SRU Steels Limited has announced its unaudited financial results for the third quarter ended December 31, 2025, showcasing a mixed performance with varying trends across quarterly and nine-month periods. The Board of Directors approved these results during their meeting held on February 20, 2026, at the company's registered office in Delhi.

Financial Performance Overview

The company's Q3FY26 performance presents a contrasting picture when compared to both previous quarters and year-over-year figures. While quarterly results show challenges, the nine-month cumulative performance demonstrates significant improvement.

Quarterly Results Analysis

The Q3FY26 quarter recorded revenue from operations of ₹118.48 lakhs, representing a substantial decline from ₹936.66 lakhs in Q3FY25 and ₹330.19 lakhs in the previous quarter Q2FY26. The company reported a net loss of ₹3.83 lakhs for Q3FY26, which was an improvement from the ₹50.16 lakhs loss in Q3FY25 and ₹18.63 lakhs loss in Q2FY26.

Total expenses for Q3FY26 stood at ₹122.32 lakhs compared to ₹986.87 lakhs in Q3FY25. The significant components included purchase of stock in trade at ₹83.94 lakhs and changes in inventories contributing ₹27.02 lakhs to expenses.

Nine-Month Performance Highlights

The nine-month period ending December 31, 2025, showed remarkable improvement with revenue from operations reaching ₹2765.00 lakhs, nearly tripling from ₹948.39 lakhs in the corresponding period of FY25. This strong performance resulted in a net profit of ₹140.26 lakhs for 9M FY26, a significant turnaround from the ₹109.28 lakhs loss in 9M FY25.

Total comprehensive income for the nine-month period was ₹92.79 lakhs compared to a loss of ₹156.76 lakhs in the previous year, indicating improved operational efficiency and market conditions.

Segment-wise Performance

The company operates across multiple business segments including Construction Machinery, Footwear, Steel, and Commodities. For Q3FY26, the Commodities segment generated the entire revenue of ₹118.48 lakhs, while other segments showed minimal activity during the quarter.

For the nine-month period, the Commodities segment dominated with revenue of ₹2148.48 lakhs, followed by Steel at ₹524.39 lakhs and Construction Machinery at ₹92.11 lakhs.

Key Financial Metrics

The company maintained its paid-up equity share capital at ₹5993.93 lakhs with a face value of ₹10.00 per share. Basic and diluted earnings per share for Q3FY26 stood at ₹0.07, while for the nine-month period, it was ₹0.15, compared to negative ₹0.26 in the corresponding previous period.

Total assets increased to ₹7511.46 lakhs as of December 31, 2025, from ₹6234.58 lakhs in the previous year, indicating business expansion and improved asset base. The results were reviewed by the Audit Committee and approved by the Board of Directors, with statutory auditor BMGS & Associates providing a limited review report confirming compliance with applicable accounting standards.

SRU Steels Limited has announced the resignation of its statutory auditor TCS & Co., Chartered Accountants, effective February 14, 2026. The company disclosed this development to BSE under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Auditor Resignation Details

TCS & Co., Chartered Accountants (Firm Registration No. 145920W), tendered their resignation as statutory auditor through a letter dated February 13, 2026. The resignation became effective from the close of business hours on February 14, 2026.

Reason for Resignation

The auditor cited specific operational challenges as the primary reason for resignation. TCS & Co. stated that the required financial information and records for the quarter ended December 2025 were not made available until 12:30 PM on February 13, 2026. This timing made it impossible for the auditing firm to carry out the necessary review and certify the quarterly financial results that were scheduled to be declared on February 14, 2026.

Regulatory Compliance

SRU Steels Limited received the resignation letter on February 14, 2026, and has provided all required disclosures as mandated under various SEBI regulations. The company has submitted details in accordance with:

• Regulation 30 of SEBI LODR regulations
• Schedule III of the Listing Regulations
• SEBI Circular CIR/CFD/CMD/4/2015 dated September 09, 2015
• SEBI Circular CIR/CFD/CMD1/114/2019 dated October 18, 2019
• SEBI Circular No. SEBI/HO/CFD/CFDPoD1/P/CIR/2023/123 dated July 13, 2023

Company Information

SRU Steels Limited, incorporated in 1995, operates from its registered office in Delhi. The company is listed on BSE with scrip code 540914 and trades under the symbol SRUSTEELS. Managing Director and CFO Akhil Arora signed the disclosure documents on behalf of the company.

The resignation of the statutory auditor represents a significant corporate governance development that requires immediate attention to ensure compliance with regulatory requirements and maintain investor confidence.