News Earnings HLV Limited Reports Q3FY26 Results with Rs 687 Lakhs Net Profit and Board Re-appointmentHLV Limited Reports Q3FY26 Results with Rs 687 Lakhs Net Profit and Board Re-appointment
HLV Limited reported Q3FY26 net profit of Rs 687 lakhs versus Rs 1,027 lakhs in Q3FY25, while nine-month performance showed a loss of Rs 652 lakhs compared to profit of Rs 1,538 lakhs in the previous year. The Board approved re-appointment of Mr. Ashok Rajani as Independent Director for five years from March 30, 2026. The company faces ongoing legal disputes with AAI involving disputed amounts of Rs 17,009 lakhs cumulatively.
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HLV Limited announced its unaudited financial results for the third quarter and nine months ended December 31, 2025, along with key board decisions during its meeting held on February 12, 2026. The hospitality company reported mixed performance with quarterly profits but nine-month losses amid ongoing legal disputes.
Financial Performance Overview
The company's financial performance for Q3FY26 showed resilience with a net profit of Rs 687 lakhs compared to Rs 1,027 lakhs in the corresponding quarter of the previous year. However, the nine-month period reflected challenges with a net loss of Rs 652 lakhs against a profit of Rs 1,538 lakhs in the previous year.
| Financial Metrics | Q3FY26 | Q3FY25 | Change |
|---|---|---|---|
| Total Income | Rs 6,372 lakhs | Rs 6,081 lakhs | +4.78% |
| Net Sales/Operations | Rs 6,090 lakhs | Rs 5,773 lakhs | +5.49% |
| Net Profit | Rs 687 lakhs | Rs 1,027 lakhs | -33.11% |
| Earnings per Share | Rs 0.10 | Rs 0.16 | -37.50% |
Nine-Month Performance Analysis
The nine-month performance revealed operational challenges, with the company reporting a net loss of Rs 652 lakhs for the period ended December 31, 2025, compared to a profit of Rs 1,538 lakhs in the corresponding period of the previous year. Total income declined to Rs 14,661 lakhs from Rs 15,495 lakhs, representing a decrease of 5.38%.
| Nine-Month Metrics | FY26 | FY25 | Change |
|---|---|---|---|
| Total Income | Rs 14,661 lakhs | Rs 15,495 lakhs | -5.38% |
| Net Loss | Rs 652 lakhs | Profit Rs 1,538 lakhs | Loss |
| Total Comprehensive Loss | Rs 572 lakhs | Income Rs 1,600 lakhs | Loss |
| EPS | Rs -0.10 | Rs 0.23 | Negative |
Board Appointments and Governance
The Board of Directors approved the re-appointment of Mr. Ashok Rajani as Independent Director for a five-year term effective March 30, 2026 to March 29, 2031, subject to shareholder approval. Mr. Rajani, aged 77 years with a B.Com qualification, brings over five decades of experience in textile industries, management, and operations.
| Appointment Details | Information |
|---|---|
| Director Name | Mr. Ashok Rajani |
| Position | Independent Director |
| Term Duration | 5 years |
| Effective Period | March 30, 2026 to March 29, 2031 |
| Experience | Over 5 decades in textile industries |
Operational Challenges and Legal Disputes
The company continues to face significant legal challenges with Airports Authority of India (AAI) regarding lease agreements. The auditor's report highlighted disputed amounts of Rs 543 lakhs for the quarter and Rs 17,009 lakhs cumulatively up to December 31, 2025, related to enhanced rental demands for the Mumbai hotel. Additionally, AAI has claimed Rs 80,705 lakhs as of January 31, 2019, towards rent and minimum guarantee amounts for an 11,000 sq. mtrs land lease where a proposed hotel was not constructed.
The company has prepared its financial results on a going concern basis, assuming favorable judgments and settlements in ongoing disputes with AAI, including lease renewals. The Supreme Court of India dismissed a case filed by Resources Aviation Redressal Association (ROAR) on December 18, 2025, regarding the granting of adhoc lease extensions.
Exceptional Items and Tax Position
Exceptional items for the nine months totaled Rs 303 lakhs, including Rs 191 lakhs in Q3FY26 due to the one-time impact of four Labour Codes notified by the Government of India on November 21, 2025. The company has not provided for taxes due to accumulated losses from earlier years. The paid-up equity share capital remains unchanged at Rs 13,185 lakhs with a face value of Rs 2 per share.
Historical Stock Returns for HLV
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +0.33% | +5.98% | -1.09% | -25.04% | -39.97% | +53.22% |
