SAR Auto Products Limited has announced its unaudited financial results for the quarter ended December 31, 2025, showing mixed performance with quarterly growth but nine-month decline. The Rajkot-based manufacturer of gears, gear boxes and transmission components reported these results following a Board meeting held on February 10, 2026.

Quarterly Financial Performance

The company demonstrated solid quarterly performance with revenue from operations growing year-on-year. Total income for the quarter reached ₹386.41 lakhs, supported by other income of ₹27.93 lakhs.

Nine-Month Performance Analysis

While quarterly results showed improvement, the nine-month performance indicated challenges with declining revenue and profitability compared to the previous year.

Cost Structure and Operational Metrics

The company's cost management showed positive trends during the quarter. Cost of materials consumed decreased to ₹143.35 lakhs from ₹184.80 lakhs in Q3FY25. Employee benefit expenses increased to ₹19.22 lakhs from ₹16.16 lakhs, while finance costs remained stable at ₹2.30 lakhs compared to ₹2.28 lakhs in the previous year.

Key Operational Highlights

• Depreciation expenses decreased to ₹47.70 lakhs from ₹53.72 lakhs year-on-year
• Other expenses rose to ₹117.64 lakhs from ₹88.59 lakhs in Q3FY25
• Changes in inventories showed positive impact of ₹35.60 lakhs
• Basic and diluted earnings per share stood at ₹0.43 for the quarter

Financial Position and Compliance

The company maintained its paid-up equity share capital at ₹476.47 lakhs with face value of ₹10 per share. Total comprehensive income for the quarter reached ₹20.64 lakhs including other comprehensive income of ₹0.04 lakhs.

SAR Auto Products operates in a single segment focusing on manufacturing of gears, gear boxes and other transmission components. The company noted that evaluation of financial impact from new labour codes effective from November 21, 2025 is in progress, with any incremental liability to be accounted for by March 31, 2026.

Audit and Regulatory Compliance

The unaudited financial results were reviewed and approved by the Board of Directors and subjected to limited review by statutory auditors J. A. Sheth & Associates. The results have been prepared in accordance with Indian Accounting Standards (Ind AS) notified under the Companies Act, 2013. The company confirmed that provision for taxation will be made at year-end as per standard practice.

SAR Auto Products Limited , a manufacturer of gears, gear boxes, and other transmission components, has released its unaudited financial results for the first quarter ended June 30, 2025. The company also announced the appointment of a new Secretarial Auditor for the financial year 2025-26.

Financial Performance

SAR Auto Products reported a mixed financial performance for Q1 FY26:

The company's revenue from operations for Q1 FY26 stood at Rs. 226.94 lakhs, showing a slight decline from Rs. 230.72 lakhs in the previous quarter (Q4 FY25). However, it represents a more significant decrease compared to Rs. 379.70 lakhs reported in the same quarter of the previous year (Q1 FY25).

Despite the revenue decline, SAR Auto Products managed to turn its performance around, reporting a net profit after tax of Rs. 11.55 lakhs for Q1 FY26. This marks a notable improvement from the loss of Rs. 34.76 lakhs in the previous quarter. However, it falls short of the Rs. 29.71 lakhs profit recorded in Q1 FY25.

The company's total income for the quarter, including other income, amounted to Rs. 252.13 lakhs, compared to Rs. 259.72 lakhs in Q4 FY25 and Rs. 400.77 lakhs in Q1 FY25.

Basic and diluted earnings per share (EPS) for Q1 FY26 stood at Rs. 0.24, recovering from the negative Rs. 0.73 in the previous quarter but lower than the Rs. 0.62 reported in the same quarter last year.

Appointment of Secretarial Auditor

In a separate development, the Board of Directors of SAR Auto Products Limited has appointed Mr. Kalpesh P. Rachchh, proprietor of M/s. K.P. Rachchh & Co., Practicing Company Secretaries, as the Secretarial Auditor for the financial year 2025-26. This appointment is aimed at conducting the secretarial audit for the company for the upcoming fiscal year.

Company Overview

SAR Auto Products Limited operates in the manufacturing segment, specializing in the production of gears, gear boxes, and other transmission components. The company's financial results are prepared in accordance with the Indian Accounting Standards (Ind AS) as notified under the Companies (Indian Accounting Standards) Rules, 2015, and subsequent amendments.

The unaudited financial results for the quarter ended June 30, 2025, were approved by the company's Board of Directors at their meeting held on August 7, 2025. The statutory auditors of the company have carried out a limited review of these results, as per regulatory requirements.

Investors and stakeholders should note that while the company has shown improvement in profitability compared to the immediately preceding quarter, the year-on-year performance indicates challenges in maintaining revenue levels. The management's efforts in cost control and operational efficiency will be crucial in navigating the current market conditions.