Sky Industries Limited announced its unaudited financial results for the quarter ended December 31, 2025, presenting a mixed performance with revenue growth offset by margin pressures and regulatory impacts. The Board of Directors approved these results at their meeting held on February 07, 2026.

Financial Performance Overview

The company's Q3FY26 performance showed contrasting trends in revenue and profitability metrics:

Sequential Performance Analysis

While year-on-year comparisons showed growth, sequential performance indicated some challenges. Revenue from operations declined from ₹2,440.10 lakhs in Q2FY26 to ₹2,063.16 lakhs in Q3FY26, representing a 15.44% quarter-on-quarter decrease. Net profit also decreased sequentially from ₹175.38 lakhs to ₹139.78 lakhs.

Nine-Month Performance

For the nine months ended December 31, 2025, Sky Industries demonstrated resilience:

Exceptional Items Impact

The quarter's results were affected by exceptional items worth ₹30.58 lakhs. This amount represents past service costs on gratuity and compensated absences arising from the revised definition of wages under the newly notified Labour Codes. The Government of India notified four Labour Codes on November 21, 2025, consolidating 29 existing labour laws.

Expense Structure Analysis

The company's expense management showed mixed results during Q3FY26:

Consolidated Results

On a consolidated basis, which includes subsidiary Skytech Textiles Private Limited, the company reported revenue from operations of ₹2,118.06 lakhs for Q3FY26 compared to ₹2,031.90 lakhs in Q3FY25. Consolidated net profit after tax stood at ₹145.02 lakhs versus ₹127.10 lakhs in the corresponding quarter of the previous year.

Business Segment Information

Sky Industries primarily operates in the manufacture and trading of narrow fabrics as a single business segment. The company maintains its registered office at C-58, TTC Industrial Area, Thane Belapur Road, Navi Mumbai, and its corporate office in Chembur, Mumbai. The financial results were reviewed by the Audit Committee and approved by the Board of Directors, with limited review reports issued by CGCA & Associates LLP, Chartered Accountants.

Sky Industries Limited has acquired an additional parcel of agricultural land in Gujarat as part of its ongoing expansion strategy. The company informed BSE Limited on January 28, 2026, about this material event under Regulation 30 of the SEBI Listing Regulations.

Land Acquisition Details

The company has purchased 3,000.00 sq. mts. of agricultural land located at Survey No. 2217/2/1, Manekpur Road, Khattalwada, Taluka-Umbergaon, District-Valsad, Gujarat-396130. The transaction involves the following key parameters:

Strategic Expansion Initiative

This land acquisition represents a continuation of Sky Industries' expansion plan for establishing a greenfield project. The newly purchased land is strategically positioned adjacent to property the company had earlier acquired in September 2024, creating a consolidated land bank for future development.

The seller, Shri Mohanlal Jivaji Shah, is an unrelated third-party with no connection to the company's promoter group or related entities. This ensures the transaction does not fall under related party transaction requirements and eliminates potential conflicts of interest.

Regulatory Compliance

Sky Industries has provided comprehensive disclosure details as mandated under SEBI regulations. The company confirmed that:

• The transaction is conducted at arm's length with an independent party
• No shareholding exists between the parties
• The agreement does not involve any special rights or restrictions
• No potential conflicts of interest arise from this transaction

The company is currently in the process of executing definitive agreements in accordance with applicable laws and procedural requirements. All documentation and disclosures have been made available on the company's website at www.skycorp.in .

Corporate Information

Sky Industries Limited, incorporated under CIN L17120MH1989PLC052645, operates from its corporate office in Mumbai. The land acquisition announcement was signed by Maikal Raorani, Whole Time Director & CFO (DIN: 00037831), ensuring proper corporate governance protocols were followed.

This strategic land acquisition positions Sky Industries to advance its greenfield project development plans while maintaining transparency with stakeholders and regulatory compliance.

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