Financial Results of the Company for the quarter and half year ended September 30, 2025.
Awaiting price reaction for this filing.
McNally Bharat posted Q2 FY26 standalone revenue from operations of Rs. 1,835.46 lakhs, down about 32% from Rs. 2,691.90 lakhs in Q2 FY25, continuing the operational slide. The company reported a notional profit after tax of Rs. 3,81,017.32 lakhs in Q2 FY26, but this is entirely driven by a one-time exceptional gain of Rs. 3,91,813.42 lakhs from extinguishing financial and operational creditor liabilities under the NCLT-approved Resolution Plan. Stripping out the exceptional item, the company actually made a loss before tax of Rs. 10,796.10 lakhs in Q2 and Rs. 33,822.21 lakhs in H1 FY26. The total equity turned positive at Rs. 69,922.34 lakhs (from negative Rs. 5,89,227.38 lakhs earlier) and borrowings collapsed from Rs. 3,09,423.86 lakhs to Rs. 9,086.62 lakhs, all thanks to the debt resolution. Operating cash flow was positive at Rs. 3,298.99 lakhs for H1 FY26.
The headline 'profit' is not real operating performance — the underlying engineering business remains loss-making with declining revenues, so the stock is not a genuine earnings story. Shareholding structure has been completely reset: 95% of old equity was cancelled, and new promoter Mandal Vyapar Private Limited (SPV of the resolution applicant BTL EPC) now holds 90% of the reconstituted capital, leaving existing retail shareholders with only a 5% stake at Re. 0.01 per share. The auditor has flagged Emphasis of Matter on the Ind AS-overriding accounting treatment under the resolution plan and on unreconciled receivable/payable balances, so the true financial picture still carries meaningful uncertainty for investors.