Ashapura minechem Limited has received a regulatory penalty from the Securities and Exchange Board of India (SEBI), as disclosed to the stock exchanges on February 05, 2026. The company informed both BSE and NSE about the adjudication order imposing a monetary penalty of Rs. 2 lakhs.

Regulatory Action Details

The SEBI adjudication order was issued under Section 15-I of the SEBI Act, 1992 read with Rule 5 of the SEBI (Procedure for Holding Inquiry and Imposing Penalties) Rules, 1995, and under Section 19H of the Depositories Act, 1996. The penalty relates to alleged lapses and omissions by the company in regulatory compliance.

Nature of Violations

The penalty was imposed for alleged violations of specific provisions under the SEBI Listing Obligations and Disclosure Requirements (LODR) Regulations, 2015. The violations include:

• Alleged violation of Regulation 30(2) of SEBI LODR Regulations, 2015
• Non-compliance with sub-para 20 of Para A of Part A of Schedule III of LODR Regulations
• Violation of SEBI circular no. SEBI/HO/CFD/CFD-PoD-1/P/CIR/2023/123 dated July 13, 2023
• Alleged violation of Regulation 30(4)(i)(a) of the LODR Regulations

Financial and Operational Impact

According to the company's disclosure to the exchanges, Ashapura Minechem Limited does not expect any material operational or financial impact emanating from this regulatory action, except for the monetary penalty of Rs. 2 lakhs that has been imposed.

Regulatory Compliance

The company has made this disclosure pursuant to Regulation 30 read with Para A of Part A of Schedule III of the SEBI LODR Regulations, 2015, demonstrating its commitment to maintaining transparency with stakeholders and regulatory compliance. The disclosure was signed by Hemul Shah, Executive Director & CEO of the company.

The company's registered office is located at Jeevan Udyog Building, 3rd Floor, 278, D. N. Road, Fort, Mumbai - 400 001, and it operates under CIN No. L14108MH1982PLC026396.

Ashapura Minechem Limited announced its financial results for the quarter and nine months ended December 31, 2025, alongside significant board appointments that strengthen the company's leadership structure. The diversified multi-mineral solutions provider demonstrated mixed performance with revenue growth offset by margin pressures in India operations while Guinea business showed improved profitability.

Q3FY26 Financial Performance

The company's consolidated financial results for Q3FY26 showed steady operational performance with income from operations reaching ₹960.43 crores, representing a marginal 0.8% increase compared to ₹952.50 crores in the previous quarter. EBITDA improved to ₹143.06 crores from ₹132.13 crores in Q2FY26, marking an 8.3% quarter-on-quarter growth.

Nine-Month Performance Highlights

The nine-month period ending December 31, 2025, showcased exceptional year-on-year growth across key financial metrics. Income from operations surged 49.7% to ₹3,268.50 crores compared to ₹2,183.69 crores in the corresponding period of the previous year.

Business Segment Performance Analysis

The company operates through four distinct business verticals with varying performance during Q3FY26. The Guinea business dealing in bauxite and iron ore mining demonstrated strong performance, while India operations faced margin pressures.

Guinea Business Operational Excellence

The Guinea business recorded improved profitability during the quarter, primarily driven by reduction in demurrage charges compared to Q2, enhanced operational and logistical efficiencies achieved through partnership with China Railways, and realization of customer contracts priced higher than prevailing bauxite index prices. Bauxite export volumes increased to 1.39 million metric tons from 1.33 million metric tons in the previous quarter, with EBITDA per metric ton improving to $10.5 from $8.9.

Board Appointments and Leadership Changes

The Board of Directors approved several key appointments during its meeting held on February 5, 2026. Mr. Hemul Shah received re-appointment as Executive Director and Chief Executive Officer for an additional two-year term commencing February 16, 2026, subject to shareholder approval. The board also appointed two new independent directors - Mr. Jagdish Shetty and Mr. Wilson Mathais - for five-year terms starting February 5, 2026.

Exceptional Items and Outlook

The company recognized exceptional items totaling ₹1.77 crores in standalone results and ₹4.56 crores in consolidated results due to implementation of New Labour Codes. Looking ahead, the company expects moderation in Guinea business EBITDA levels due to softening bauxite index prices, though this impact is expected to be partially offset through increasing operational efficiencies and volume scaling.