News Earnings Gillanders Arbuthnot Reports Q3 FY26 Financial Results with Decline in Revenue and ProfitGillanders Arbuthnot Reports Q3 FY26 Financial Results with Decline in Revenue and Profit
Gillanders Arbuthnot announced Q3 FY26 results showing significant declines in both standalone and consolidated performance. Standalone net profit dropped 60.79% to Rs 596.99 lakhs while revenue fell 15.78% to Rs 10,408.71 lakhs. The company implemented New Labour Codes resulting in additional employee benefit expenses of Rs 147.20 lakhs.
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Gillanders Arbuthnot and Company Limited announced its unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2025. The Board of Directors approved the results at their meeting held on February 6, 2026, following recommendations from the Audit Committee.
Standalone Financial Performance
The company's standalone financial performance for Q3 FY26 showed a decline compared to the previous year. Revenue from operations decreased significantly, while profitability was impacted across key metrics.
| Metric: | Q3 FY26 | Q3 FY25 | Change (%) |
|---|---|---|---|
| Revenue from Operations: | Rs 10,408.71 lakhs | Rs 12,358.22 lakhs | -15.78% |
| Net Profit: | Rs 596.99 lakhs | Rs 1,522.76 lakhs | -60.79% |
| Total Income: | Rs 10,381.23 lakhs | Rs 12,384.38 lakhs | -16.17% |
| Earnings Per Share: | Rs 2.80 | Rs 7.13 | -60.73% |
For the nine-month period ended December 31, 2025, the company reported revenue from operations of Rs 30,475.14 lakhs compared to Rs 32,586.24 lakhs in the corresponding period of the previous year. Net profit for the nine-month period stood at Rs 1,879.02 lakhs versus Rs 3,054.63 lakhs in the previous year.
Consolidated Results
The consolidated financial results, which include subsidiaries Gillanders Holdings (Mauritius) Limited and step-down subsidiary Naming'omba Tea Estates Limited, also reflected similar trends.
| Metric: | Q3 FY26 | Q3 FY25 | Change (%) |
|---|---|---|---|
| Revenue from Operations: | Rs 10,683.11 lakhs | Rs 12,763.89 lakhs | -16.31% |
| Net Profit: | Rs 454.40 lakhs | Rs 1,303.00 lakhs | -65.12% |
| Earnings Per Share: | Rs 2.13 | Rs 6.11 | -65.14% |
Segment-wise Performance
The company operates across four main business segments: tea, engineering (MICCO), textiles, and property. The segment-wise revenue performance for Q3 FY26 showed mixed results across different divisions.
| Segment: | Q3 FY26 Revenue | Q3 FY25 Revenue | Change (%) |
|---|---|---|---|
| Tea: | Rs 6,349.77 lakhs | Rs 5,429.20 lakhs | +16.96% |
| Engineering (MICCO): | Rs 1,778.35 lakhs | Rs 4,380.89 lakhs | -59.40% |
| Textiles: | Rs 2,039.64 lakhs | Rs 2,345.17 lakhs | -13.02% |
| Property: | Rs 253.93 lakhs | Rs 215.94 lakhs | +17.59% |
The tea segment showed positive growth, while the engineering division experienced a significant decline in revenue. The textiles segment also recorded lower revenues compared to the previous year.
Impact of New Labour Codes
The company disclosed that pursuant to the notification by the Ministry of Labour and Employment, the New Labour Codes became effective from November 21, 2025. The company reassessed its employee benefit obligations, resulting in an incremental liability of Rs 147.20 lakhs charged to the Profit and Loss Account under "Employee Benefits Expense" for the quarter and nine months ended December 31, 2025.
Auditor's Review
The financial results were subject to limited review by JKVS & Co., Chartered Accountants, the company's statutory auditors. The auditors noted that they did not review the financial results of the Engineering (MICCO) Division, which were reviewed by other auditors. The MICCO division reported total assets of Rs 12,032.48 lakhs as of December 31, 2025, with revenues of Rs 1,781.19 lakhs for the quarter.
Historical Stock Returns for Gillanders Arbuthnot
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -5.37% | -0.58% | -3.75% | -24.73% | -15.71% | +140.64% |
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