Acknit Industries Ltd

Dividend & AGM Details

• Final dividend of Rs 1.50 per equity share for FY2025-26, subject to AGM declaration.
• Type of security: Equity shares.
• Record date: 09 September 2026.
• Book closure: 10 September 2026 to 16 September 2026 (inclusive).
• Dividend payment to shareholders with updated bank details; others after KYC.
• Tax: TDS deducted at source under IT Act 2025.
• IEPF transfer: unclaimed dividends after 7 years to IEPF by 24 Oct 2026.
• AGM to be held via VC/OAVM.

Financial snapshot

• Total revenue 24,076.43 Lakhs; YoY flat at -0.03%.
• PAT 818.41 Lakhs; down from 899.51.
• Total comprehensive income 833.90 Lakhs; down from 894.46.
• EPS 26.92 Rs; decline from 29.59.
• Dividend proposed: Rs 1.50 per share (15%).
• PBT 1,091.70; tax 273.29; PAT 818.41.
• Share capital 30.40 million; paid-up 304 Lakhs.

Segment performance

• Hand Gloves revenue 12,691.72; segment profit 1,426.99.
• Garments revenue 8,969.39; segment profit 486.34.
• Power Generation revenue 30.24; segment loss 20.58.
• Others/Traded Items revenue 2,351.26; segment profit 62.35.
• Total segment profit 1,955.10; unallocated expenses 480.05; PBT 1,091.70.

Dividend & capital allocation

• Final dividend 1.50 per equity share proposed.
• Dividend payable to shareholders registered by 09-Sep-2026; gross 45.60 Lakhs.
• General Reserve increased by 500 Lakhs to 7,000.00.
• Retained earnings 1,462.56 Lakhs.
• CSR spend 23.85 Lakhs; 2% avg net profit 23.84; unspent 0.

Debt & liquidity

• Total borrowings 7,070.26 Lakhs; short-term 5,822.04; long-term 1,248.22.
• Current ratio 1.71x; current assets 13,377.87; current liabilities 7,832.70.
• Cash flow: Operating 467.70; Investing -1,227.34; Financing 771.92.
• No default on long-term borrowings; liquidity considered adequate.

Governance & leadership

• Board comprises 8 members; 10 meetings held in FY2025-26.
• Independent Directors appointed: Tushar Jhunjhunwala and Amitava Mazumder.
• Re-appointments: Rajarshi Ghosh and Shankar Lal Bajaj; Deo Kishan Saraf and Abhishek Saraf.
• CS: Sneha Gupta appointed Aug 13, 2025; former Paulami Mukherjee resigned Jun 17, 2025.
• MD re-appointment and terms of directors outlined in notices.

Audit & controls

• Statutory Auditor: SRB & Associates; Internal Auditor: Abhijit Pal; Secretarial Auditor: Rekha Goenka.
• Internal financial controls found adequate; no material weaknesses observed.
• Secretarial audit reports annexed; no qualifications reported.

Related party transactions

• Material RPT: Acme Safety Wears Limited; value 3,609.35 Lakhs; ongoing.
• Related party transactions with Acme entities include sales/purchases; board approvals dated 28-May-2025.
• Disclosures of related party transactions included in annual notes (Form AOC-2).

CSR & ESG

• CSR policy disclosed on company website; CSR report annexed.
• CSR spent 23.85 Lakhs; 2% avg net profit 23.84; excess/shortfall not applicable.
• CSR Committee dissolved; governance aligned with statutory requirements.

Outlook & risks

• Management focuses on PPE expansion: Falta, Banipur, Jhautala facilities.
• Plans to diversify into leather goods, safety gear, helmets; export growth emphasis.
• Risks include margin pressure, FX volatility, raw material costs, supply chain risks.

Board approval & results

• Board approved unaudited quarterly results for quarter ended 30 June 2026.
• Limited Review Report by SRB & Associates enclosed.
• Geopolitical tensions in the Middle East noted; company reports growth in top and bottom lines.
• Board meeting held 10 August 2026 from 1:00 pm to 3:00 pm.
• Encl: Unaudited Financial Results & Limited Review Report for quarter ended 30 June 2026.

Certificate enclosure

• Certificate under Regulation 74(5) for the quarter received from the Registrar and Transfer Agent.
• The filing does not specify dematerialisation/rematerialisation processing, listing, or certificate status in this chunk.

New Independent Directors appointed

• Tushar Jhunjhunwala appointed Additional Non-Executive Independent Director, effective 14 July 2026, for five years.
• Amitava Mazumder appointed Additional Non-Executive Independent Director, effective 14 July 2026, for five years.
• Not debarred by SEBI or other authorities.

Re-appointment of Independent Director

• Shankar Lal Bajaj re-appointed Independent Director for second five-year term from 25 September 2026.
• Appointment is subject to shareholders' approval and not liable to retire by rotation.
• Not debarred by SEBI or other authorities.

Acknit Industries Limited: Trading Window closed from Wednesday, 01st July, 2026 till 48 hours after declaration of the Unaudited Financial Results for the quarter ended 30th June, 2026.

Credit Rating Action

• ICRA reaffirmed long-term rating at [ICRA]BBB (Stable)
• ICRA reaffirmed short-term rating at [ICRA]A3+
• Outlook on long-term rating reaffirmed as Stable

Instruments and Ratings

• Long-term fund-based working capital facilities rated [ICRA]BBB (Stable) for Rs. 70.00 crore
• Long-term fund-based term loan rated [ICRA]BBB (Stable) for Rs. 15.18 crore
• Short-term non-fund based working capital facilities rated [ICRA]A3+ for Rs. 6.02 crore
• Long-term/short-term non-fund based working capital facilities rated [ICRA]BBB (Stable)/A3+ for Rs. 2.00 crore
• Long-term/short-term unallocated limits rated [ICRA]BBB (Stable)/A3+ for Rs. 0.02 crore

Rating Agency

• Ratings assigned and reaffirmed by ICRA Limited

Rating Surveillance

• Ratings due for surveillance within one year from rating communication date
• ICRA may review ratings anytime based on new or missing information

Bank Limits Details

• State Bank of India cash credit and working capital limits Rs. 70.00 crore rated [ICRA]BBB (Stable)
• State Bank of India term loans totaling Rs. 15.18 crore rated [ICRA]BBB (Stable)
• State Bank of India letter of credit Rs. 4.50 crore rated [ICRA]A3+
• State Bank of India forward contract limit Rs. 1.52 crore rated [ICRA]A3+
• State Bank of India bank guarantee Rs. 2.00 crore rated [ICRA]BBB (Stable)/A3+
• Unallocated limits Rs. 0.02 crore rated [ICRA]BBB (Stable)/A3+

Financial Performance 📊

• Board approved unaudited financial results for Q3 and nine months ended Dec 31, 2025.

Capex & Expansion 🧱

• Expansion initiated for PPE manufacturing at Falta Sector III industrial land.
• Production facilities planned at Jhautala Factory, Barasat, North 24 Parganas, West Bengal.
• Allocated 5,000 sq. m. in Kolkata Leather Complex for Leather Goods & Allied Industries.
• Expansion decisions pending for industrial land at Banipur Integrated Textile Park, North 24 Parganas.

Business Model & Segments

• Company entering helmet manufacturing business.
• Evaluating feasibility of continuing wind power generation due to windmill life expiry.