Greaves Cotton has announced its Q3FY26 financial results, demonstrating solid revenue growth alongside strategic business developments. The company's Board of Directors approved the standalone and consolidated unaudited financial results for the quarter ended December 31, 2025, showcasing continued operational strength despite regulatory challenges.

Q3FY26 Financial Performance

The company delivered robust financial performance across key metrics, with revenue growth complemented by operational improvements during the quarter.

Regulatory Impact and Exceptional Items

The company's profitability was significantly impacted by exceptional items totaling ₹15.75 crores in standalone results and ₹19.26 crores in consolidated results. These charges primarily arose from the Government of India's notification of four Labour Codes on November 21, 2025, which consolidated 29 existing labour laws.

The incremental impact stems from changes in wage definition under the new regulatory framework. Greaves Cotton assessed this impact based on draft Central Rules and FAQs published by the Ministry of Labour & Employment, following guidance from the Institute of Chartered Accountants of India.

Segment-wise Performance

The consolidated results showcase diversified business performance across multiple segments during Q3FY26.

Board Meeting and Corporate Governance

The Board of Directors meeting was held on February 6, 2026, commencing at 10:00 a.m. IST and concluding at 01:15 p.m. IST. The meeting considered and approved both standalone and consolidated unaudited financial results, as reviewed and recommended by the Audit Committee on February 4, 2026.

The financial results underwent limited review by statutory auditors Price Waterhouse Chartered Accountants LLP, who issued unmodified review reports for both standalone and consolidated results. The company has made these documents available on its website under the 'Investors' section.

Nine-Month Performance Overview

For the nine months ended December 31, 2025, Greaves Cotton demonstrated strong year-over-year growth in standalone operations, with revenue increasing to ₹1,667.01 crores from ₹1,414.61 crores, representing an 17.8% improvement. Standalone net profit for the nine-month period reached ₹152.32 crores compared to ₹124.06 crores in the corresponding period last year.

Greaves Cotton Limited has announced the allotment of 51,676 equity shares under its Employee Stock Option Plan 2020, following approval from the Nomination and Remuneration Committee of the Board of Directors on February 4, 2026. The allotment represents the exercise of stock options by eligible employees at the predetermined exercise price.

Share Allotment Details

The committee approved the allotment of equity shares with specific financial parameters that demonstrate the structured nature of the employee stock option exercise.

The exercise price of Rs. 2 per share matches the face value of the equity shares, indicating that the options were granted at par value. The total amount received by the company from this exercise stands at Rs. 1,03,352.

Impact on Share Capital

The allotment has resulted in an increase in the company's overall share capital structure. Following the allotment, Greaves Cotton's capital composition has been updated to reflect the additional equity shares.

The newly allotted equity shares will rank pari-passu with the existing equity shares of the company in all respects, ensuring equal rights and privileges for all shareholders.

Regulatory Compliance

The allotment was conducted in compliance with the Securities and Exchange Board of India regulations. The company has fulfilled its disclosure obligations under Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, by informing both the BSE and National Stock Exchange of India Limited about this corporate action.

The Employee Stock Option Plan 2020 continues to serve as a mechanism for employee retention and motivation, allowing eligible employees to participate in the company's equity growth while contributing to the overall capital base of Greaves Cotton Limited.