Sukhjit Starch & Chemicals Limited announced its unaudited financial results for Q3FY26 ended December 31, 2025, showing a significant decline in profitability amid challenging market conditions. The starch manufacturing company reported substantial drops in both quarterly and nine-month performance metrics.

Q3FY26 Standalone Performance

The company's standalone operations reflected considerable pressure during the third quarter. Net profit declined sharply by 62.59% to ₹4.04 crores compared to ₹10.80 crores in Q3FY25. Revenue from operations decreased 7.89% to ₹343.86 crores from ₹373.35 crores in the corresponding quarter of the previous year.

Nine-Month FY26 Results

The nine-month performance showed similar trends with net profit falling 65.28% to ₹12.86 crores from ₹37.04 crores in the corresponding period of FY25. Revenue from operations declined 9.17% to ₹1,023.74 crores compared to ₹1,127.05 crores in the previous year. EBITDA for the nine-month period stood at ₹60.11 crores with a margin of 5.87% compared to ₹92.36 crores and 8.19% margin in the previous year.

Consolidated Results

On a consolidated basis, the company reported net profit of ₹3.13 crores for Q3FY26 compared to ₹10.78 crores in Q3FY25, representing a decline of 71.00%. Consolidated revenue from operations decreased to ₹347.00 crores from ₹375.26 crores in the previous year quarter.

Cost Structure and Margins

The company's cost of material consumed stood at ₹238.37 crores in Q3FY26 compared to ₹304.20 crores in Q3FY25. Employee benefits expense remained relatively stable at ₹16.64 crores versus ₹17.19 crores. Finance costs increased to ₹7.73 crores from ₹7.06 crores in the corresponding quarter.

Earnings Per Share

Standalone basic and diluted earnings per share for Q3FY26 were ₹1.29 compared to ₹3.46 in Q3FY25. For the nine-month period, EPS declined to ₹4.12 from ₹11.86 in the previous year. The company's paid-up equity share capital remained unchanged at ₹15.62 crores with a face value of ₹5 per share.

Regulatory Compliance and Publication

The company filed its quarterly results with stock exchanges on February 12, 2026, under Regulation 33 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The results were subsequently published in Financial Express (English) and Jag Bani (vernacular) newspapers as per regulatory requirements under Regulation 30 and 47.

Business Operations

The company operates primarily in starch manufacturing and its derivatives as a single business segment. The consolidated results include subsidiaries Sukhjit Mega Food Park & Infra Ltd., The Vijoy Steel and General Mills Co. Ltd., and Scott Industries Ltd. The company is headquartered at Sarai Road, Phagwara, Punjab, and maintains its registered office at the same location.

Sukhjit Starch & Chemicals Limited has issued a clarification to BSE regarding recent price movements in its shares, responding to an inquiry from the exchange's surveillance department dated December 31, 2025.

Company's Response to Price Movement Inquiry

The company received a communication from BSE's surveillance department seeking clarification on price movements. In its response dated January 01, 2026, the management addressed the exchange's concerns about recent share price and volume behavior.

Management's Explanation

The company attributed the recent price and volume movements to market perception and analysis about the industry, along with prevailing capital market conditions. Management emphasized that these factors are beyond their control and requested the exchange's understanding of this situation.

The company stated that management does not have any new information to share with shareholders beyond the financial data and other information already available in the public domain.

Compliance with Disclosure Requirements

Sukhjit Starch & Chemicals reaffirmed its commitment to regulatory compliance and transparency. The company highlighted several key points regarding its disclosure practices:

• Prompt sharing of all necessary information that may impact company operations or performance
• Timely disclosure of developments affecting price or volume behavior
• Compliance with unpublished price-sensitive information requirements
• Adherence to SEBI LODR Regulations 2015

Future Disclosure Commitments

The management reiterated its commitment to continue making appropriate disclosures as and when any price-sensitive events occur or when developments are in the interest of shareholders. This commitment aligns with the provisions of SEBI Listing Obligations and Disclosure Requirements Regulations 2015.

The company's response demonstrates its adherence to regulatory requirements while explaining that current price movements reflect market dynamics rather than any undisclosed material information.