Visaka Industries , known for its diverse product portfolio including cement roofing sheets, panels, and synthetic yarns, has announced significant changes to its promoter group structure, following a recent court order and subsequent share transfer.

Court-Ordered Share Transfer

The National Company Law Tribunal (NCLT) Hyderabad branch issued an order directing the transfer of 11,54,612 equity shares, representing 93.75% of Yeshwanth Realtors Pvt. Ltd., to Dr. G. Vritika, a member of Visaka Industries' promoter group. This transfer was completed as per the company's regulatory filing.

Expansion of Promoter Group

As a result of this ownership change, two companies have been added to Visaka Industries' promoter group:

1. Yeshwanth Realtors Pvt. Ltd.: Now majority-owned by Dr. G. Vritika, a promoter group member of Visaka Industries.
2. Vigilance Security Services Pvt. Ltd.: A company in which Yeshwanth Realtors holds a 93.55% stake.

Shareholding Impact

The inclusion of these companies in the promoter group has implications for Visaka Industries' shareholding structure:

• Vigilance Security Services Pvt. Ltd. owns 41,69,120 equity shares of Visaka Industries, accounting for 4.83% of the company's paid-up share capital.
• This indirect holding through Vigilance Security Services now falls under the promoter group category.

Regulatory Compliance

Visaka Industries has stated that these changes are in line with Regulation 2(pp)(iv)(A) & (B) of SEBI (ICDR) Regulations, 2018. The company will reflect these alterations in its shareholding pattern from the upcoming quarter onwards, as communicated to the stock exchanges.

Conclusion

This restructuring of the promoter group, while not directly affecting Visaka Industries' operations, represents a significant change in its ownership structure. Investors and market watchers may want to take note of this development as it could potentially influence future decision-making and control dynamics within the company.

Visaka Industries Limited , a leading manufacturer of building products and synthetic yarn, has reported a robust financial performance for the first quarter. The company's results showcase significant growth in revenue and profitability, underscoring its strong market position and operational efficiency.

Financial Highlights

• Revenue Growth: Visaka Industries reported a consolidated revenue from operations of ₹5,055.28 crore for Q1, marking a substantial increase from ₹4,576.56 crore in the corresponding quarter of the previous year.

• EBITDA Performance: The company's EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) for Q1 stood at ₹511.00 crore, representing an impressive 30% year-on-year growth from ₹394.00 crore in Q1 of the previous year.

• Margin Improvement: The EBITDA margin expanded to 10.11% in Q1, up from 8.60% in the same period last year, indicating enhanced operational efficiency.

• Profit Before Tax: Consolidated profit before tax surged to ₹644.71 crore in Q1, compared to ₹137.13 crore in the same quarter of the previous year, boosted by an exceptional item of ₹367.43 crore.

• Net Profit: The company reported a consolidated net profit of ₹521.42 crore for the quarter, a significant increase from ₹99.60 crore in the corresponding quarter of the previous year.

Segment Performance

Visaka Industries' performance was driven by strong results across its business segments:

1. Building Products: This segment remained the primary revenue generator, contributing ₹4,369.74 crore to the total revenue in Q1.

2. Synthetic Yarn: The synthetic yarn segment showed robust growth, with revenue of ₹684.91 crore for the quarter.

3. Others: The company's other business activities contributed ₹0.63 crore to the total revenue.

Management Commentary

Dr. G. Vivek Venkatswamy, Chairman of Visaka Industries Limited, expressed satisfaction with the company's performance, stating, "Our Q1 results reflect the strength of our diverse product portfolio and our ability to capitalize on market opportunities. The significant improvement in our EBITDA and margins demonstrates our focus on operational excellence and cost management."

Exceptional Item

The company reported an exceptional item of ₹367.43 crore during the quarter, which contributed to the substantial increase in profit. This exceptional gain was attributed to the sale of land situated in Ahmedabad, Gujarat.

Outlook

With a strong start to the fiscal year, Visaka Industries is well-positioned to capitalize on the growing demand in the building products and synthetic yarn sectors. The company's improved profitability and robust balance sheet provide a solid foundation for future growth and expansion initiatives.

Visaka Industries Limited continues to focus on innovation, sustainability, and market expansion to drive long-term value for its stakeholders.

Note: All financial figures are in Indian Rupees (INR).