Modern Threads (India) Limited has announced key changes in its executive leadership structure following a board meeting held on January 7, 2026. The textile company disclosed these developments under Regulation 30 of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Executive Leadership Transition

The board has approved the appointment of Mr. Prabodh Kumar Nahar as Additional Director designated as Executive Director, effective January 7, 2026. This appointment, made on the recommendation of the Nomination and Remuneration Committee, is subject to shareholder approval. Nahar currently serves as the company's Chief Financial Officer under Section 203 of the Companies Act, 2013.

Outgoing Executive Director

Concurrently, Mr. Ram Awatar Kabra has resigned from his position as Executive Director, with his resignation taking effect from the close of business hours on January 7, 2026. Kabra cited health issues and personal reasons for his departure, confirming no other material reasons influenced his decision.

New Executive Director Profile

Mr. Prabodh Kumar Nahar brings substantial experience to his new role. He holds a Post Graduate degree in Commerce from the University of Rajasthan and is a Fellow member of the Institute of Chartered Accountants of India (ICAI). With approximately 37 years of experience, his expertise spans finance, commercial operations, accounts, taxation, legal matters, administration, and management.

The company has confirmed that Nahar is not related to any existing director and is not debarred from holding directorial positions by SEBI or any other regulatory authority.

Board Committee Restructuring

Following these leadership changes, the board has reconstituted both the Audit Committee and Stakeholder's Relationship Committee to ensure continued effective governance and oversight.

Regulatory Compliance

The announcements comply with SEBI Circular No. SEBI/HO/CFD/PoD2/CIR/P/0155 dated November 11, 2024, with detailed disclosures provided to both the Bombay Stock Exchange and National Stock Exchange of India. Modern Threads (India) Limited, headquartered in Bhilwara, Rajasthan, operates in the textile sector and maintains its registered office at Modern Woollens, Pragati Path.

Modern Threads (India) Limited, a textile company, has reported a significant increase in revenue for the first quarter of fiscal year 2026, despite facing challenges in profitability. The company's financial results for Q1 FY2026 reveal a mixed performance, with strong top-line growth offset by margin pressures.

Revenue Growth and Financial Highlights

Modern Threads reported a total income of Rs. 7161.39 lakhs for Q1 FY2026, marking a substantial 21.5% increase from Rs. 5893.28 lakhs in the corresponding quarter of the previous year. The company's revenue from operations grew by 20.3% to Rs. 6986.41 lakhs, indicating robust demand for its textile products.

Profitability Challenges

Despite the strong revenue growth, the company faced significant challenges in maintaining profitability:

• Net profit after tax declined sharply to Rs. 0.63 lakhs, compared to Rs. 18.38 lakhs in Q1 FY2025.
• EBITDA margin contracted to 0.4% from 1.4% year-over-year, reflecting increased cost pressures.

Key Financial Metrics

Management Commentary and Outlook

The management of Modern Threads attributed the strong revenue growth to improving domestic demand in their textile business. However, they noted that profitability was under pressure due to elevated input costs.

To address these challenges, the company is focusing on several strategic initiatives:

1. Improving operational efficiencies
2. Enhancing product mix with value-added offerings
3. Implementing cost optimization measures
4. Exploring new export markets

The management expects revenue growth momentum to continue but remains cautious about the margin outlook due to ongoing input cost pressures.

Conclusion

While Modern Threads (India) Limited has demonstrated strong revenue growth in Q1 FY2026, the company faces significant challenges in maintaining profitability. The management's focus on operational improvements and market expansion will be crucial in navigating the current economic environment and improving bottom-line performance in the coming quarters.