BSEArigato Universe LtdHighNeutral
Announced Sat, 22 Nov · 17:11 IST

The Standalone Unaduited financial results for the quarter and Half year ended 30th September, 2025

Revenue Growth 20pctPat Growth 25pctEbitda Margin ExpansionNegative Operating CashflowResults View source PDF

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AI summary

Arigato Universe Ltd reported a strong turnaround for the quarter ended September 30, 2025. Revenue from operations jumped to Rs. 1,345.25 lakh in Q2 FY26 from just Rs. 1.47 lakh a year earlier, driven by new operating activity. Total income for H1 FY26 stood at Rs. 1,377.46 lakh versus Rs. 12.03 lakh in H1 FY25. The company swung to a net profit of Rs. 60.94 lakh in Q2 FY26 from a loss of Rs. 3.09 lakh previously, and H1 FY26 net profit was Rs. 54.70 lakh versus a loss of Rs. 7.95 lakh, a major shift from the FY25 full-year loss of Rs. 330.58 lakh. Statutory auditor Bagdia & Company issued a clean (unmodified) limited review report. However, the cash flow statement shows deeply negative operating cash flow of Rs. -608.33 lakh in H1 FY26, funded by new long-term borrowings of Rs. 593.23 lakh. Inventories spiked from Rs. 244.47 lakh to Rs. 1,297.82 lakh and trade payables ballooned, indicating heavy working capital absorption.

Likely market impact

The headline numbers show a dramatic revenue and profit revival from near-zero levels, which is positive for shareholders. But profitability is not yet converting into operating cash, and the business is being propped up by fresh borrowings and ballooning inventories/payables, so investors should watch closely for whether the reported profits translate into actual cash collection in coming quarters.