Interarch Building Solutions Limited (formerly known as Interarch Building Products Limited) has received the Monitoring Agency Report for the quarter ended March 31, 2026, from Crisil Ratings Limited, pertaining to the utilisation of proceeds from its Initial Public Offer (IPO). The report was submitted to the stock exchanges on May 15, 2026, in compliance with Regulation 32(6) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and Regulation 41(2) of the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018.

IPO Issue Overview

The company's IPO, which ran from August 19, 2024, to August 21, 2024, comprised a fresh issuance of Rs 2,000.00 million in equity shares. After accounting for issue expenses of Rs 119.02 million, the net proceeds available for deployment stood at Rs 1,880.98 million. The report was prepared on the basis of a peer-reviewed independent chartered accountant certificate dated April 28, 2026, issued by M/s Bansal & Co LLP, Chartered Accountants (Firm Registration Number: 001113S/N500079).

Revised Allocation of IPO Proceeds

The original allocation of IPO proceeds has been revised multiple times following shareholder approvals. The most recent revision, approved via special resolution dated March 28, 2026, reallocated Rs 26.50 million from Object 1, Rs 102.90 million from Object 2, and Rs 0.42 million from Object 6 towards a new object — "Civil and PEB of AP Heavy Facility-II at Andhra Pradesh" — amounting to Rs 129.82 million, with a revised utilisation timeline of March 31, 2027.

The revised cost allocation across all objects is summarised below:

Utilisation Progress for the Quarter Ended March 31, 2026

During the quarter ended March 31, 2026, the company utilised Rs 7.79 million across various objects, bringing the cumulative utilisation to Rs 1,707.32 million out of the total Rs 2,000.00 million. The total unutilised amount as at the end of the reported quarter stood at Rs 292.68 million.

Deployment of Unutilised Proceeds

The unutilised IPO proceeds of Rs 292.68 million have been deployed in fixed deposits and bank accounts. As at March 31, 2026, the total market value of these investments stood at Rs 306.19 million, with earnings of Rs 38.02 million recorded.

Implementation Delays and No Deviations

The Monitoring Agency confirmed no deviation from the objects of the issue during the quarter ended March 31, 2026. However, delays in implementation were noted for three objects:

• Object 1 (Setting up the Project): Against an estimated utilisation of Rs 220.93 million by Fiscal 2026, only Rs 182.93 million had been utilised as at the end of the reported quarter.
• Object 2 (Manufacturing Facility Upgradation): Against an estimated utilisation of Rs 284.76 million by Fiscal 2026, only Rs 225.05 million had been utilised as at the end of the reported quarter.
• Object 3 (IT Infrastructure): Against an estimated utilisation of Rs 113.92 million by Fiscal 2025, only Rs 49.32 million had been utilised as at the end of the reported quarter.

In line with the Postal Ballot Notice dated February 19, 2026, the Board of Directors of the company, via a resolution dated May 13, 2026, accorded approval for utilisation of the unutilised proceeds during Financial Year 2026-27 towards the objects of the issue.

Interarch Building Solutions announced its audited financial results for the quarter and year ended March 31, 2026, reporting a milestone performance with its highest-ever revenue and profitability. The company's Profit After Tax (PAT) for FY26 grew 24.8% year-on-year to INR 135 Cr., while revenue from operations rose 30.6% to INR 1,898 Cr. from INR 1,453 Cr. in FY25. The Board of Directors has recommended a final dividend of INR 12.50 per equity share of face value INR 10 each for FY26, subject to shareholders' approval. The audited results were approved by the Board of Directors at their meeting held on May 13, 2026.

Financial Performance Overview

The company delivered strong growth across key financial metrics for both the full year and the quarter ended March 31, 2026. The following table summarizes the consolidated financial performance:

For Q4FY26, net revenue increased 8.7% YoY to INR 504 Cr., while EBITDA (excluding other income) rose 8.1% YoY to INR 53 Cr. PAT for the quarter stood at INR 37 Cr., reflecting a marginal decline of 5.4% YoY compared to INR 39 Cr. in Q4FY25. For the full year FY26, EBITDA (excluding other income) grew 29.4% to INR 176 Cr. from INR 136 Cr. in FY25, with an EBITDA margin of 9.3%. The statutory auditors, M/s S. R. Batliboi & Co. LLP, issued an unmodified opinion on the audited financial results.

Order Book and Capacity Expansion

The company's total order book as of April 30, 2026 stood at INR 1,703 Cr., supported by a healthy and diversified order pipeline. During FY26, Interarch Building Solutions invested over INR 127 crores towards capacity expansion across its Andhra Pradesh, Kiccha, and Gujarat facilities. The company acquired land adjacent to its Andhra Pradesh facility to expand into heavy steel structures and also acquired land in Gujarat for a new Pre-Engineered Building (PEB) manufacturing facility located within a major industrial cluster, targeting sectors such as electric vehicles and semiconductors. Construction activities at both facilities are progressing, with the company targeting commissioning of both plants by Q2FY27.

Export Initiatives and Strategic Partnerships

Interarch Building Solutions successfully secured export certifications for Canada and the USA, with export orders worth over INR 40 crores received during FY26. The company entered into a Memorandum of Understanding (MoU) with ER Steel, Canada, for strategic collaboration in the structural steel and pre-engineered buildings business across Canada and North America. Additionally, the company approved an MoU for the exploration and development of the Open Web Steel Joists (OWSJ) business, with a proposed 50:50 equity participation in a joint venture entity, subject to feasibility studies.

Management Commentary

Commenting on the performance, Mr. Arvind Nanda, Managing Director, Interarch Building Solutions Ltd., said, "FY26 marked a milestone year for the Company, as we delivered our highest-ever performance, supported by improving private sector capex trends in India. Private investments re-emerged as the key driver of the capital expenditure cycle during the year, contributing over 70% of new project investments across the country, creating strong momentum across our core end markets. Our order book remains strong at INR 1,703 Cr., supported by a healthy and diversified order pipeline, providing strong visibility for sustained growth in the coming quarters. The Company remains confident in its growth outlook, supported by a robust order pipeline, strong customer relationships, a net cash positive balance sheet, disciplined working capital management, and healthy cash flows."

Corporate Governance Updates

In its board meeting held on May 13, 2026, the company approved the re-appointment of M/s BDO India LLP as Internal Auditors and M/s JSN & Co. as Cost Auditors for the financial year 2026-27. The statutory auditors, M/s S. R. Batliboi & Co. LLP, issued an unmodified opinion on the audited financial results.

Source: None/Company/INE00M901018/dce06c39-ddc1-4362-a8be-f3d684672c8b.pdf