Duncan Engineering Secures Favorable Court Ruling Against Pelican Rubber Limited

Duncan Engineering Limited (formerly known as Schrader Duncan Limited) has emerged victorious in a legal battle against Pelican Rubber Limited, as ruled by the Commercial Dispute Court in Hyderabad. The court's decision is expected to have a positive financial impact on Duncan Engineering, marking a significant development for the company.

Key Points of the Court Ruling

Aspect	Details
Court	Commercial Dispute Court, Hyderabad
Ruling Date	December 8, 2025
In Favor Of	Duncan Engineering Limited
Against	Pelican Rubber Limited
Amount Awarded	Rs. 83.92 lakh
Interest Rate	12% per annum from suit date to decree date
Future Interest	6% per annum from decree date until realization
Principal Amount	Rs. 60.38 lakh

Background of the Case

Duncan Engineering initiated the litigation on October 31, 2018, which has been decreed in the company's favor with costs. This resolution comes after a prolonged legal process spanning over seven years.

Financial Implications

The court has directed Pelican Rubber Limited to pay Duncan Engineering a total of Rs. 83.92 lakh. This amount includes:

The principal sum of Rs. 60.38 lakh
Interest at 12% per annum from the date of the suit to the date of the decree
Future interest at 6% per annum from the date of the decree until the full realization of the amount

Duncan Engineering anticipates a favorable financial impact upon the realization of this awarded amount, which could potentially strengthen its financial position.

Company's Statement

In compliance with Regulation 30 of the SEBI (Listing Obligations Disclosure Requirements) Regulations, 2015, Duncan Engineering has formally notified the BSE Limited about this development. The company views this outcome as a positive step, expecting it to contribute to its financial health once the awarded amount is realized.

Conclusion

This legal victory for Duncan Engineering underscores the importance of resolving commercial disputes through proper legal channels. As the company moves forward, the financial boost from this ruling may provide additional resources for its operations and strategic initiatives. Investors and stakeholders will likely monitor how this development influences the company's financial statements in the coming quarters.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-4.16%	-0.93%	+5.59%	+7.62%	-27.30%	+280.59%

Duncan Engineering Limited , a player in the general engineering products segment, has released its unaudited financial results for the first quarter ended June 30, 2025. The company experienced a significant decline in revenue but managed to maintain a steady profit level compared to the previous quarter.

Financial Performance Highlights

The company reported a total income of Rs. 1,477.37 lakhs for Q1 FY2026, marking a substantial decrease of 30.7% from Rs. 2,132.96 lakhs in the previous quarter. The revenue from operations saw an even steeper decline of 31.8%, falling to Rs. 1,400.64 lakhs from Rs. 2,054.11 lakhs in the prior quarter.

Despite the revenue contraction, Duncan Engineering managed to maintain its profit levels. The net profit after tax stood at Rs. 124.03 lakhs, only marginally lower than the Rs. 125.16 lakhs reported in the previous quarter. This represents a slight decrease of 0.9% in net profit.

Key Financial Metrics

Particulars (Rs. in Lakhs)	Q1 FY2026	Q4 FY2025	% Change
Revenue from Operations	1,400.64	2,054.11	-31.8%
Total Income	1,477.37	2,132.96	-30.7%
Net Profit After Tax	124.03	125.16	-0.9%
EPS (Basic & Diluted) (Rs.)	3.36	3.39	-0.9%

The company's earnings per share (EPS) for the quarter stood at Rs. 3.36 for both basic and diluted calculations, compared to Rs. 3.39 in the previous quarter.

Operational Performance

The cost of materials consumed decreased to Rs. 967.67 lakhs in Q1 FY2026 from Rs. 1,167.55 lakhs in the previous quarter, aligning with the reduced revenue. Employee benefits expense also saw a slight increase to Rs. 467.50 lakhs from Rs. 457.16 lakhs in the prior quarter.

Board Approval and Auditor's Review

The unaudited financial results were approved by the Board of Directors at their meeting held on July 25, 2025. S S Kothari Mehta & Company LLP, the statutory auditors, conducted a limited review of the results and issued an unmodified opinion.

Segment Information

Duncan Engineering Limited continues to operate within a single primary business segment, namely "General Engineering Products."

The company's ability to maintain its profit levels despite a significant revenue decline suggests effective cost management strategies. However, the substantial drop in revenue may raise concerns about market conditions or competitive pressures in the general engineering products sector. Investors and stakeholders will likely be keen to see how Duncan Engineering addresses these challenges in the coming quarters.