Sreechem Resins Reports Widened Net Loss in Q2 FY2026 Amid Revenue Decline
Sreechem Resins Limited, a resin industry company, reported a net loss of Rs. 66.95 lakhs in Q2 FY2026, widening from Rs. 13.46 lakhs in Q1. Revenue from operations dropped significantly to Rs. 107.80 lakhs from Rs. 654.22 lakhs in the previous quarter. The half-yearly loss increased to Rs. 133.25 lakhs, compared to Rs. 30.25 lakhs in H1 FY2025. Total income for H1 FY2026 declined by 11.15% year-on-year to Rs. 1,517.88 lakhs. The company's EPS for Q2 FY2026 was Rs. (1.31).
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Sreechem Resins Limited , a company operating in the resin industry, has reported a widened net loss for the second quarter of the fiscal year 2026. The company's financial performance shows challenges in revenue generation and profitability.
Financial Highlights
| Particulars (in Rs. Lakhs) | Q2 FY2026 | Q1 FY2026 | H1 FY2026 | H1 FY2025 |
|---|---|---|---|---|
| Revenue from Operations | 107.80 | 654.22 | 1,516.54 | 1,707.48 |
| Total Income | 108.67 | 654.75 | 1,517.88 | 1,708.43 |
| Net Loss | (66.95) | (13.46) | (133.25) | (30.25) |
| EPS (Basic & Diluted) | (1.31) | (0.25) | (1.56) | (1.09) |
Key Observations
Revenue and Profitability
- Sreechem Resins experienced a significant quarter-on-quarter decrease in revenue from operations, dropping from Rs. 654.22 lakhs in Q1 FY2026 to Rs. 107.80 lakhs in Q2 FY2026.
- The company's net loss expanded to Rs. 66.95 lakhs in Q2 FY2026, compared to a loss of Rs. 13.46 lakhs in the previous quarter.
- For the half-year, the cumulative loss stood at Rs. 133.25 lakhs, a substantial increase from the Rs. 30.25 lakhs loss reported in the corresponding period of the previous fiscal year.
Financial Metrics
- The basic and diluted EPS for Q2 FY2026 was reported at Rs. (1.31), reflecting the impact of the increased losses on shareholder value.
- The company's cash and cash equivalents decreased marginally to Rs. 7.83 lakhs from Rs. 8.17 lakhs, indicating a slight deterioration in liquidity.
Half-Yearly Performance
- For the first half of FY2026, Sreechem Resins reported total income of Rs. 1,517.88 lakhs, down from Rs. 1,708.43 lakhs in the same period last year, representing a year-on-year decline of approximately 11.15%.
Corporate Actions
The Board of Directors of Sreechem Resins Limited approved these unaudited financial results in their meeting held on November 12, 2025. The company has not provided specific comments on the factors contributing to the widened losses or any strategic initiatives to improve performance in the near term.
Market Implications
The reported financial results may raise concerns among investors regarding the company's operational efficiency and market position. The significant quarter-on-quarter revenue decline and expanding losses could potentially impact investor confidence and may lead to increased scrutiny of the company's business model and growth strategies.
As the resin industry continues to face various market pressures, Sreechem Resins' performance in the coming quarters will be crucial in determining its ability to navigate through the current financial headwinds and return to profitability.
Historical Stock Returns for Sreechem Resins
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| -100.00% | -100.00% | -100.00% | -100.00% | -100.00% | -100.00% |
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