Syschem India Reports Net Loss of Rs 60.54 Crore in Q2 FY2026

Syschem (India) Limited , a chemical manufacturing company, has announced its unaudited financial results for the second quarter and half-year ending September 30, 2025. The company's performance shows a significant shift from profit to loss compared to the previous quarter.

Financial Performance

Syschem India reported a net loss of Rs 60.54 crore for Q2 FY2026, a stark contrast to the profit of Rs 67.18 crore in the previous quarter. This decline in profitability comes alongside a decrease in revenue from operations, which fell to Rs 1,179.24 crore from Rs 1,267.58 crore in the preceding quarter.

For a clearer picture of the company's financial performance, here's a breakdown of key figures:

Particulars (in Rs Crore)	Q2 FY2026	Q1 FY2026	Change (%)
Revenue from Operations	1,179.24	1,267.58	-6.97%
Net Profit/(Loss)	(60.54)	67.18	-190.11%
Total Assets	2,172.62	-	-
Total Equity	948.60	-	-

Half-Year Performance

For the half-year period ending September 30, 2025, Syschem India recorded a loss of Rs 422.07 crore before tax. This indicates that the company's financial challenges extend beyond the most recent quarter.

Balance Sheet Highlights

As of September 30, 2025, Syschem India's financial position shows:

Total assets stood at Rs 2,172.62 crore
Total equity amounted to Rs 948.60 crore
Trade receivables decreased to Rs 697.03 crore from Rs 895.40 crore
Inventories reduced to Rs 413.24 crore from Rs 682.78 crore

The reduction in trade receivables and inventories may suggest efforts to improve working capital management or could be a result of decreased business activity.

Board Approval and Audit Review

The Board of Directors approved these results in their meeting held on November 10, 2025. Additionally, the statutory auditors have carried out a limited review of the financial results, as stated in the company's disclosure.

Conclusion

Syschem India's Q2 FY2026 results reflect significant challenges, with a notable shift from profit to loss. The decrease in revenue and the substantial loss reported for the quarter and half-year period indicate that the company may be facing headwinds in its operating environment. Stakeholders will likely be watching closely to see how the company addresses these financial challenges in the coming quarters.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
+0.54%	-3.12%	-13.16%	+11.04%	+21.65%	+713.34%

Syschem India Limited has successfully resolved a legal dispute with QP Pharmachem, marking a significant development for the company. The case, filed under Section 138 of the Negotiable Instruments Act, has been settled through a compromise between the parties.

Settlement Details

The settlement involves a total amount of ₹5.18 crore, with Syschem India having already paid a substantial portion. Here's a breakdown of the settlement:

Description	Amount (in ₹)
Total Settlement Amount	5,18,00,000
Amount Paid	3,95,40,393
Contingent Payment	1,22,59,607

Key Points of the Settlement

Case Dismissal: Following the compromise between Syschem India and QP Pharmachem, the case has been dismissed as withdrawn.
Contingent Payment: A cheque for ₹1,22,59,607 has been issued to QP Pharmachem as a contingent payment.
Exchange Rate Provision: The contingent cheque will only be utilized if there are dollar exchange rate differences for remittance to an overseas entity in China.

Legal Proceedings

The case was heard in the Chief Judicial Magistrate - 1st Class, Taluka Court, Derabassi. The order was received by Syschem India on October 22, 2025.

Company Disclosure

Syschem India Limited has made this disclosure in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company's filing includes details about the litigation, its resolution, and the financial impact on the company.

This settlement resolves a significant legal matter for Syschem India Limited, potentially allowing the company to focus on its core business operations moving forward.