Fervent Synergies Limited has announced its unaudited financial results for the second quarter and half-year ended September 30, 2025, showcasing significant growth in revenue and a substantial increase in profitability.

Financial Highlights

Key Takeaways

1. Revenue Growth: Fervent Synergies witnessed a substantial increase in revenue from operations, rising from ₹73.00 lakhs in H1 FY2025 to ₹136.65 lakhs in H1 FY2026, marking an 87.19% year-on-year growth.

2. Profitability: The company's net profit saw a significant jump to ₹81.61 lakhs in H1 FY2026, compared to ₹10.92 lakhs in the same period last year, representing a 647.34% increase.

3. Expense Management: Total expenses decreased by 10.84% year-on-year, from ₹62.36 lakhs to ₹55.60 lakhs, indicating improved operational efficiency.

4. Earnings Per Share: The EPS for H1 FY2026 stood at ₹0.16, a 300% increase from ₹0.04 in H1 FY2025.

5. Segment Performance: The company operates in two segments - food items trading and financing/investment. The finance business division contributed significantly to the revenue, while the food business division showed no revenue for the half-year.

6. Capital Structure: The paid-up equity share capital increased from ₹3,000 lakhs to ₹5,000 lakhs.

7. Cash Position: Cash and cash equivalents decreased to ₹1.28 lakhs as of September 30, 2025, from ₹5.53 lakhs at the beginning of the year.

8. Fundraising: The company raised ₹468.75 lakhs through proceeds from convertible share warrants during the period.

Board Approval and Auditor's Review

The Board of Directors approved these results in a meeting held on November 6, 2025. The statutory auditors have carried out a limited review of the results as per SEBI regulations, and no material misstatements were found.

Outlook

Fervent Synergies has shown impressive growth in revenue and profitability. The company's focus on the financing/investment segment appears to be driving its current growth. The increase in share capital and the raise through convertible warrants suggest that the company may be preparing for expansion or new initiatives.

Investors and market watchers may keep a close eye on how Fervent Synergies utilizes its newly raised capital and whether it can maintain its growth trajectory in the coming quarters.

Fervent Synergies Limited has reported a significant increase in both revenue and profit for the first quarter, while also confirming proper utilization of funds raised through a recent preferential issue.

Q1 Financial Highlights

The company's unaudited financial results for the quarter show impressive growth:

The company's revenue from operations doubled year-over-year, while net profit saw a remarkable increase of over 430%.

Segment-wise Performance

Fervent Synergies operates in two business segments:

1. Foods Business Division: No revenue was reported for this segment in Q1 FY2025-26.
2. Finance Business Division: Generated revenue of ₹68.25 lakhs, contributing to the entire revenue for the quarter.

The Finance Business Division showed strong performance, with a segment profit before tax of ₹68.02 lakhs.

Fund Utilization

The company confirmed that there has been no deviation in the use of ₹6.25 crores raised through a preferential issue of convertible warrants on April 3, 2025. These funds were allocated for capital expenditure and working capital requirements, as originally intended.

Corporate Actions

The Board of Directors has approved the following:

1. Convening of the 16th Annual General Meeting (AGM) on September 18, 2025, to be held through video conferencing.
2. Closure of the Register of Members and Share Transfer Books from September 12-18, 2025 (both days inclusive) for the purpose of the AGM.

Management Commentary

Sanjay P. Thakkar, Managing Director of Fervent Synergies Limited, stated, "We are pleased with our strong start to the fiscal year, with significant growth in both revenue and profitability. Our Finance Business Division has performed exceptionally well, and we remain committed to utilizing the funds raised through the preferential issue to drive further growth and enhance shareholder value."

The company's focus on financial services and proper fund utilization appears to be yielding positive results, as reflected in the robust Q1 performance.

Investors and stakeholders can access the detailed financial results and segment-wise reporting on the company's website or through the BSE portal.