Cupid Breweries and Distilleries Limited announced its unaudited financial results for the second and third quarters of FY26 on January 29, 2026. The company reported continued losses across both quarters as it scales up operations in the alcoholic beverages sector.

Q2 FY26 Standalone Financial Performance

The company's standalone results for the quarter ended September 30, 2025 showed challenging operational metrics:

Q3 FY26 Standalone Financial Performance

For the quarter ended December 31, 2025, the standalone performance continued to reflect operational challenges:

Consolidated Financial Results

The consolidated results, which include subsidiary Crochet Industries Private Limited, showed larger losses:

Capital Structure Changes

The company underwent significant capital restructuring during the period:

The capital increase resulted from preferential allotment, including Crochet Industries becoming a subsidiary through 5,00,12,411 newly allotted equity shares and conversion of unsecured loans from directors into 10,10,591 equity shares.

Board Authorizations

The Board of Directors authorized key management personnel for strategic initiatives:

Acquisition Activities:

• Execute non-disclosure agreements for evaluation and due diligence
• Negotiate potential acquisitions of units, equity shares, business control, or undertakings
• Engage with companies, LLPs, partnership firms, or proprietorship concerns

Business Development:

• Enter into marketing arrangements and distributor appointments
• Establish business development arrangements for revenue generation
• Focus on profit generation for the company and its subsidiaries

Operational Context

The company noted it is scaling up operations with related expenses for revenue generation to be amortized against resulting benefits. The business model progresses from re-listing in December 2024 to listing new shares in June 2025, targeting scalable revenue streams from the third quarter with own asset base, brands, aligned contract bottling units, and required state excise licenses.

The financial results were reviewed by the Audit Committee and approved by the Board of Directors, with independent auditor reviews conducted by M M R S AND CO, Chartered Accountants.

Cupid Breweries and Distilleries Limited conducted an Extra-Ordinary General Meeting on January 27, 2026, through video conferencing to address several strategic business resolutions aimed at capital expansion and corporate restructuring. The meeting commenced at 12:00 noon IST and concluded at 12:32 PM IST, with all proceedings conducted in accordance with Ministry of Corporate Affairs and Securities and Exchange Board of India circulars.

Board Participation and Leadership

The EGM was presided over by Mr. Erramilli Venkatachalam Prasad, Chairman cum Managing Director, who authorized Mr. Sachin Rawat, Chief Financial Officer and Company Secretary, to conduct the meeting proceedings. All eight directors participated virtually from different locations across India.

Key Resolutions and Strategic Initiatives

The meeting addressed seven critical resolutions covering capital restructuring, strategic acquisitions, and financial arrangements. The primary resolution involved increasing the company's authorized share capital from Rs. 63,00,00,000 to Rs. 111,00,00,000, representing a substantial expansion in the company's capital base.

Strategic Equity Transactions

Two special resolutions focused on equity share issuances on preferential basis for consideration other than cash through equity swaps:

Financial Arrangements and Credit Facilities

The company sought approval for significant financial arrangements to support its operational and expansion requirements. Resolution No. 5 addressed approval for raising funds through External Commercial Borrowings (ECB), while Resolution No. 6 covered extension of existing unsecured loan agreements with directors and continuation of outstanding unsecured loans.

A major financial resolution involved approval for availing working capital credit facilities up to Rs. 900 crores from various banking institutions including UCO bank, PSU banks, private and scheduled banks, and financial institutions.

Voting Process and Compliance

The company provided comprehensive voting facilities to shareholders through remote e-voting via the NSDL system from January 24, 2026 (9:00 AM) to January 26, 2026 (5:00 PM). Members who had not participated in remote voting were given opportunities to vote electronically during the EGM and up to 15 minutes after its conclusion. Ms. Neha Poddar, Practicing Company Secretary, served as Scrutinizer to oversee the voting process.

Shareholders registered as speakers were provided opportunities to express views and ask questions, with the Chairman and Finance Director responding to all queries raised during the proceedings. The consolidated results of remote e-voting and e-voting during the EGM will be announced after scrutiny and submitted to Stock Exchanges, placed on the company's website, and NSDL's website in accordance with SEBI regulations.