Shankara Building Products Limited announced its unaudited financial results for Q3FY26 ended December 31, 2025, along with key board decisions during a meeting held on February 10, 2026. The company demonstrated improved operational performance while making strategic leadership decisions for future growth.

Financial Performance Overview

The company's consolidated financial results showed notable improvements across key metrics for Q3FY26:

For the nine-month period ended December 31, 2025, consolidated revenue from operations reached ₹1,023.51 crores compared to ₹1,035.53 crores in the corresponding period last year. However, the company reported a net loss of ₹3.51 crores for the nine-month period against a profit of ₹0.15 crores in the previous year.

Standalone Results

The standalone financial results reflected the company's focused business operations post-demerger. Standalone revenue from operations for Q3FY26 was ₹110.34 crores, with net profit of ₹0.73 crores compared to a loss of ₹1.00 crores in Q3FY24. The nine-month standalone results showed revenue of ₹110.34 crores with a net loss of ₹6.80 crores.

Leadership Continuity

The Board of Directors approved the reappointment of Mr. Sukumar Srinivas as Managing Director for a five-year term:

Mr. Srinivas has been instrumental in nurturing the company since its inception and brings extensive experience in the building products industry to his continued leadership role.

Operational Highlights

Several significant developments shaped the quarter's performance:

• Demerger Impact: The company completed its scheme of arrangement with the trading business demerged to Shankara BuildPro Limited, which became effective on September 9, 2025
• Transitional Arrangements: During the quarter, the company executed sales and purchase transactions worth ₹110.34 crores on behalf of the resulting company
• Subsidiary Changes: Steel Network (Holdings) Pte Limited was struck off from Singapore's register on December 26, 2025
• New Labour Codes: The company recognized an exceptional item of ₹0.17 crores related to incremental gratuity liability from new labour code implementation effective November 21, 2025

Financial Structure

The company maintained its capital structure with paid-up equity share capital of ₹24.25 crores, comprising shares with a face value of ₹10.00 each. The results reflect the continuing business operations following the demerger, with restated comparative figures that are not comparable to previously published results.

The financial results were reviewed by the audit committee and approved by the Board, with limited review conducted by statutory auditors Sundaram & Srinivasan, Chartered Accountants. The Board meeting commenced at 1:15 PM and concluded at 3:00 PM on February 10, 2026.

Shankara Building Products Limited has announced that its demerged entity, Shankara Buildpro Limited, has received approval from both BSE Limited and National Stock Exchange of India Limited for listing and trading of its equity shares, effective January 09, 2026.

Demerger Scheme Implementation

The listing approval follows the completion of a comprehensive demerger scheme that was sanctioned by the Hon'ble National Company Law Tribunal, Bengaluru Bench. The scheme involved the separation of business operations between the parent company and the newly formed entity.

Exchange Approval Timeline

The company had previously informed stock exchanges about the allotment of equity shares of Shankara Buildpro Limited through a letter dated September 26, 2025. The demerger scheme was structured to benefit shareholders and creditors of both the demerged company and the resulting company.

Corporate Structure Development

The successful listing of Shankara Buildpro Limited represents a significant milestone in the corporate restructuring initiative undertaken by Shankara Building Products. The demerger allows both entities to focus on their respective business segments while providing shareholders with direct ownership in the specialized operations.

The company has maintained full regulatory compliance throughout the demerger process, ensuring transparency with stock exchanges and stakeholders. The formal communication to BSE and NSE was signed by Company Secretary and Compliance Officer Ramesh S, confirming the completion of all necessary procedures.

Market Access and Trading

With the exchange approvals now in place, Shankara Buildpro Limited will commence independent trading operations, providing investors with direct access to its business performance. The listing enables the demerged entity to access capital markets independently while maintaining its operational focus.

The completion of this corporate action demonstrates Shankara Building Products' strategic approach to business optimization and value creation for shareholders through focused entity structures.