Shilchar Technologies Limited has announced a postal ballot process to seek shareholder approval for significant board appointments and remuneration adjustments. The company issued the notice on February 2, 2026, outlining four key resolutions that require member approval through electronic voting.

Key Resolutions for Shareholder Approval

The postal ballot covers four critical corporate governance matters that will shape the company's leadership structure:

Director Appointments and Remuneration Details

Mr. Aatman Alay Shah - New Whole-Time Director

The company proposes to appoint Mr. Aatman Alay Shah, son of promoter and Managing Director Mr. Alay J Shah, as Director with effect from March 6, 2026. Subsequently, he would be designated as Whole-Time Director (Executive Director) for a five-year term from March 6, 2026, to March 5, 2031.

Key appointment details:

Mr. Aatman Alay Shah previously served as Manager-Operations from November 2016 to June 2022, overseeing marketing, production, procurement, and design departments. His remuneration will be subject to statutory limits of 5% of net profits for individual directors and 10% aggregate for all executive directors.

Mr. Arvind Nopany - Independent Director

The board recommends appointing Mr. Arvind Nopany (DIN: 00148521) as Non-Executive Independent Director for five years from March 6, 2026, to March 5, 2031. He holds a Bachelor's degree in Commerce from Sydenham College of Commerce & Economics, Mumbai, and a Master's degree from Armstrong University, USA, with specialization in Management & Marketing.

Remuneration Increase for Existing Director

The company seeks approval to increase Mr. Aashay Alay Shah's remuneration from Rs 12 lakhs per month to Rs 14 lakhs per month, effective April 1, 2026. The increase recognizes his contributions to company growth, customer relationships, and export initiatives.

E-Voting Process and Timeline

Shareholders can participate in the postal ballot exclusively through electronic voting, with no physical ballot forms being distributed. The voting process details are:

Only members whose names appear in the Register of Members or Register of Beneficial Owners as on the cut-off date will be entitled to vote. The company will send notices electronically to registered email addresses.

Corporate Governance Compliance

The proposed appointments align with regulatory requirements under the Companies Act, 2013, and SEBI Listing Regulations. The remuneration structure for executive directors who are promoter group members requires special resolution approval as per Regulation 17(6)(e) of SEBI LODR, given the annual remuneration exceeds Rs 5 crore or 2.5% of net profits.

The company confirmed that overall managerial remuneration paid to all Executive Directors remained within statutory limits of 10% of net profits during FY 2024-25, with individual director remuneration also within the 5% limit.

Results Declaration

The scrutinizer will submit his report to the Chairman upon completion of vote counting. Results will be announced within two working days of the e-voting conclusion and communicated to BSE Limited and National Stock Exchange of India Limited. The results will also be available on the company's website at www.shilchar.com .

Shilchar Technologies Limited submitted its investor presentation for Q3 FY26 and nine months ended December 31, 2025, to BSE and NSE on January 31, 2026, pursuant to Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulation, 2015. The presentation was digitally signed by Company Secretary & Compliance Officer Vishnupriya Civichan.

Quarterly Financial Performance

The company delivered robust financial results for Q3 FY26, showing significant improvement across key metrics compared to the corresponding period in the previous year.

Nine-Month Performance Analysis

The nine-month period ending December 31, 2025, demonstrated even stronger growth trajectory, with the company significantly outperforming previous year results.

Management Commentary and Market Outlook

According to the investor presentation, Shilchar continues its healthy financial trajectory through Q3 and 9MFY26, delivering robust all-around performance. The company reported revenue of ₹170 crore in Q3 and ₹500 crore in 9M, reflecting year-over-year growth of 11% and 28% respectively, while maintaining robust profitability margins and operational efficiency.

The domestic renewable energy industry continues to exhibit strong momentum, with capacity additions of approximately 34.7GW in 9MFY26, already surpassing the 28.7GW added in the whole of FY25, as per data released by the Ministry of New and Renewable Energy (MNRE). This sustained growth in the renewable energy segment augurs well for Shilchar's core domestic business in renewable transformers.

Export Challenges and Strategic Response

On the export front, a prolonged resolution to the India-US trade agreement and interim tariffs has led to a temporary moderation in order inflows during Q3. The company remains closely engaged with its customers to mitigate potential impacts while expanding its presence in existing markets like Middle East and newer emerging export geographies, as well as strengthening its domestic order book to offset near-term headwinds in the US.

Business Outlook and Capacity Expansion

The company's business outlook remains positive, with focus on optimal utilization of existing capacities in Q4 and the forthcoming financial year. Management is progressing on the Gavasad Expansion #3 project, scheduled for commissioning in April 2027, which reinforces confidence in growth for the coming years. The order pipeline for FY26 is expected to be ₹750-800 crores, supported by robust order inquiries from domestic and export clients.

Regulatory Compliance Details

The company operates in a single business segment of Transformers & Parts and maintains a debt-free balance sheet with substantial cash reserves. The existing production capacity stands at 7,500 MVA with an additional 6,500 MVA capacity under commissioning.