco Industries Limited. The shares were purchased through the stock exchange mechanism as part of the company's non-current investments strategy, requiring no governmental or regulatory approvals.