SRM Contractors , a Jammu-based construction company listed on both the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE), has announced its unaudited financial results for the first quarter.

Financial Highlights

The company has shown a solid performance in the construction sector for the quarter.

Company Overview

SRM Contractors, formerly known as SRM Contractors Private Limited, is headquartered in Jammu. The company's registered office is located at Sector-3, Near BJP Head Office, Trikuta Nagar, Jammu-180012. With its presence on both major Indian stock exchanges, SRM Contractors has established itself as a notable player in the construction industry.

Regulatory Compliance

In compliance with SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015, SRM Contractors has duly published its financial results in both English and Urdu newspapers. The results were featured in the Financial Express (English) and Udaan (Urdu) publications, demonstrating the company's commitment to transparency and adherence to regulatory standards.

Management Statement

While specific management comments were not provided in the available data, the timely reporting and publication of results indicate the company's dedication to keeping its shareholders and the market informed about its financial performance.

The construction sector in India continues to be a crucial component of the country's infrastructure development. SRM Contractors' performance in this quarter may be seen as a reflection of the ongoing activities and projects in the sector, particularly in the Jammu region and potentially beyond.

Note: The financial results mentioned are unaudited and subject to review.

SRM Contractors has reported robust financial performance for the first quarter, alongside efficient utilization of its Initial Public Offer (IPO) proceeds.

Financial Highlights

The company's unaudited consolidated financial results for Q1 show significant year-on-year growth:

SRM Contractors has demonstrated substantial growth across all key financial metrics, with revenue from operations more than doubling year-on-year. The company's profit after tax showed an impressive increase of 167.30% compared to the same quarter last year.

IPO Proceeds Utilization

CARE Ratings Limited, serving as the monitoring agency, has reported that SRM Contractors is effectively utilizing its IPO proceeds, with no deviations from the disclosed objectives. Key points from the monitoring agency report include:

1. Total IPO proceeds: Rs. 130.20 crore
2. Amount utilized as of June 30, 2025: Rs. 91.26 crore
3. Unutilized funds: Rs. 38.94 crore

During Q1, the company utilized Rs. 3.06 crore primarily for purchasing construction equipment and machinery. The unutilized funds are currently deployed in fixed deposits with HDFC Bank and Yes Bank, earning returns between 4.50% to 7.50%.

Allocation of IPO Proceeds

The IPO proceeds are being allocated across six key areas:

1. Capital expenditure for equipment
2. Debt repayment
3. Working capital requirements
4. Joint venture investment
5. General corporate purposes
6. Issue-related expenses

Management Commentary

Sanjay Mehta, Managing Director of SRM Contractors Limited, stated, "We are pleased with our strong start to the fiscal year, as reflected in our Q1 results. The significant growth in revenue and profitability demonstrates the robustness of our business model and the increasing demand for our services. We remain committed to efficiently utilizing our IPO proceeds to drive long-term growth and value creation for our shareholders."

Audit Committee Review

The company's Audit Committee reviewed the monitoring agency report on August 14, 2025, ensuring transparency and compliance with regulatory requirements.

SRM Contractors continues to focus on its core business of civil construction, leveraging the IPO proceeds to strengthen its market position and operational capabilities. The company's strong financial performance and disciplined capital allocation strategy position it well for sustained growth in the coming quarters.