Sunrakshakk Industries India Ltd

Financial Performance

• Q1 FY27 consolidated revenue: INR 276.33 crores, up 120.64% YoY.
• Sequential revenue up 39.85% to INR 276.33 crores.
• Q1 FY27 EBITDA: INR 22.59 crores; margin 8.18%.
• PAT: INR 15.04 crores; PAT margin 5.44%.
• FMCG segment EBITDA margin: 8.55% in Q1 FY27.

Operations & Capacity Update

• New Roorkee soap line adds ~1,700 MT/month capacity.
• Total FMCG and FMCG intermediate capacity: 20,840 MT/month.
• FMCG & FMCG intermediate revenue share: ~90.60% of consolidated revenue.
• Manufacturing network: Bhilwara, Roorkee, Guwahati; 200+ customers.
• Utilization ~50-55%; headroom ~25-30% by FY28.

Capex & Funding

• INR 98.65 crores raised; deployed for Bhilwara and Guwahati facilities.
• No plan for additional fundraising.

Outlook & Guidance

• FY27 revenue expected to close between INR 900 crores and INR 1,000 crores.
• FY28 revenue target near INR 1,000 crores.
• Projected FY27-28 revenue growth of 15% to 20%.
• EBITDA margin target: 7% by FY28, up 2%-2.5% from here.
• Next 1-1.5 years: minimal capacity addition; some balancing CapEx.

Q&A Highlights

• Textile contribution targeted at 8-10% long term; FMCG 90-92%.
• No demerger planned for textile business; focus on FMCG pivot.

Earnings call audio recording

• Audio recording for Q1 FY2026-27 earnings call is available on the company website.
• Conference call was held on Aug 17, 2026 at 3:00 PM IST.

Deviation and fund utilisation

• Purpose: Deviation/variation in utilization of funds raised under Regulation 32.
• Mode/date/amount: Preferential Issue; May 30, 2025 allotment; amount raised 9824.64 Lakh.
• Monitoring: Monitoring agency not applicable.
• Deviation observed: cosmetics object utilised 7,859.72 Lakh; allocated 785,972 Lakh.
• Other object: general corporate purposes fully utilised (196,492 Lakh allocated; utilised 196,492 Lakh).
• Shareholders approval: Not applicable; explanation for deviation: Not provided.
• Audit Committee: NIL; Auditors: Not Applicable.
• Status: Partly utilised; substantial unutilised funds remain.

Consolidated financials

• Revenue from operations: 27,633.42 lakh.
• Total revenue: 27,654.58 lakh.
• PAT: 1,504.18 lakh; PBT: 1,928.96 lakh.
• Basic EPS: Rs 2.85; Diluted EPS: Rs 2.85.

Standalone results

• Standalone revenue from operations: 13,008.02 lakh.
• Standalone total revenue: 13,021.35 lakh.
• Standalone PAT: 794.22 lakh; EPS: Rs 2.56.
• Depreciation impact: SLN lowers depreciation by 135.69 lakh; PAT up 101.54.

Segment mix (Consolidated)

• Textile revenue: 2,603.08 lakh; FMCG revenue: 10,404.94 lakh.
• Total segment revenue: 13,008.02 lakh.

Accounting change

• Depreciation method changed from WDV to SLN from 1-Apr-2026.
• Impact: lower depreciation, higher PBT and PAT in quarter.

Financial results and depreciation change

• Unaudited standalone and consolidated results for quarter ended 30 June 2026 approved.
• Standalone revenue: 13,021.35 lakhs; Consolidated revenue: 27,654.58 lakhs.
• Quarterly EPS: standalone 2.56; consolidated 2.85.
• Depreciation method changed to Straight-Line (SLM) for PPE, effective 1 April 2026.
• Prospective change; no prior period impact.
• Auditor's Emphasis of Matter on depreciation change; results guidance unchanged.

Governance and approvals

• Director's Report for FY 2025-26 approved.
• Related party transactions approved, subject to necessary approvals.
• Draft AGM Notice approved.
• Varun Kabra appointed Scrutinizer for AGM.
• Trading window opens 48 hours after results.

Other regulatory disclosures

• Statement of deviation for preferential issue to be filed in integrated XBRL.

Earnings call schedule

• Q1 FY27 earnings conference call scheduled for 17 August 2026, 3:00 PM IST, Bhilwara, over call.
• Type: Q1 FY27 earnings conference call.
• Location: Bhilwara.
• Mode: Over telephone conference.
• Participants include Saurabh Chhabra (Promoter/Director) and Prateek Arora (Finance Head, FMCG).
• RSVP to Vaibhav Gupta / Mansi Pasari (Adfactors PR).

Dematerialisation status

• Dematerialisation requests were confirmed to depositories (accepted/rejected).
• Securities dematerialised have been listed on the exchanges where existing securities are listed.
• Physical certificates for dematerialisation were mutilated and cancelled; depository name substituted as registered owner within 15 days.

Business overview

• Diversified FMCG-led company with textile, FMCG intermediates, and edibles businesses.
• Rebranded from A.K. Spintex after acquiring Sunrakshak Agro Products Pvt. Ltd.

Operational highlights

• Guwahati facility commissioned for soap noodles and cosmetics.
• Bhilwara edibles facility became fully operational from September 2025.
• Customer base exceeded 200, with nationwide distribution expansion.

Financial performance

• Q4 FY26 revenue rose 92.3% YoY to ₹197.6 crore.
• Q4 FY26 EBITDA increased 76.7% YoY to ₹20.1 crore; margin 10.2%.
• Q4 FY26 PAT grew 87.9% YoY to ₹12.1 crore; margin 6.1%.
• FY26 revenue jumped 237.3% to ₹607.8 crore; PAT rose 217.7% to ₹35.0 crore.
• FY26 EBITDA was ₹58.7 crore, with EBITDA margin at 9.7%.

Capital structure

• Shareholders' funds increased to ₹185.0 crore at 31 March 2026.
• Long-term borrowings rose to ₹31.3 crore; short-term borrowings were ₹14.0 crore.
• Cash and cash equivalents improved to ₹15.4 crore from ₹5.7 crore.

Strategy and outlook

• Management targets about ₹1,000 crore revenue by FY28.
• Focus remains on FMCG, intermediates, and edibles expansion across India.
• Priorities include capacity utilisation, backward integration, and product portfolio expansion.

Risks

• Management cited raw material availability, cost competitiveness, and demand volatility as key risks.
• Execution depends on distribution expansion and capacity optimisation.

Governance

• Promoter and director Saurabh Chhabra highlighted FY26 as a landmark year.
• Key management includes Prakash Chand Chhabra, Tilok Chand Chhabra, Dinesh Porwal, and Ashish Kumar Bagrecha.