Alps Industries Limited has submitted to the Exchange, the financial results for the period ended December 31, 2025.
Awaiting price reaction for this filing.
Alps Industries Limited reported its unaudited financial results for Q3FY26 and the nine months ended December 31, 2025, with a net profit of Rs 620.34 lakh on a standalone basis for the quarter, compared to a loss of Rs 476.69 lakh in the corresponding quarter last year. For the nine-month period, the company swung to a profit of Rs 2,879.59 lakh from a loss of Rs 4,766.92 lakh in the same period last year, primarily driven by the write-off of liabilities under the NCLT-approved resolution plan. The resolution plan, approved by NCLT Allahabad on November 4, 2025 under the IBC process, was implemented during the quarter, leading to a change in management and major capital restructuring: existing equity shares were consolidated from 3.91 crore shares of Rs 10 each to 39.11 lakh shares of Rs 1 each, and 7.30 crore new equity shares of Re 1 were issued to the successful resolution applicant. Additionally, 10 crore 0.01% non-cumulative redeemable preference shares of Rs 2,604 each (aggregating Rs 2,604 crore face value) were issued to Edelweiss Asset Reconstruction Company. The auditor issued a clean review report with an emphasis of matter on the resolution plan, and noted the financials are now prepared on a going concern basis. The company also re-appointed its internal auditor for FY27 and shifted its registered office to Noida.
This is a major positive turning-point event for shareholders — the company has exited insolvency, reported its first profit in years (driven by one-time debt write-offs), and restructured its capital with new equity infusion. However, the operational turnaround is yet to be proven since the profit stems primarily from exceptional items rather than core business performance; investors should watch subsequent quarters for sustainable revenue and margin recovery. The massive share issuance (dilution of nearly 19x existing equity) and preference share issuance significantly alter the capital structure.