Midland Polymers Limited announced its unaudited financial results for the quarter ended December 31, 2025, showing continued operational challenges with no revenue generation. The company also implemented significant board restructuring with new directorial appointments and resignations.

Financial Performance Q3 FY26

The company's financial performance for the third quarter reflects ongoing operational difficulties. Despite having no revenue from operations, Midland Polymers managed to reduce its quarterly losses compared to the previous year.

Nine Months Performance

For the nine months ended December 31, 2025, the company showed significant improvement in loss reduction compared to the corresponding period in the previous year.

Board Restructuring

The company announced significant changes to its board composition during the board meeting held on January 31, 2026. These changes reflect the company's strategic approach to governance restructuring.

New Appointment

Mr. Sreeram Athota brings over two decades of experience in CFO services to the board. He holds a Bachelor of Commerce from Sri Venkateswara University and is a Fellow Member of the Institute of Chartered Accountants of India (FCA), with additional qualifications in Bachelor of Laws (LLB) from Osmania University. His expertise spans Financial & Management Accounting, Internal and Statutory Auditing, Costing, Taxation, Budgeting, and Management Information Systems (MIS).

Resignation

Key Financial Highlights

The company maintained its paid-up equity share capital at ₹6.69 million throughout the reporting periods. The financial results were prepared in accordance with Indian Accounting Standards (Ind AS) and were reviewed by the Audit Committee before being approved by the Board of Directors. The company operates as a single segment entity, eliminating the need for segment-wise disclosures.

Midland Polymers Limited (MPL) has released its unaudited financial results for the second quarter and half-year ended September 30, 2025, revealing continued challenges in its financial performance. The company, primarily engaged in trading activities, reported losses and an increase in borrowings during the period.

Financial Performance

MPL's financial results for Q2 FY2026 and H1 FY2026 show a continuation of losses:

The company's expenses primarily comprised employee benefits and other operational costs. Employee benefits expense stood at ₹0.06 million for Q2 and ₹0.16 million for H1 FY2026, while other expenses amounted to ₹0.04 million and ₹0.13 million, respectively.

Balance Sheet and Liquidity

As of September 30, 2025, MPL's balance sheet reflects:

The company's cash position improved marginally, with cash and cash equivalents increasing to ₹0.21 million from ₹0.08 million at the end of the previous fiscal year. However, current borrowings rose to ₹26.40 million from ₹23.75 million, indicating increased reliance on debt financing.

Borrowing and Cash Flow

During the period, Midland Polymers took on additional unsecured loans of ₹2.65 million. This move appears to be part of the company's strategy to manage its working capital needs and operational expenses in the face of continued losses.

The cash flow statement reveals:

• Net cash used in operating activities: ₹(0.51) million
• Net cash from financing activities: ₹2.65 million
• Net increase in cash and cash equivalents: ₹0.14 million

Business Outlook

Midland Polymers Limited continues to operate primarily in trading activities, with no other reportable business segments mentioned in the financial results. The persistent losses and increasing borrowings suggest that the company may be facing challenges in its core business operations.

Investor Considerations

Investors and stakeholders should note the following key points:

1. Continued losses may impact the company's long-term viability if not addressed.
2. The increase in borrowings could lead to higher interest expenses in future periods.
3. The negative equity position (-₹20.38 million) indicates significant financial stress.
4. The company's ability to generate revenue and manage expenses will be crucial for its future performance.

As Midland Polymers navigates through these financial challenges, stakeholders will likely look for clear strategies from the management on how the company plans to improve its operational performance and strengthen its financial position in the coming quarters.