Sarup Industries Reports 124% Surge in Q1 Net Profit, Driven by Higher Sales and Lower Finance Costs

1 min read Updated on 01 Aug 2025, 06:05 PM

Reviewed by

Shriram ShekharScanX News Team

Overview

Sarup Industries reported a 124% increase in net profit to Rs 11.60 lacs for Q1 FY26, up from Rs 5.18 lacs in Q1 FY25. Total income rose by 9.1% to Rs 392.79 lacs. The company saw a significant 43.7% reduction in finance costs to Rs 26.01 lacs. EPS improved to Rs 0.36 from Rs 0.16. The shoe manufacturer's performance showed resilience despite increased material and employee costs. The unaudited results were approved by the Board on August 1, 2025, and reviewed by statutory auditors.

*this image is generated using AI for illustrative purposes only.

Sarup Industries has reported a significant improvement in its financial performance for the quarter ended June 30, 2025. The shoe and shoe uppers manufacturer saw its net profit more than double, accompanied by an increase in revenue and a notable reduction in finance costs.

Financial Highlights

Net Profit: Rs 11.60 lacs, up 124% from Rs 5.18 lacs in Q1 FY25
Total Income: Rs 392.79 lacs, increased from Rs 360.03 lacs year-over-year
Earnings Per Share (EPS): Improved to Rs 0.36 from Rs 0.16

Key Performance Indicators

Particulars (in Rs lacs)	Q1 FY26	Q1 FY25	YoY Change
Total Income	392.79	360.03	+9.1%
Cost of Materials	156.94	141.47	+10.9%
Employee Benefit Expenses	102.77	90.36	+13.7%
Finance Costs	26.01	46.18	-43.7%
Net Profit	11.60	5.18	+124.0%

Operational Performance

Sarup Industries demonstrated resilience in its operations, with total income from operations rising by 9.1% year-over-year. The company managed to achieve this growth despite an increase in the cost of materials consumed and employee benefit expenses.

Cost Management

A notable aspect of the company's performance was the significant reduction in finance costs, which decreased by 43.7% to Rs 26.01 lacs from Rs 46.18 lacs in the same quarter last year. This reduction played a crucial role in boosting the company's profitability.

Board Approval and Audit Review

The unaudited financial results were approved by the Board of Directors at a meeting held on August 1, 2025. The results have undergone a limited review by the company's statutory auditors, Y.K. Sud & Co., Chartered Accountants, as required under SEBI regulations.

Shareholding Pattern

As of the quarter end, the promoter and promoter group hold 74.36% of the company's shares, with no shares pledged. The remaining 25.64% is held by the public.

Investor Relations

The company reported no pending investor complaints for the quarter, reflecting positively on its investor relations management.

Sarup Industries continues to operate in a single segment, focusing on the manufacturing of shoes and shoe uppers. The company's improved financial performance, particularly the substantial increase in net profit, may be seen as a positive indicator for its shareholders and potential investors in the footwear manufacturing sector.

Historical Stock Returns for Sarup Industries