Norben Tea & Exports Reports Q2 FY2026 Revenue Dip, Maintains Profitability

Norben Tea & Exports Limited , a key player in the Indian tea industry, has released its unaudited financial results for the second quarter and first half of fiscal year 2026, revealing a mixed performance amidst challenging market conditions.

Revenue Decline Offset by Profit Maintenance

For the quarter ended September 30, 2025, Norben Tea & Exports reported a significant year-on-year decline in revenue from operations:

Particulars (in Rs. lakhs)	Q2 FY2026	Q2 FY2025	% Change
Revenue from Operations	59.07	320.65	-81.6%
Net Profit/(Loss)	(11.20)	96.57	-111.6%

Despite the sharp revenue contraction, the company reported a net loss of Rs. 11.20 lakhs for Q2 FY2026.

Half-Yearly Performance Shows Resilience

The half-yearly results paint a more stable picture:

Particulars (in Rs. lakhs)	H1 FY2026	H1 FY2025	% Change
Revenue from Operations	183.71	455.34	-59.7%
Net Profit	39.70	100.23	-60.4%

For the six-month period, Norben Tea & Exports maintained profitability with a net profit of Rs. 39.70 lakhs, although this represents a 60.4% decrease from the previous year.

Balance Sheet Strengthening

The company's balance sheet showed signs of improvement:

Equity share capital increased to Rs. 1,554.41 lakhs from Rs. 1,175.00 lakhs
Total assets grew to Rs. 3,163.02 lakhs from Rs. 2,806.93 lakhs (as of March 31, 2025)

Operational Context

Norben Tea & Exports emphasized that the tea business is seasonal, cautioning that quarterly figures may not be representative of full-year performance. The company operates primarily in the cultivation, manufacturing, and selling of tea.

Capital Structure Changes

During the quarter, Norben Tea & Exports continued its warrant conversion program, which began in FY2025:

Allotted 37,94,100 warrants on January 31, 2025
Converted various tranches of warrants into equity shares throughout 2025
Latest conversions include 4,00,000, 2,58,000, and 15,50,000 equity shares in July and August 2025

These conversions have contributed to the increase in equity share capital and may provide additional resources for the company's operations.

Looking Ahead

While the revenue decline is significant, Norben Tea & Exports' ability to maintain profitability on a half-yearly basis suggests resilience in its business model. The company's efforts to strengthen its balance sheet and capital structure may position it to navigate the challenges in the tea industry more effectively.

Investors and stakeholders will likely monitor how Norben Tea & Exports leverages its improved capital position to address the revenue challenges in the coming quarters.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-2.01%	-7.80%	+15.52%	+53.44%	+237.66%	+610.89%

Norben Tea & Exports Limited , a company primarily engaged in tea cultivation, manufacturing, and sales, has reported a substantial improvement in its financial performance for the first quarter.

Financial Highlights

The company's unaudited financial results for the quarter ended June 30 reveal a remarkable turnaround:

Particulars (₹ in Lakhs)	Q1	Q4	Q1 (Previous Year)
Revenue from Operations	123.33	108.30	128.69
Net Profit/(Loss)	28.50	(103.25)	3.66
Basic EPS (₹)	0.22	(0.88)	0.03

Profit Surge

Norben Tea & Exports reported a net profit of ₹28.50 lakhs for Q1, marking a significant improvement from the loss of ₹103.25 lakhs in the previous quarter. This also represents a substantial increase compared to the profit of ₹3.66 lakhs in the same quarter of the previous year.

Revenue Performance

The company's revenue from operations stood at ₹123.33 lakhs, showing an increase from ₹108.30 lakhs in the previous quarter. However, it was slightly lower than the ₹128.69 lakhs reported in the corresponding quarter of the previous year.

Earnings Per Share

The basic earnings per share (EPS) improved significantly to ₹0.22, compared to a loss per share of ₹0.88 in the previous quarter and an EPS of ₹0.03 in the same quarter last year.

Capital Structure Update

During the quarter, Norben Tea & Exports saw an increase in its paid-up equity share capital to ₹1,333.61 lakhs from ₹1,296.81 lakhs in the previous quarter. This change is attributed to the allotment of 3.68 lakh equity shares through warrant conversion, for which the company received ₹46.92 lakhs.

Operational Context

It's important to note that Norben Tea & Exports operates in a seasonal industry. The company's management has cautioned that the figures for the quarter ended June 30 should not be considered representative of the likely results for the entire financial year.

Conclusion

Norben Tea & Exports Limited has demonstrated a strong start to the fiscal year with a substantial increase in profitability. However, given the seasonal nature of the tea industry, it will be important to monitor the company's performance over the coming quarters to gauge its full-year prospects.