Announced Fri, 14 Nov · 23:31 IST

Outcome of Board Meeting under Regulation 30 of SEBI (LODR) Regulations, 2015.

Revenue DeclineExceptional ItemNegative Operating CashflowResults View source PDF

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Price reaction · full curve

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AI summary

Quest Flow Controls' board approved its unaudited standalone and consolidated results for the half year ended September 30, 2025. Standalone revenue from operations fell to ₹2,418.47 lakhs from ₹3,161.12 lakhs in H1 FY25, a drop of roughly 23.5%. The company booked a one-time royalty fee of ₹259.06 lakhs as an exceptional item, bringing standalone profit after tax down to ₹150.49 lakhs (vs ₹417.39 lakhs in H1 FY25), a ~64% decline. On a consolidated basis, revenue was ₹2,622.02 lakhs vs ₹2,962.05 lakhs, with PAT at ₹165.99 lakhs vs ₹396.85 lakhs. The auditor (Bilimoria Mehta & Co) issued an unmodified limited review conclusion. Operating cash flow was negative on both standalone (₹-332.09 lakhs) and consolidated (₹-961.22 lakhs) bases. The company raised ₹1,275.04 lakhs via share warrants and ₹400 lakhs via fresh share capital during the period.

Likely market impact

The weak top line combined with the exceptional royalty charge has sharply reduced profitability, and negative operating cash flows suggest the core business is not generating enough cash — though the share warrant proceeds have boosted liquidity on paper. Near-term stock sentiment may be cautious given the steep earnings fall, but the capital raise and subsidiary/JV expansion (H2O Dynamics, Tamr Alloys, Nibe Meson Naval) could be watched as forward positives.