Parshva Enterprises Limited reported a challenging third quarter for FY26, with consolidated net profit declining significantly despite maintaining relatively stable revenue levels. The company's Board of Directors approved the unaudited financial results for the quarter and nine months ended December 31, 2025, during their meeting held on January 30, 2026.

Financial Performance Overview

The company's Q3FY26 performance showed mixed results across key financial metrics:

Nine-Month Performance Analysis

For the nine-month period ended December 31, 2025, Parshva Enterprises demonstrated resilient performance with improved year-over-year results:

Operational Metrics and Expenses

The company's expense structure showed notable changes during Q3FY26. Purchases of stock-in-trade increased to ₹592.16 lakhs from ₹545.24 lakhs in Q3FY25. However, changes in inventories provided a positive impact of ₹28.00 lakhs compared to an increase of ₹39.92 lakhs in the previous year quarter.

Employee benefits expense rose to ₹7.92 lakhs from ₹6.17 lakhs, while finance costs decreased significantly to ₹1.15 lakhs from ₹2.66 lakhs year-over-year. Depreciation and amortization expense declined to ₹1.79 lakhs from ₹4.34 lakhs in Q3FY25.

Exceptional Items and Tax Impact

The company reported exceptional items of ₹3.21 lakhs during Q3FY26, which impacted the overall profitability. Current tax expense decreased to ₹1.61 lakhs from ₹2.68 lakhs in the corresponding quarter of the previous year.

Earnings Per Share and Capital Structure

Parshva Enterprises maintained its paid-up equity share capital at ₹1018.97 lakhs with a face value of ₹10 per share. The basic and diluted earnings per share for Q3FY26 stood at ₹0.04, compared to ₹0.09 in Q3FY25.

Corporate Restructuring Update

The company completed a significant corporate restructuring during the reporting period. The jewellery business demerger into Simandhar Impex Limited became effective from October 17, 2025, following NCLT approval. Under the scheme, shareholders received 3 equity shares of the resulting company for every 10 shares held in Parshva Enterprises. The resulting company's shares were subsequently listed on BSE Limited on December 22, 2025.

Parshva Enterprises Limited's Board of Directors has approved a substantial increase in the company's authorized share capital, marking a significant corporate development that requires shareholder approval through a postal ballot process.

Board Meeting Outcomes

The board meeting held on January 19, 2026, addressed several key corporate governance matters under Regulation 30 of the SEBI Listing Regulations. The primary decision involved the alteration of Capital Clause V of the Memorandum of Association to increase the company's financial capacity.

Postal Ballot Process Framework

The board has established a comprehensive framework for the postal ballot process to seek shareholder approval. The company will distribute the postal ballot notice electronically to members whose email addresses are registered with their depository participants or the company, based on the list of beneficial owners furnished by NSDL and CDSL.

Governance and Compliance Measures

The board has appointed M/s JSD & Associates, Practicing Company Secretary, to serve as the scrutinizer for the voting process. This appointment ensures fair and transparent scrutinizing of both the voting and remote e-voting procedures in compliance with regulatory requirements.

Shareholders holding shares in either physical or dematerialized form will be eligible to participate in the electronic voting process during the specified period. The company has engaged National Securities Depository Limited to facilitate the remote e-voting system for the postal ballot.

Meeting Details and Corporate Information

The board meeting commenced at 5:30 PM and concluded at 6:15 PM on January 19, 2026. Managing Director Prashant Avantilal Vora, with DIN 06574912, signed the official communication to the Bombay Stock Exchange, where the company trades under scrip code 542694.

The proposed capital increase represents a 42.86% expansion in the company's authorized share capital, indicating the management's strategic planning for future growth and business expansion opportunities. The formal communication was made pursuant to Regulation 30 of the Securities and Exchange Board of India Listing Obligations and Disclosure Requirements Regulations, 2015.