Hindoostan Mills Limited announced its unaudited financial results for Q3 FY26 ended December 31, 2025, alongside a significant strategic decision to divest its textile operations. The company's Board of Directors, in their meeting held on February 10, 2026, approved both the quarterly results and the proposed sale of the textile division. Subsequently, the company fulfilled its regulatory obligations by publishing the financial results in newspapers under Regulation 47 of SEBI Listing Regulations.

Financial Performance Overview

The company's financial performance for Q3 FY26 showed contrasting results between continuing and discontinued operations:

Regulatory Compliance and Publication

Pursuant to Regulation 47 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015, Hindoostan Mills published its unaudited financial results in Free Press Journal (English) and Nav-Shakti (Marathi) newspapers on February 11, 2026. The publication was communicated to BSE Limited through a formal letter signed by Company Secretary Kaushik N Kapasi.

Operational Highlights

The continuing operations demonstrated improved profitability despite lower sales volumes. Net sales from operations decreased to Rs. 341.53 lakhs from Rs. 360.33 lakhs in the corresponding quarter of the previous year. However, other income significantly increased to Rs. 85.57 lakhs compared to Rs. 38.41 lakhs in Q3 FY25, primarily due to fair value gains on mutual fund investments amounting to Rs. 56.86 lakhs.

Nine-Month Performance Analysis

For the nine months ended December 31, 2025, the company's performance metrics were:

Strategic Textile Division Divestment

The Board of Directors approved the sale of the entire textile division situated at Karad, District Satara, Maharashtra. The key details of this strategic decision include:

The textile operations have been classified as discontinued since April 15, 2025, following the Board's decision to close the division. The company received a final closure order under Section 25(1)(2) of the Industrial Disputes Act, 1947, dated June 19, 2025, from the Ministry of Labour, Government of Maharashtra.

Earnings Per Share Analysis

The earnings per share metrics reflected the company's operational restructuring:

The company's paid-up equity share capital remained stable at Rs. 166.45 lakhs with a face value of Rs. 10 per share. The financial results were reviewed by the Audit Committee and approved by the Board of Directors, with S H R & Co. Chartered Accountants providing the limited review report confirming compliance with applicable accounting standards and listing regulations.

Hindoostan Mills Limited , a diversified company, has announced its financial results for the quarter ended June 30, revealing a mixed performance as the company undergoes significant operational changes.

Continuing Operations Show Improvement

The company's continuing operations, which now solely comprise the Engineering segment, reported a profit of Rs. 104.70 lakhs for the quarter. This marks a substantial improvement from the loss of Rs. 10.46 lakhs recorded in the previous quarter. However, net sales from operations decreased to Rs. 341.26 lakhs from Rs. 383.12 lakhs in the preceding quarter.

Discontinued Textile Operations Impact Overall Results

Despite the positive performance in continuing operations, Hindoostan Mills reported an overall net loss of Rs. 119.08 lakhs. This loss is primarily attributed to the discontinued textile operations, which incurred a loss of Rs. 223.78 lakhs during the quarter.

Textile Division Closure

The Board of Directors made a significant decision on April 15 to close down the Textile Division. The company received the final closure order on June 19 from the Ministry of Labour, State Government of Maharashtra. As a result of this closure, all workers from the discontinued division have been retrenched.

Financial Highlights

Other Notable Points

• Other income for the quarter included fair value gains on mutual fund investments amounting to Rs. 122.19 lakhs.
• Basic earnings per share from continuing operations stood at Rs. 6.29, compared to a loss of Rs. 0.63 in the previous quarter.
• The company now operates only in the Engineering segment as a continued operation.

Management Commentary

The management of Hindoostan Mills Limited stated that the decision to close the Textile Division was made after considering the outlook and scenario of the Textile business. They have recognized the likely adverse impact on assets and liabilities, including workers' liabilities, of the Discontinued Division in the previous period.

Future Outlook

With the closure of its Textile Division, Hindoostan Mills is now focused on its Engineering segment. The company's ability to turn a profit in its continuing operations despite the overall loss suggests a potential for improved performance in the coming quarters, as it streamlines its business focus.

Investors and stakeholders will be keenly watching how Hindoostan Mills navigates this transition period and capitalizes on its engineering capabilities in the future.