NewsEarningsSPL Industries Reports Q1 FY2026 Results: Net Profit Declines Amid Revenue ContractionSPL Industries Reports Q1 FY2026 Results: Net Profit Declines Amid Revenue Contraction
SPL Industries Limited, a garment manufacturer and trader, reported a significant decline in financial performance for Q1 FY2026. Net sales decreased by 60.83% to ₹1,663.71 lakh, while net profit fell by 64.66% to ₹91.30 lakh compared to the same quarter last year. Total income dropped to ₹2,035.56 lakh, a 55.36% decrease year-over-year. The company's EPS declined to ₹0.31 from ₹0.89. SPL Industries also appointed M/s. Vatss & Associates as its new Internal Auditor for FY2025-26.
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SPL Industries Limited , a player in the garment manufacturing and trading segments, has released its financial results for the first quarter of fiscal year 2025-26, revealing a significant decline in both revenue and profitability. The company also announced the appointment of a new internal auditor.
Financial Performance
SPL Industries reported a substantial decrease in net sales for Q1 FY2026, which ended on June 30, 2025. The company's net sales stood at ₹1,663.71 lakh, down from ₹4,247.43 lakh in the same quarter of the previous year, marking a significant year-over-year decline.
The company's profitability also took a hit, with net profit for the quarter falling to ₹91.30 lakh, compared to ₹258.37 lakh in the corresponding quarter of the previous year.
Total income for Q1 FY2026 decreased to ₹2,035.56 lakh from ₹4,559.56 lakh year-over-year, indicating a broader contraction in the company's revenue streams.
Key Financial Metrics
| Particulars | Q1 FY2026 (₹ lakh) | Q1 FY2025 (₹ lakh) | YoY Change |
|---|---|---|---|
| Net Sales | 1,663.71 | 4,247.43 | -60.83% |
| Total Income | 2,035.56 | 4,559.56 | -55.36% |
| Net Profit | 91.30 | 258.37 | -64.66% |
| Earnings Per Share (₹) | 0.31 | 0.89 | -65.17% |
The earnings per share (EPS) for the quarter stood at ₹0.31, down from ₹0.89 in the same period last year.
Segment Performance
SPL Industries operates in two main segments: Manufacturing/Processing of Garments and Trading of Garments. For Q1 FY2026:
- Manufacturing/Processing Income: ₹929.08 lakh
- Trading of Garments Income: ₹1,106.48 lakh
Appointment of Internal Auditor
In a corporate governance move, SPL Industries' Board of Directors has appointed M/s. Vatss & Associates as the company's Internal Auditor for the financial year 2025-26. The firm, with its registration number 017573N, brings extensive experience in statutory audit, internal audit, tax advisory, compliance review, and risk management.
The appointment was made during the Board meeting held on August 13, 2025. Vatss & Associates is noted for its dedicated internal audit team equipped with domain knowledge, analytical skills, and familiarity with ERP systems and emerging regulatory requirements.
Management Commentary
While the financial results show a significant downturn, the company has not provided specific commentary on the factors contributing to the decline in revenue and profitability. The appointment of a new internal auditor may signal the company's focus on strengthening its internal controls and financial management processes.
Investors and stakeholders will likely be watching closely to see how SPL Industries addresses the challenges reflected in these quarterly results and what strategies it may implement to improve performance in the coming quarters.
The financial results were reviewed by the Audit Committee and approved by the Board of Directors in their meeting held on August 13, 2025. The statutory auditors have also reviewed the results for the quarter ended June 30, 2025.
Historical Stock Returns for SPL Industries
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -2.21% | -10.66% | -13.64% | -21.55% | -39.93% | +22.28% |
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