Veejay Lakshmi Engineering Works Limited reported challenging financial performance for the third quarter of FY26, with the company posting a net loss of ₹173.40 lakhs compared to a profit of ₹19.00 lakhs in the corresponding quarter of the previous year. The results were approved by the Board of Directors at their meeting held on February 12, 2026.

Financial Performance Overview

The company's revenue from operations declined significantly by 30.15% to ₹1597.92 lakhs in Q3FY26 from ₹2287.73 lakhs in Q3FY25. Total income, including other income of ₹88.77 lakhs, stood at ₹1686.69 lakhs for the quarter.

Nine-Month Performance

For the nine-month period ended December 31, 2025, the company's financial position deteriorated further. Revenue from operations declined to ₹5578.18 lakhs from ₹6175.12 lakhs in the corresponding period of FY25, representing a decrease of 9.67%. The net loss widened significantly to ₹532.25 lakhs compared to ₹181.94 lakhs in the previous year.

Segment-wise Performance

The company operates through two main divisions - Engineering and Textile. Both segments reported losses during the quarter, with the Textile division bearing the larger impact.

Exceptional Items and Labour Code Impact

The company reported exceptional items of ₹6.46 lakhs during the quarter, attributed to the implementation of new labour codes effective from November 21, 2025. The Government of India consolidated multiple existing labour laws into four unified labour codes, resulting in a one-time increase in employee benefit provisions as per actuarial valuation.

Earnings Per Share and Capital Structure

The company's earnings per share (EPS) turned negative at ₹(3.42) for Q3FY26 compared to positive ₹0.37 in Q3FY25. For the nine-month period, EPS stood at ₹(10.49) against ₹(3.59) in the previous year. The paid-up equity share capital remained unchanged at ₹507.19 lakhs with a face value of ₹10 per share.

Consolidated Results

The consolidated financial results, which include the associate company Veejay Sales and Services Limited, showed similar trends. The consolidated net loss for Q3FY26 was ₹173.40 lakhs, with the associate contributing a profit of ₹3.62 lakhs during the quarter and ₹20.03 lakhs for the nine-month period.

The financial results were reviewed by the Audit Committee and received an unmodified opinion from statutory auditors N.R.D. Associates, Chartered Accountants, dated February 12, 2026.

Veejay Lakshmi Engineering Works Limited has announced the retirement of Independent Director Sri Krishnamoorthi Narendra following the completion of his second consecutive five-year term. The retirement became effective on December 24, 2025, marking the end of his decade-long association with the company's board.

Director Retirement Details

The Board of Directors formally acknowledged Sri Krishnamoorthi Narendra's retirement at their meeting held on December 31, 2025. The retirement was necessitated by the expiry of his second term as Independent Director, in accordance with regulatory requirements.

Tenure and Service Record

Sri Krishnamoorthi Narendra's association with Veejay Lakshmi Engineering Works Limited spanned exactly ten years. He was initially appointed as an Independent Director on December 25, 2015, and subsequently reappointed for his second term during the Annual General Meeting held in September 2019.

Regulatory Compliance

The retirement announcement was made in compliance with SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, read with SEBI/HO/CFD/CFD-POD1/P/CIR/2023/123 dated July 13, 2023. The company has fulfilled all disclosure requirements related to the directorial change.

Board Resolution and Appreciation

The Board of Directors passed a resolution acknowledging Sri Krishnamoorthi Narendra's retirement and expressed deep appreciation for his invaluable guidance and exemplary services rendered during his entire tenure. The resolution specifically recognized his contributions throughout his decade-long service as an Independent Director on the company's board.

The company secretary and compliance officer V.K. Swaminathan signed the official communication regarding the retirement, ensuring proper documentation and regulatory compliance for this directorial change.