Nidhi Granites Limited has officially notified BSE Limited regarding its exemption from corporate governance provisions under SEBI regulations for the third quarter of FY26. The company falls below the prescribed thresholds that would otherwise mandate compliance with extensive corporate governance requirements.

Regulatory Exemption Details

Under Regulation 15(2) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, Nidhi Granites Limited qualifies for exemption from corporate governance provisions due to its financial parameters as of March 31, 2025:

This exemption specifically covers compliance requirements under Regulations 17, 17A, 18, 19, 20, 21, 22, 23, 24, 24A, 25, 26, 27 and clauses (b) to (i) of sub-regulation (2) of regulation 46, along with para-C, D and E of Schedule V of LODR.

Financial Performance Trajectory

The company's financial growth over the past three years demonstrates significant expansion in both paid-up capital and net worth:

The data reveals substantial capital expansion, with paid-up equity capital doubling from FY24 to FY25, while net worth increased by ₹1.01 crores during the same period.

Compliance Impact

As a result of this exemption, Nidhi Granites Limited is not required to submit corporate governance reports for the quarter ended December 31, 2025. The company has formally communicated this status to BSE Limited through its Company Secretary, Krinisha Sanghvi, ensuring transparency in regulatory compliance matters.

The exemption has been certified by Jogin Raval & Associates, Chartered Accountants, who verified the company's financial parameters based on audited financial statements. This professional validation supports the company's claim for regulatory relief under SEBI guidelines.

Nidhi Granites Limited , a diversified company with interests in construction materials, paper and paperboard, garments, and financial technology services, has reported a mixed financial performance for the second quarter of fiscal year 2026. The company also announced plans to change its name to NGL Limited, subject to necessary approvals.

Financial Performance

For the quarter ended September 30, 2025, Nidhi Granites reported:

All figures in crore rupees

The standalone results show a net loss of ₹32.89 crore for the quarter, while the consolidated results present a more positive picture with a net profit of ₹129.18 crore. This significant difference highlights the performance of the company's subsidiaries, particularly in the financial technology sector.

Segment-wise Performance

The company's consolidated results reveal varying performances across its business segments:

1. Construction Material: No revenue reported for this quarter.
2. Paper and Paperboard: Generated revenue of ₹944.94 crore.
3. Garments: No revenue reported for this quarter.
4. Financial Technology and Related Services: Reported revenue of ₹373.16 crore.

Acquisition Impact

The company's acquisition of Auro Fintech Pvt Ltd (now renamed Paynov8 Pvt Ltd) on April 1, 2025, has impacted the consolidated results. The financial technology segment, which includes Paynov8, contributed ₹373.16 crore to the revenue and showed a segment result before tax and interest of ₹161.98 crore.

Proposed Name Change

The Board of Directors has approved a proposal to change the company name from Nidhi Granites Limited to NGL Limited. This change is subject to shareholder approval and necessary regulatory clearances.

Future Outlook

While the standalone entity faces challenges, as evidenced by the quarterly loss, the consolidated results show a different picture. The performance of subsidiaries, particularly in the financial technology sector, suggests a strategic shift that may influence future performance.

The proposed name change to NGL Limited may reflect the company's evolving business focus beyond its original granite business. Investors and stakeholders will be watching closely to see how this diversification strategy unfolds in the coming quarters.

Investors are advised to consider both standalone and consolidated results, along with segment-wise performance, when evaluating the company's overall financial position.