Elango Industries Limited has published its unaudited standalone financial results for the quarter and nine months ended December 31, 2025, in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Financial Performance Overview

The company's financial performance for Q3FY26 showed mixed results compared to the previous year. The Chennai-based industrial company reported operational challenges during the quarter under review.

Nine-Month Performance Analysis

For the nine-month period ended December 31, 2025, Elango Industries recorded total income from operations of Rs 23.88 lakhs compared to Rs 94.82 lakhs in the corresponding period of the previous year, representing a significant decline in operational revenue.

Capital Structure and Compliance

The company maintained its equity share capital at Rs 382.16 lakhs with a face value of Rs 10 per share throughout the reporting periods. Other equity excluding revaluation reserves stood at Rs (13.27) lakhs as of December 31, 2025.

Board Approval and Regulatory Filing

The unaudited financial results were reviewed by the Audit Committee and subsequently approved by the Board of Directors at their meeting held on February 13, 2026. Company Secretary Nitesh Kumar Sharma communicated the newspaper publication of these results to BSE Limited, fulfilling the regulatory disclosure requirements.

The results are available on the company's website at www.elangoindustries.com and on the BSE website. The company has provided QR codes for easy access to the detailed financial statements, ensuring transparency and accessibility for stakeholders.

Elango Industries Limited has reported its financial results for the second quarter of the fiscal year 2026, showing a reduction in net loss despite challenges in revenue growth. The company's performance indicates some improvement in its financial position, although concerns remain regarding a long-standing electricity subsidy receivable.

Financial Highlights

For the quarter ended September 30, 2025, Elango Industries reported the following key figures:

All figures in Rs. lakhs

The company's revenue from operations saw a significant year-on-year increase, rising from Rs 0.18 lakhs in Q2 FY25 to Rs 2.52 lakhs in Q2 FY26. This substantial growth in revenue, however, should be viewed in the context of the low base in the previous year.

Despite the revenue growth, Elango Industries continued to report a net loss, albeit significantly reduced from the same quarter last year. The net loss for Q2 FY26 stood at Rs 0.94 lakhs, compared to Rs 3.15 lakhs in Q2 FY25, representing a 70.16% reduction in losses.

Half-Year Performance

For the half-year period ended September 30, 2025:

All figures in Rs. lakhs

The company's half-yearly results also showed improvement, with revenue from operations increasing by 426.89% and net loss decreasing by 54.24% compared to the same period in the previous fiscal year.

Auditor's Qualification

The company's auditors, P. Pattabiramen & Co., have issued a qualified conclusion in their review report. The qualification pertains to an electricity subsidy receivable of Rs 1.10 crores, which has been pending for a long period. The auditors stated that due to inadequate information about its present status, they are unable to ascertain the recoverability of this balance.

It's worth noting that this qualification has been continuing since March 2022, indicating an ongoing issue that the company has yet to resolve satisfactorily.

Management's Response

In response to the auditor's qualification, the management of Elango Industries stated that they are in the process of recovering the electricity subsidy amount and consider it recoverable. The company has committed to taking appropriate steps to recover the outstanding amount of Rs 1,09,96,636/-.

Other Key Points

1. The company confirmed that there were no deviations in the use of IPO proceeds.
2. All promoter shareholdings are held in dematerialized form, in compliance with SEBI regulations.
3. The company's Board of Directors approved these unaudited financial results at their meeting held on November 11, 2025.

While Elango Industries has shown some improvement in its financial performance, the persistent issue of the electricity subsidy receivable and continued losses highlight ongoing challenges for the company. Investors and stakeholders may want to monitor how the company addresses these issues in the coming quarters.