Garg Furnace Reports Q1 Profit Dip, Appoints New Independent Director

Garg Furnace Limited, a manufacturer of iron and steel products, has announced its unaudited financial results for the first quarter, along with significant changes to its board of directors.

Financial Performance

The company reported a revenue from operations of ₹6,015.31 lakh, compared to ₹6,232.84 lakh in the corresponding quarter of the previous year, marking a slight decrease of 3.49%. The total income for the quarter stood at ₹6,037.86 lakh, down from ₹6,245.39 lakh in the same period last year.

Garg Furnace's net profit for the quarter came in at ₹124.88 lakh, showing a decline from ₹156.37 lakh in the previous year's corresponding quarter. The company's basic earnings per share (EPS) for the quarter was ₹2.49, compared to ₹3.39 in the same period last year.

Board Changes

In a significant development, the Board of Directors has appointed Mrs. Mehak Jain as an Additional Director (Non-Executive, Independent) of the company, effective August 14. Mrs. Jain, aged about 36 years, is a B.Com graduate with over two years of experience as a Company Secretary. Her appointment is for a term of five consecutive years, subject to shareholder approval at the upcoming Annual General Meeting.

Simultaneously, the Board accepted the resignation of Ms. Purti Katyal as Independent Director, effective August 14. Ms. Katyal cited personal reasons and pre-occupancy for her departure. She also stepped down from her positions in various board committees, including the Audit Committee, Nomination and Remuneration Committee, Stakeholders Relationship Committee, and Corporate Social Responsibility Committee.

Other Key Decisions

The Board of Directors made several other important decisions during their meeting:

1. Approval of material related party transactions for the current fiscal year with promoter group entities and key management personnel, subject to shareholder approval.

2. Scheduling of the 52nd Annual General Meeting for September 15, at the company's registered office in Ludhiana.

3. Setting the record date for e-voting for the AGM as September 8.

4. Approving the closure of the Register of Members and Share Transfer Books from September 9 to September 15.

The unaudited financial results were reviewed by the Audit Committee and subsequently approved by the Board of Directors. Ashwani & Associates, the statutory auditors, have expressed an unmodified opinion on these results.

Garg Furnace Limited continues to operate in the manufacturing of iron and steel products such as M.S. Round, Ingot, and Wire Rod. The company's financial statements are prepared in accordance with Indian Accounting Standards (Ind AS) as prescribed under Section 133 of the Companies Act, 2013.