UTL Industries Reports Significant Profit Turnaround in Q1 FY2026

UTL Industries has reported a remarkable turnaround in its financial performance for the first quarter of the fiscal year 2025-26. The company's board of directors approved the unaudited financial results for the quarter ended June 30, 2025, at a meeting held on August 14, 2025.

Financial Highlights

• Profit: UTL Industries posted a profit of Rs 7.97 crore for Q1 FY2026, marking a significant improvement from a loss of Rs 4.18 crore in the previous quarter and a loss of Rs 1.44 crore in the same quarter last year.

• Revenue: The company's revenue from operations surged to Rs 16.45 crore, compared to Rs 2.18 crore in the previous quarter and Rs 4.45 crore in the corresponding quarter of the previous year.

• Earnings Per Share (EPS): The basic and diluted earnings per share stood at Rs 0.02 for the quarter.

Segment Performance

UTL Industries operates in two segments: SMS Services and Construction. The segment-wise performance for Q1 FY2026 was as follows:

The SMS Business emerged as the primary revenue generator, contributing the entire revenue for the quarter and delivering a positive segment result. However, the Construction Business, despite no revenue, incurred a segment loss.

Balance Sheet Overview

• Paid-up Equity Share Capital: The company's paid-up equity share capital remained unchanged at Rs 329.55 crore, with a face value of Re 1 per share.

• Total Assets: As of June 30, 2025, the company's total segment assets stood at Rs 439.85 crore, with the Construction Business accounting for the majority at Rs 431.59 crore.

• Total Liabilities: The total segment liabilities were reported at Rs 20.75 crore.

Management Commentary

Mr. Paras Jain, Managing Director of UTL Industries Limited, stated, "We are pleased with the company's performance this quarter, particularly the strong growth in our SMS Business segment. While challenges persist in the Construction Business, we are focused on improving overall operational efficiency and exploring growth opportunities in both segments."

Auditor's Review

The independent auditor, SD T & Co., conducted a review of the financial results and found no material misstatements. They confirmed that the financial information has been prepared in accordance with applicable Indian Accounting Standards and SEBI regulations.

UTL Industries' significant improvement in profitability and revenue growth, particularly in its SMS Business segment, signals a positive trend for the company. However, the continued losses in the Construction Business segment may require strategic attention from the management in the coming quarters.