Shyam Century Ferrous Limited has announced its unaudited financial results for the third quarter ended 31st December 2025, revealing a substantial deterioration in financial performance following the closure of its manufacturing operations. The ferro silicon manufacturer reported a net loss of ₹613.83 lakhs for Q3FY26, marking a significant decline from the net profit of ₹6.33 lakhs recorded in the corresponding quarter of the previous fiscal year.

Financial Performance Overview

The company's financial metrics demonstrate the severe impact of operational cessation on its business performance:

Revenue from operations plummeted by 97.44% year-on-year to ₹83.69 lakhs in Q3FY26 from ₹3,267.07 lakhs in Q3FY25. Total income decreased by 92.29% to ₹264.72 lakhs compared to ₹3,431.26 lakhs in the previous year quarter.

Nine-Month Performance Analysis

For the nine months ended 31st December 2025, the company's performance reflected the operational challenges:

The nine-month period showed revenue from operations declining by 75.53% to ₹2,225.78 lakhs from ₹9,097.57 lakhs in the corresponding period last year. Net loss widened significantly to ₹937.05 lakhs compared to ₹493.30 lakhs in 9M FY25.

Operational Cessation and Strategic Decision

The company ceased operations at its plant located at EPIP, Rajabagan, Byrnihat, District-Ri-Bhoi, Meghalaya from 7th May 2025 due to a significant increase in power tariffs that rendered operations economically unviable. This operational shutdown has been the primary driver behind the dramatic decline in financial performance.

In response to these challenges, the Board of Directors in their meeting held on 7th January 2026 unanimously accorded in-principle approval for the sale, lease, or disposal of substantially all company assets. This includes:

• Plant and Machinery
• Furniture and Fixtures
• Tools and Equipment
• Electrical Installations
• Manufacturing Rights and Approvals

The proposed asset disposal remains subject to shareholder approval, and the assets continue to be recognized under Property, Plant and Equipment rather than being classified as held for sale.

Expense Structure and Cost Management

Despite the operational closure, the company incurred total expenses of ₹1,185.01 lakhs in Q3FY26 compared to ₹3,430.79 lakhs in Q3FY25. Notable expense components included power and fuel expenses of ₹752.36 lakhs, depreciation of ₹122.30 lakhs, and employee benefit expenses of ₹27.46 lakhs. The company maintained its paid-up equity share capital at ₹2,121.73 lakhs with a face value of ₹1 per share.

The financial results were approved by the Board of Directors on 6th February 2026 following recommendation by the Audit Committee, with statutory auditors completing the limited review as required under SEBI regulations.

Shyam Century Ferrous Limited has announced significant corporate developments following its board meeting held on January 7, 2026. The company's board of directors has given in-principle approval for the disposal of substantially all company assets and authorized a postal ballot process to seek shareholder approval for this major transaction.

Board Approves Asset Disposal Plan

The board of directors, acting on recommendations from the audit committee, has approved the sale, lease, or disposal of substantially all company assets. This comprehensive disposal includes plant & machinery, furniture & fixtures, electrical installations, and all manufacturing rights and approvals. The approval is contingent upon obtaining shareholder consent as required under Regulation 37A of the SEBI Listing Obligations and Disclosure Requirements Regulations.

Postal Ballot Authorization

The board has authorized the company secretary to conduct all necessary procedures for organizing a postal ballot in accordance with Section 110 of the Companies Act, 2013, and relevant SEBI regulations. This postal ballot will be used to obtain shareholder approval for the proposed asset disposal transaction.

Financial Impact and Company Details

The company has provided comprehensive financial disclosures as required under SEBI regulations. The proposed transaction will have significant impact on the company's operations, representing the disposal of substantially all assets.

Transaction Status and Buyer Identification

Currently, the company is in the process of identifying potential buyers for the proposed asset disposal. The transaction will be conducted outside any scheme of arrangement, necessitating compliance with Regulation 37A of the listing regulations. Key transaction details remain to be determined:

• No sale agreement has been finalized yet
• Expected completion date is not yet determined
• Consideration amount is yet to be decided
• Buyer identification process is ongoing

Regulatory Compliance

The company has ensured full compliance with SEBI disclosure requirements, providing detailed information pursuant to multiple regulatory circulars including SEBI Circular No. CIR/CFD/CMD/4/2015 dated September 9, 2015, and subsequent master circulars from July 2023 and November 2024. All relevant information has been uploaded to the company's website and communicated to both NSE and BSE.

The board meeting outcome represents a significant strategic decision for Shyam Century Ferrous Limited, with the postal ballot process expected to determine shareholder sentiment regarding this comprehensive asset disposal plan.