Shah Construction Company Limited Reports Q3FY26 Results with Reduced Losses
Shah Construction Company Limited reported improved Q3FY26 results with net loss reducing to ₹41.59 lakhs from ₹171.29 lakhs in Q3FY25. Revenue from operations grew 44.17% to ₹128.67 lakhs, while total expenses decreased 20.97% to ₹241.68 lakhs. For nine months FY26, the company's loss narrowed to ₹143.25 lakhs from ₹257.45 lakhs, with revenue increasing 41.59% to ₹379.01 lakhs, demonstrating improved operational performance despite continued losses.
*this image is generated using AI for illustrative purposes only.
Shah Construction Company Limited has announced its unaudited financial results for the quarter and nine months ended 31st December, 2025, showing mixed performance with reduced losses but continued challenges. The Board of Directors approved these results at their meeting held on 12th February, 2026.
Quarterly Financial Performance
The company's Q3FY26 performance showed signs of improvement compared to the previous year, though losses persisted. Revenue from operations demonstrated strong growth momentum during the quarter.
| Financial Metric: | Q3FY26 | Q3FY25 | Change (%) |
|---|---|---|---|
| Revenue from Operations: | ₹128.67 lakhs | ₹89.24 lakhs | +44.17% |
| Other Income: | ₹71.43 lakhs | ₹45.34 lakhs | +57.50% |
| Total Income: | ₹200.10 lakhs | ₹134.58 lakhs | +48.71% |
| Net Loss: | ₹41.59 lakhs | ₹171.29 lakhs | Reduced by 75.73% |
The company's total expenses for Q3FY26 stood at ₹241.68 lakhs compared to ₹305.87 lakhs in Q3FY25, representing a significant reduction of 20.97%. Finance costs remained the largest expense component at ₹135.85 lakhs, though this decreased from ₹144.49 lakhs in the previous year.
Nine-Month Performance Analysis
For the nine months ended 31st December, 2025, Shah Construction showed consistent improvement across key financial parameters. The company's operational revenue growth remained robust throughout the period.
| Parameter: | 9M FY26 | 9M FY25 | Variance |
|---|---|---|---|
| Revenue from Operations: | ₹379.01 lakhs | ₹267.71 lakhs | +41.59% |
| Total Income: | ₹554.79 lakhs | ₹427.27 lakhs | +29.86% |
| Total Expenses: | ₹698.03 lakhs | ₹684.73 lakhs | +1.94% |
| Net Loss: | ₹143.25 lakhs | ₹257.45 lakhs | Reduced by 44.35% |
The nine-month results indicate better cost management, with total expenses increasing only marginally by 1.94% despite significant revenue growth. Employee benefits expense rose to ₹84.72 lakhs from ₹51.49 lakhs, while other expenses decreased substantially to ₹203.47 lakhs from ₹255.05 lakhs.
Expense Structure and Cost Management
The company's expense profile shows strategic cost optimization efforts. Finance costs continue to represent the largest expense category, accounting for ₹403.59 lakhs during the nine-month period compared to ₹370.08 lakhs in the previous year.
Key expense components for nine months FY26:
- Finance Costs: ₹403.59 lakhs
- Other Expenses: ₹203.47 lakhs
- Employee Benefits: ₹84.72 lakhs
- Depreciation: ₹6.25 lakhs
Earnings Per Share and Sequential Performance
The company's earnings per share improved significantly to ₹-25.79 for Q3FY26 from ₹-106.23 in Q3FY25. On a sequential basis, the quarterly loss of ₹41.59 lakhs in Q3FY26 was lower than the ₹60.93 lakhs loss reported in Q2FY26, indicating progressive improvement.
Regulatory Compliance and Audit
The financial results were reviewed by M/s. Mittal & Associates, Chartered Accountants, who issued a limited review report. The results comply with Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and follow Indian Accounting Standards (Ind-AS). The company will publish these results in newspapers as required under Regulation 47 of SEBI LODR.
Historical Stock Returns for Shah Construction
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -100.00% | 0.0% | 0.0% | 0.0% | 0.0% | -100.00% |
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