SPL Industries Limited announced its unaudited financial results for the quarter and nine months ended December 31, 2025, showcasing mixed performance with significant profitability improvement in the third quarter despite revenue challenges. The Board of Directors approved these results in their meeting held on February 13, 2026.

Quarterly Financial Performance

The company demonstrated remarkable profit recovery in Q3FY26, with net profit surging to ₹238.42 lakhs compared to ₹30.15 lakhs in Q3FY25, marking an impressive 690% year-on-year growth. This substantial improvement came despite a significant decline in operational revenue.

The significant boost in other income to ₹660.85 lakhs from ₹299.67 lakhs helped offset the operational revenue decline and contributed to the overall profitability improvement.

Nine-Month Performance Analysis

For the nine-month period ended December 31, 2025, the company faced challenges with both revenue and profitability declining compared to the previous year. Net profit dropped to ₹309.88 lakhs from ₹685.25 lakhs, while revenue from operations fell substantially to ₹4,626.15 lakhs from ₹10,870.22 lakhs.

Segment-wise Performance

The company operates through two primary business segments: manufacturing/processing and trading of garments. In Q3FY26, the manufacturing/processing segment generated revenue of ₹858.87 lakhs, while the trading of garments segment contributed ₹1,266.97 lakhs to the total segment revenue.

Cost Structure and Operational Efficiency

The company's total expenses for Q3FY26 were ₹2,077.25 lakhs compared to ₹2,829.20 lakhs in Q3FY25, reflecting improved cost management. Key expense components included purchase of stock in trade at ₹924.28 lakhs, manufacturing expenses of ₹420.44 lakhs, and employee benefit expenses of ₹277.04 lakhs.

Tax Benefits and Deferred Tax Impact

A significant factor contributing to the improved bottom line was the deferred tax benefit of ₹208.60 lakhs in Q3FY26, compared to a deferred tax expense of ₹107.04 lakhs in Q3FY25. The company paid current tax of ₹18.78 lakhs during the quarter.

Capital Structure

SPL Industries maintained its paid-up equity share capital at ₹2,900.00 lakhs, consisting of equity shares with a face value of ₹10 each. The earnings per share improved dramatically to ₹0.82 for Q3FY26 from ₹0.10 in the corresponding quarter of the previous year.

SPL Industries Limited has rectified its Corporate Identification Number following system-driven changes that occurred after adding real estate activities to its business objects. The company filed the necessary regulatory documentation on January 23, 2026, to inform stock exchanges about the CIN correction and provide clarity on its principal business activities.

Background and Initial Filing

The company originally filed Form MGT-14 with SRN AB9029698 on November 14, 2025, to alter its Object Clause and add real estate activity under existing Clause III(a) of the Memorandum of Association. This amendment was made while retaining textile as the main object and principal line of business, providing the company with additional business flexibility for future prospects.

System-Driven Changes and Issues

Following the initial filing, the company observed unexpected system-driven changes that did not accurately reflect its actual business operations. The Principal Business Activity/NIC Code was automatically updated to 68100 (Real Estate activities), which consequently changed the company's CIN to L68100DL1991PLC062744. This change occurred solely due to the inclusion of real estate as an additional object and did not represent the company's actual principal business activity.

Company's Clarification

SPL Industries Limited provided comprehensive clarification regarding its business activities and the nature of the recent amendments:

• Textile continues to remain the principal business activity in terms of operations and object clause priority
• Real estate activity was added to the Object clause for business flexibility and future prospects only
• There has been no elimination or discontinuation of the company's textile business operations
• The company has been primarily engaged in textile business since its incorporation

Rectification Process

To address the misalignment between the system-generated CIN and the company's actual principal business activity, SPL Industries filed a rectification form. The company submitted Form MGT-14 with SRN AC1417119 on January 20, 2026, to realign the Principal Business Activity to textile operations.

Regulatory Compliance

The intimation was filed pursuant to applicable provisions of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company submitted the information to both the National Stock Exchange of India Limited (NSE Symbol: SPLIL) and BSE Limited (Scrip Code: 532651) for their records and investor information. Company Secretary and Compliance Officer Vishal Srivastava signed the regulatory filing, ensuring proper compliance with disclosure requirements.