FGP Limited has delivered a strong financial performance for the quarter ended December 31, 2025, marking a significant turnaround from the previous year's losses. The Mumbai-based company reported comprehensive results that demonstrate both operational improvements and strategic diversification.

Financial Performance Highlights

The company's quarterly results show substantial improvement across key metrics:

Nine-Month Performance Analysis

For the nine months ended December 31, 2025, FGP Limited maintained its positive momentum:

Business Diversification Strategy

A significant development during the quarter was the company's entry into commodity trading activities. This strategic move has resulted in the establishment of two distinct business segments:

• Business Centre: Generated revenue of ₹6.54 lakhs in Q3 FY26
• Commodity Trading: New segment contributing ₹3.70 lakhs in revenue

The segment-wise performance shows the Business Centre reporting a loss of ₹0.17 lakhs, while the new Commodity Trading segment recorded a loss of ₹3.17 lakhs, likely due to initial setup costs and market entry expenses.

Operational Metrics and Expenses

The company's expense management showed mixed results during the quarter. Total expenses decreased to ₹27.16 lakhs from ₹34.87 lakhs in the previous year. Key expense categories included:

• Employee benefits expenses: ₹9.02 lakhs (vs ₹5.29 lakhs in Q3 FY25)
• Other expenses: ₹17.91 lakhs (vs ₹29.38 lakhs in Q3 FY25)
• Depreciation: ₹0.23 lakhs (vs ₹0.20 lakhs in Q3 FY25)

The company also recorded purchase of stock-in-trade worth ₹76.78 lakhs, offset by corresponding changes in inventories, reflecting the new commodity trading operations.

Regulatory Compliance and Corporate Governance

The Board of Directors approved the unaudited financial results at their meeting held on January 29, 2026. The results were reviewed by the Audit Committee and subjected to limited review by statutory auditors MVK Associates, who issued an unmodified conclusion. The company maintains its paid-up equity share capital at ₹1,189.51 lakhs with a face value of ₹10 per share.

Impact of New Labour Codes

FGP Limited has implemented the New Labour Codes that became effective from November 21, 2025. The company recognized an incremental liability of ₹0.87 lakhs for employee benefit obligations relating to gratuity and leave encashment, demonstrating proactive compliance with regulatory changes.

FGP has announced its unaudited financial results for the quarter and half-year ended September 30, 2025, showcasing a notable improvement in profitability and financial position.

Financial Highlights

Key Performance Insights

FGP demonstrated a strong financial performance in the second quarter of FY2026:

1. Revenue Growth: The company's revenue from operations increased to ₹6.55 lakhs in Q2 FY2026, up from ₹6.15 lakhs in the same quarter last year, representing a 6.5% year-on-year growth.

2. Profit Surge: Net profit for Q2 FY2026 stood at ₹5.00 lakhs, compared to ₹6.14 lakhs in Q2 FY2025. While this shows a slight decrease, it's important to note the significant quarter-on-quarter improvement from ₹27.32 lakhs in Q1 FY2026.

3. Half-Yearly Performance: For H1 FY2026, FGP reported a total income of ₹79.94 lakhs, up from ₹71.31 lakhs in H1 FY2025, marking a 12.1% increase. The net profit for H1 FY2026 was ₹32.32 lakhs, slightly lower than the ₹34.61 lakhs reported in H1 FY2025.

4. Earnings Per Share: The basic and diluted EPS for Q2 FY2026 stood at ₹0.04, while for H1 FY2026, it was ₹0.27.

Balance Sheet Strengthening

As of September 30, 2025, FGP's balance sheet showed notable improvements:

• Total Assets: Increased to ₹401.35 lakhs from ₹364.63 lakhs as of March 31, 2025.
• Investments: Rose to ₹309.61 lakhs from ₹298.65 lakhs.
• Cash Position: Significantly improved with cash and cash equivalents reaching ₹67.14 lakhs, up from ₹2.47 lakhs at the end of the previous fiscal year.

Management Commentary and Outlook

The Board of Directors approved these unaudited financial results at their meeting held on October 13, 2025. The statutory auditors, MVK Associates, have issued an unmodified conclusion on the financial results, affirming the company's adherence to accounting standards and regulatory requirements.

FGP continues to operate in a single segment identified as the Business Centre, as per Ind AS 108 requirements. The company's focus on this segment appears to be yielding positive results, as evidenced by the improved financial metrics.

Conclusion

FGP's Q2 FY2026 results reflect a company on a growth trajectory, with improved operational performance and a strengthened financial position. The significant increase in cash and cash equivalents, along with steady revenue growth, positions the company well for future opportunities and challenges in the Business Centre segment.

Investors and stakeholders may find encouragement in the company's ability to maintain profitability and improve its balance sheet position amidst the evolving business landscape. As FGP continues to focus on its core business segment, market observers will be keen to see how these positive trends translate into long-term value creation for shareholders.