Regis Industries Limited has announced its unaudited financial results for the second quarter and half-year ended September 30, 2025, revealing a mixed performance with decreased revenue but improved profitability.

Key Financial Highlights

Revenue and Profitability

The company experienced a significant year-on-year decline in quarterly revenue, with Q2 FY2026 revenue from operations at Rs. 54.50 lakhs compared to Rs. 405.95 lakhs in Q2 FY2025. Despite the revenue drop, Regis Industries managed to maintain profitability, reporting a net profit of Rs. 4.03 lakhs for the quarter, slightly lower than the Rs. 4.82 lakhs recorded in the same quarter last year.

Half-Year Performance

For the half-year ended September 30, 2025, Regis Industries showed improved profitability despite lower revenue. The company's total income for H1 FY2026 stood at Rs. 366.18 lakhs, down from Rs. 1,043.79 lakhs in H1 FY2025. However, net profit for the half-year increased significantly to Rs. 157.21 lakhs, compared to a loss of Rs. 28.49 lakhs in the corresponding period of the previous year.

Operational Efficiency

The company's ability to maintain profitability despite lower revenue suggests improved operational efficiency. Total expenses for Q2 FY2026 were Rs. 62.50 lakhs, significantly lower than the Rs. 403.23 lakhs reported in Q2 FY2025, indicating effective cost management.

Balance Sheet Position

As of September 30, 2025, Regis Industries reported total assets of Rs. 2,774.86 lakhs, up from Rs. 2,618.60 lakhs as of March 31, 2025. The company's equity share capital increased to Rs. 2,581.14 lakhs from Rs. 1,720.76 lakhs, potentially indicating a recent capital raise or bonus issue.

Cash Flow and Liquidity

The company's cash and cash equivalents stood at Rs. 7.42 lakhs as of September 30, 2025, compared to Rs. 3.07 lakhs at the end of the previous fiscal year, showing a slight improvement in liquidity.

The Board of Directors approved these results in their meeting held on November 13, 2025. The financial statements were reviewed by Bipin & Co., Chartered Accountants, who expressed an unmodified opinion on the results.

Investors and stakeholders should note that these are unaudited results and may be subject to changes upon audit.

Regis Industries Ltd shares faced significant selling pressure on Friday, September 12, 2025, as the stock traded ex-bonus, causing it to touch a 52-week low of ₹4.01 on the Bombay Stock Exchange (BSE).

Bonus Issue Details

The company had previously announced a bonus issue in the ratio of 1:2, meaning shareholders would receive one new equity share with a face value of ₹1 for every two existing fully paid-up equity shares held. The record date for determining shareholder eligibility for this bonus issue was set for Friday, September 12, 2025.

Market Performance

As of 3:12 p.m. on the ex-bonus date, Regis Industries shares were trading at ₹4.22, representing a decline of 6.22% from the previous close. This downturn reflects the adjustment in share price following the bonus issue, a common occurrence when stocks go ex-bonus.

Impact on Shareholders

While the share price has decreased, it's important to note that the bonus issue effectively increases the number of shares held by existing shareholders without any additional cost. This corporate action is typically viewed as a way to reward shareholders and potentially improve stock liquidity.

Investor Considerations

Investors and market participants should be aware that price adjustments following bonus issues are normal and do not necessarily reflect a change in the company's fundamental value. The total market capitalization of the company typically remains unchanged, as the decrease in share price is offset by the increase in the number of outstanding shares.

As with any significant stock movement or corporate action, shareholders and potential investors are advised to consider their investment goals and consult with financial advisors before making any investment decisions.