Smruthi Organics Limited has announced its unaudited financial results for the third quarter ended December 31, 2025, showcasing mixed quarterly performance but strong nine-month growth. The pharmaceutical company, specializing in bulk drugs and drug intermediates, reported these results following a Board meeting held on February 13, 2026.

Financial Performance Overview

The company's financial performance for Q3 FY26 presents a nuanced picture with varying trends across different time periods.

Quarterly Results Analysis

For the third quarter of FY26, Smruthi Organics reported revenue from operations of ₹2229.11 lakhs, representing a decline from ₹3124.97 lakhs in the corresponding quarter of the previous year. The company's total revenue including other income stood at ₹2229.94 lakhs compared to ₹3125.40 lakhs in Q3 FY25.

Despite the revenue decline, the company maintained profitability with a net profit of ₹139.79 lakhs for the quarter, though this was lower than the ₹148.07 lakhs achieved in Q3 FY25. The profit before tax for the quarter was ₹163.26 lakhs compared to ₹228.88 lakhs in the previous year.

Nine-Month Performance Highlights

The nine-month performance tells a more positive story, with net profit showing remarkable growth of 77% to ₹235.87 lakhs from ₹133.28 lakhs in the corresponding period of the previous year. This strong performance resulted in earnings per share of ₹2.06 for the nine-month period, significantly higher than ₹1.16 in the previous year.

Segment Performance

The company operates primarily in two segments - API (Active Pharmaceutical Ingredients) and Formulations. The segment-wise performance reveals:

The API segment remains the primary revenue driver, though it experienced a decline in the current quarter. The formulation division reported a loss of ₹32.21 lakhs for the nine-month period, as noted in the company's disclosures.

Impact of New Labour Codes

A significant development during the quarter was the implementation of India's New Labour Codes effective November 21, 2025. The company recognized an exceptional expense of ₹45.17 lakhs towards gratuity due to changes in the definition of wages under the new framework. This impact has been treated as an exceptional item in the financial statements.

Key Financial Metrics

The company's financial position shows several important metrics:

• Cost Management: Cost of materials consumed decreased to ₹1001.54 lakhs in Q3 FY26 from ₹1550.04 lakhs in Q3 FY25
• Employee Expenses: Employee benefit expenses remained relatively stable at ₹453.98 lakhs compared to ₹443.19 lakhs in the previous year
• Finance Costs: Finance costs decreased to ₹25.25 lakhs from ₹50.84 lakhs year-on-year
• Paid-up Capital: The company maintains a consistent paid-up equity share capital of ₹1144.63 lakhs

The results were reviewed by the Audit Committee and approved by the Board of Directors. The statutory auditors Gokhale & Sathe, Chartered Accountants, conducted a limited review of the unaudited financial results and issued their report on February 13, 2026.

Smruthi Organics Limited has scheduled a board meeting for February 13, 2026, to approve its unaudited financial results for the third quarter of fiscal year 2026. The company formally notified stock exchanges about this upcoming board meeting through an official communication dated February 5, 2026.

Board Meeting Details

The meeting has been convened in compliance with regulatory requirements and will focus on approving quarterly financial performance. The company has provided specific details about the meeting's agenda and timeline to ensure transparency with stakeholders.

Stock Exchange Notifications

Smruthi Organics Limited has formally communicated with multiple stock exchanges regarding the board meeting. The company submitted notifications to BSE Limited at P. J. Tower, Dalal Street, Mumbai, and Metropolitan Stock Exchange of India Ltd at Piramal Agastya Corporate Park, Kurla West, Mumbai. These notifications ensure compliance with listing obligations and maintain transparency with regulatory authorities.

Trading Window Restrictions

The company has implemented trading window restrictions in accordance with insider trading regulations. The trading window closure affects company insiders and designated persons who have access to unpublished price-sensitive information.

Regulatory Compliance

The board meeting announcement demonstrates Smruthi Organics Limited's adherence to SEBI regulations governing listed companies. Under Regulation 29(1) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, companies must inform stock exchanges about board meetings where financial results will be considered. This advance notice allows market participants to prepare for the upcoming financial disclosure and ensures orderly market functioning.

The company secretary and compliance officer, Urvashi D. Khanna, signed the official communication, emphasizing the formal nature of this regulatory filing. The notification maintains the company's commitment to transparent corporate governance and timely disclosure of material information to stakeholders.