Interarch Building Solutions Limited has announced its unaudited financial results for the third quarter of FY26, demonstrating strong operational performance and continued growth momentum. The company's Board of Directors approved the results at a meeting held on February 02, 2026.

Financial Performance Overview

The company delivered impressive financial results for the quarter ended December 31, 2025, with substantial improvements across key performance indicators.

Nine-Month Performance

For the nine-month period ended December 31, 2025, the company maintained its growth trajectory with strong year-over-year improvements.

Operational Highlights

The company's cost structure showed effective management during the quarter. Cost of raw materials and components consumed was ₹30,543.74 lakhs for Q3FY26. Employee benefits expense stood at ₹4,296.60 lakhs, while erection and installation charges were ₹4,748.59 lakhs. Other expenses totaled ₹4,048.55 lakhs for the quarter.

Exceptional Items and Regulatory Impact

The company recorded an exceptional item of ₹324.23 lakhs during Q3FY26 related to the statutory impact of new Labour Codes. The Ministry of Labour & Employment implemented four Labour Codes effective November 21, 2025, including the Code on Wages 2019, Industrial Relations Code 2020, Code on Social Security 2020, and Occupational Safety, Health and Working Conditions Code 2020.

Capital Raising Initiative

The Board of Directors approved raising funds through a Qualified Institutional Placement (QIP) for an amount up to ₹10,000 lakhs. These funds will be utilized to finance capital expenditure projects, supporting the company's expansion plans.

Income Tax Department Proceedings

The Income Tax Department conducted a search and survey from August 18, 2025 to August 22, 2025 under sections 132 and 133A of the Income Tax Act, 1961. The proceedings covered the company's offices, manufacturing facilities, and residences of certain employees and key managerial personnel. The company provided full cooperation, and business operations continued without disruption. No demands have been raised as of the date of these financial results.

IPO Proceeds Utilization

The company continued utilizing proceeds from its Initial Public Offer completed in the previous year. Out of net IPO proceeds of ₹18,809.79 lakhs, the company has utilized ₹15,810.89 lakhs across various projects, with ₹2,998.90 lakhs remaining unutilized as of December 31, 2025. The unutilized funds are temporarily invested in fixed deposits and bank accounts.

InterArch Building Solutions has received approval to raise capital through a Qualified Institutional Placement (QIP), marking a significant step in the company's fundraising initiatives. The approval covers the issuance of equity shares or convertible securities worth up to ₹100 crore.

QIP Approval Details

The company has secured the necessary approvals to proceed with the capital raising exercise through the QIP route. This mechanism allows companies to raise funds from qualified institutional buyers, providing access to institutional capital markets.

Capital Raising Structure

The approval provides InterArch Building Solutions with flexibility in structuring the fundraising exercise. The company can choose between:

• Direct equity share issuance to qualified institutional buyers
• Convertible securities that can be converted to equity at a later date

This dual option approach allows the company to optimize the capital structure based on market conditions and investor preferences at the time of issuance.

Strategic Implications

The QIP approval represents an important corporate development for InterArch Building Solutions, enabling access to institutional funding. Qualified Institutional Placements serve as an efficient mechanism for companies to raise capital from sophisticated institutional investors, including mutual funds, insurance companies, and foreign institutional investors.

The ₹100 crore fundraising capacity provides the company with substantial financial resources that can be deployed for various corporate purposes as determined by the management and board of directors.