Krypton Industries Limited has clarified to the Bombay Stock Exchange (BSE) that the Escrow Payment Mechanism requirements under SEBI regulations are not applicable to the company. The clarification was submitted on February 12, 2026, in response to BSE's inquiry regarding escrow payment mechanism details.

Company's Position on Escrow Requirements

The company explicitly stated that the requirement for submission of Escrow Payment Mechanism details does not apply to Krypton Industries Limited. The key details of the clarification include:

Rationale for Non-Applicability

Krypton Industries Limited provided a clear rationale for the non-applicability of escrow payment mechanism requirements. The company confirmed that it has not issued any instruments or arrangements that would necessitate compliance with the escrow payment mechanism provisions under relevant SEBI regulations.

Regulatory Compliance Status

The company emphasized that no disclosure or submission is required regarding the Escrow Payment Mechanism. This clarification ensures transparency with the stock exchange and confirms the company's compliance status with respect to SEBI's escrow payment requirements.

Official Communication Details

The clarification was digitally signed by Priya Agarwal, Company Secretary and Compliance Officer, on February 12, 2026, at 12:09:49 +05'30'. The communication was addressed to BSE's Phiroze Jeejeebhoy Towers office in Mumbai and serves as an official record of the company's position on escrow payment mechanism applicability.

Krypton Industries Limited delivered impressive financial performance in Q3FY26, demonstrating strong operational efficiency and growth momentum. The company's net profit witnessed substantial growth of 218% year-on-year, reflecting improved business fundamentals across its diversified portfolio.

Financial Performance Highlights

The company's standalone financial results for the quarter ended December 31, 2025 showed remarkable improvement across key metrics:

For the nine-month period ended December 31, 2025, the company maintained strong performance with net profit reaching ₹186.29 lakhs compared to ₹116.98 lakhs in the corresponding period of the previous year, representing a growth of 59.26%.

Segment-wise Performance Analysis

Krypton Industries operates across three primary business segments, each contributing differently to overall performance:

The Hospital Equipments segment showed significant revenue growth, nearly doubling from the previous year, while the Tyre, Rim & Wheels segment experienced a decline in revenue but maintained profitability.

Board Decisions and Corporate Governance

The Board of Directors approved several important resolutions during their meeting held on February 10, 2026:

Sitting Fee Enhancement

The Board approved an increase in sitting fees for Independent Directors from ₹3,000 to ₹5,000 per meeting for attending Board and Committee meetings. This revision will be effective from the next Board Meeting and complies with Section 197(5) of the Companies Act, 2013 and SEBI LODR Regulation 17(6).

Remuneration Policy Review

The Board reviewed the company's Remuneration Policy, which was last updated in July 2014. The policy was found to be in alignment with applicable statutory provisions and corporate governance requirements for attracting and retaining competent managerial personnel.

Postal Ballot Approval

The Board approved a Postal Ballot Notice seeking shareholder approval for various matters in accordance with Section 110 of the Companies Act, 2013. The Company Secretary was authorized to conduct the postal ballot process, including electronic voting.

Operational Efficiency Improvements

The company demonstrated improved cost management with total expenses increasing marginally to ₹1,173.43 lakhs in Q3FY26 from ₹1,045.34 lakhs in Q3FY25. Key expense categories showed controlled growth:

• Cost of materials consumed: ₹682.53 lakhs (Q3FY26) vs ₹478.40 lakhs (Q3FY25)
• Employee benefits expense: ₹109.61 lakhs vs ₹134.21 lakhs
• Finance costs: ₹46.92 lakhs vs ₹44.39 lakhs
• Other expenses: ₹207.34 lakhs vs ₹286.09 lakhs

The company reported an exceptional item of ₹1.40 lakhs related to the impact of new Labour Codes notified by the Government of India on November 21, 2025. The consolidated financial results showed similar trends with net profit of ₹70.91 lakhs for Q3FY26 compared to ₹19.67 lakhs in Q3FY25.