Prajay Engineers Syndicate Limited has announced its unaudited financial results for the third quarter ended December 31, 2025, demonstrating a notable improvement in financial performance compared to the corresponding period last year. The company reported total income of ₹6,855.69 lakhs for Q3 FY26, representing growth from ₹5,975.83 lakhs recorded in Q3 FY25.

Financial Performance Overview

The company achieved a significant turnaround in profitability during the quarter. Net profit after tax stood at ₹469.91 lakhs for Q3 FY26, marking a substantial improvement from the net loss of ₹876.55 lakhs reported in the same quarter of the previous fiscal year.

Earnings Per Share and Capital Structure

The company's earnings per share improved significantly to ₹7.83 for Q3 FY26 compared to negative ₹14.61 in Q3 FY25. The paid-up equity share capital remained stable at ₹60.00 lakhs with shares of face value ₹1 each. However, the company's net worth stood at negative ₹4,687.89 lakhs as of December 31, 2025, compared to negative ₹1,950.41 lakhs in the previous year.

Quarterly Performance Analysis

The detailed quarterly results show mixed performance across different periods. For the standalone operations during Q3 FY26, the company reported total income from operations of ₹781.55 lakhs, though it recorded a net loss after tax of ₹154.27 lakhs for the quarter. The consolidated figures showed total income from operations of ₹991.64 lakhs with a net loss after tax of ₹101.65 lakhs.

Board Approval and Compliance

The financial results were reviewed and recommended by the Audit Committee and subsequently approved by the Board of Directors at their meeting held on February 11, 2026. The results have been published in compliance with Regulation 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

The company published advertisements in Business Standard (English) and Praja Sakthi (Telugu) newspapers on February 13, 2026, as part of its regulatory compliance requirements. The detailed financial results are available on the company's website at www.prajayengineers.com and on stock exchange websites including BSE and NSE.

Company Information

Prajay Engineers Syndicate Limited, incorporated in 1994, operates from its registered office in Hyderabad, Telangana. The company is engaged in engineering and construction activities and is listed on major stock exchanges with BSE code 531746 and NSE symbol PRAENG.

Prajay Engineers Syndicate Limited (PESL) has made a significant move in the capital markets by allotting 72,69,566 convertible warrants on a preferential basis. This decision, approved by the company's Allotment Committee, marks a potential increase in the company's equity base and signals confidence from both promoter and non-promoter investors.

Key Details of the Allotment

• Number of Warrants: 72,69,566
• Issue Price: Rs. 23.00 per warrant (including a premium of Rs. 13.00)
• Conversion Ratio: Each warrant is convertible into one equity share
• Face Value of Resulting Shares: Rs. 10.00 per share
• Conversion Period: Within 18 months from the date of allotment

Financial Implications

The company has received an upfront payment of 25% of the issue price, amounting to Rs. 5.75 per warrant. The total consideration received is divided as follows:

• Loan Repayment: Rs. 2,12,13,498.00
• Cash Received: Rs. 2,05,86,506.50

Impact on Shareholding Structure

The allotment involves both promoter and non-promoter categories:

Potential Changes in Share Capital

Assuming full conversion of the warrants, PESL's paid-up share capital is expected to change as follows:

This represents a potential increase of approximately 10.4% in the company's total number of outstanding shares.

Investor Profile

The warrants have been allotted to a mix of promoter and non-promoter investors, with Dantapally Vijaysen Reddy, a promoter, receiving the largest allocation. Nine non-promoter investors, including individuals like Datla Akash Varma and Asia Sultana, have also participated in this preferential issue.

Market Implications

This move by Prajay Engineers Syndicate Limited could be seen as a strategic step to strengthen its capital base. The participation of both promoter and non-promoter investors may be interpreted as a vote of confidence in the company's future prospects. However, the actual impact on the company's financials and market performance will depend on the eventual conversion of these warrants into equity shares over the next 18 months.

Investors and market watchers will likely keep a close eye on how PESL utilizes these funds and whether this capital infusion translates into improved business performance and shareholder value in the coming quarters.