Gujarat Craft Industries Ltd

Financial highlights

• Revenue from operations: Rs 18,405.68 lakh; down from Rs 20,288.62 lakh.
• PAT: Rs 96.98 lakh; down from Rs 268.63 lakh.
• Operating profit before interest and depreciation: Rs 12.72 crore.
• Export earnings: Rs 95.86 crore; target to export 80% of production.
• Net cash from operations: Rs 7.68 crore; cash at year-end Rs 3.28 crore.
• Total borrowings: Rs 63.44 crore; net debt Rs 63.41 crore; gearing 0.99x.

Dividend & capital

• Final dividend: Rs 0.50 per equity share for FY2025-26.
• Record date: 16 September 2026.
• Proposed dividend amount: Rs 24.44 lakh.

Operations & growth

• Single segment: HDPE/PP woven fabrics; domestic and export markets.
• Two Star Export House recognition by DGFT.
• Rooftop solar capacity totaling 1.6 MW; 448 kW at Santej; 3.67 MW on lease.
• Capex on energy conservation: Rs 1593.14 lakh.

Governance & leadership

• Ashok Chhajer, MD, passed away on 6 July 2025.
• Rishab Chhajer appointed MD & Chairman in 2025.
• Parth B. Thakkar appointed Independent Director from 1 Sept 2025; Swati Pipara ceased 29 Sept 2025.

Audits & compliance

• Statutory auditors: M/s Kantilal Patel & Co.; Secretarial auditors: Kashyap R. Mehta & Partners.
• Auditor's report: no qualification; Secretarial audit: no remarks.
• Contingent liabilities: Income tax disputes Rs 406.95 lakh; appeals Rs 691.18 lakh.

Capital & shareholding

• Paid-up capital Rs 488.83 lakh; 48,88,300 shares.
• Promoters hold majority stake (~73.8%); top holders include Sushma Chhajer 39.33%.
• 88% dematerialised; ISIN INE372D01019; no GDR/ADR outstanding.

Risks & outlook

• Raw material price volatility; competition from petrochemical players.
• FX risk managed via forward contracts; currency exposures exist.
• New Labour Codes recognized as Rs 52.24 lakh exceptional item.

Financial results and approvals

• Unaudited standalone results for quarter ended 30 June 2026 approved.
• Audit Committee reviewed; Limited Review Report attached.
• Revenue from operations: 4,388.53 lakh; PAT: 5.70 lakh.
• Exceptional item: Labour Code impact of 52.24 lakh recognised; non-recurring.
• EPS Basic/Diluted: 0.12 for the quarter.
• Period: quarter ended 30 June 2026; Ind AS compliant.

Notes and disclosures

• Independent auditor's review by Kantilal Patel & Co; date 12 August 2026.
• Notes confirm Ind AS compliance and Labour Codes exceptional item.
• Audit report states no material misstatement.

Dematerialisation processing status

• Securities received for dematerialisation during the quarter were confirmed to depositories (accepted/rejected).
• Securities comprised in the certificates have been listed on the stock exchanges where earlier issues are listed.
• Security certificates received for dematerialisation were mutilated and cancelled after due verification; depository name substituted within prescribed timelines.

Meeting Details

• Board meeting scheduled for 21 May 2026.

Key Agenda Items

• Approve audited standalone financial results for FY2025-26 ended 31 March 2026.
• Consider recommending a final dividend for FY2025-26, if any.

Other Notes

Financial Results Approval

• Board approved unaudited standalone financial results for quarter ended December 31, 2025
• Total income for quarter was ₹4,967.56 lakh; profit before tax ₹6.10 lakh after exceptional item
• Exceptional item of ₹52.24 lakh recognized due to new Labour Codes impact
• Profit for quarter was ₹5.18 lakh; total comprehensive income ₹11.14 lakh
• Earnings per share for quarter: basic and diluted at ₹0.11
• Nine months ended December 31, 2025 profit before tax ₹139.43 lakh; profit ₹100.65 lakh
• Nine months total comprehensive income ₹104.86 lakh; EPS ₹2.06 basic and diluted

Exceptional Item

• ₹52.24 lakh exceptional expense recognized for statutory impact of new Labour Codes
• Impact is non-recurring and related to change in wage definition

Audit and Compliance

• Limited review report issued with no material misstatements or qualifications
• Financial results prepared under Ind AS and comply with SEBI regulations

Debt and Defaults

• No outstanding loans or debt securities as on date
• No defaults on loans or debt securities reported

Corporate Actions

• No capital raising, preferential issue, or buyback announced

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