BSESonal Adhesives LtdHighNeutral
Announced Thu, 12 Feb · 17:38 IST

RESULTS- FINANCIAL RESULTS FOR 31/12/2025

Ebitda Margin CompressionResults View source PDF

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▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve

Awaiting price reaction for this filing.

AI summary

Sonal Adhesives reported Q3 FY26 revenue from operations of ₹2,901.57 lakhs, up ~10% year-on-year from ₹2,639.28 lakhs. For the 9-month period, revenue rose ~17% to ₹9,220.99 lakhs versus ₹7,851.86 lakhs last year. However, net profit fell sharply — Q3 PAT dropped to ₹15.36 lakhs (from ₹29.51 lakhs) and 9M PAT to ₹86.64 lakhs (from ₹137.39 lakhs), a ~37% decline. The pressure came from sharply higher other expenses (almost doubled to ₹927.57 lakhs in 9M) and finance costs more than doubling to ₹114.88 lakhs, squeezing PBT margins. The company also refinanced its Kotak Mahindra Bank loan of ₹561.87 lakhs with Model Co-op Bank on an enhanced limit of ₹650 lakhs plus a fresh ₹150 lakhs working capital facility.

Likely market impact

Despite top-line growth, sharply higher operating expenses and finance costs have significantly compressed profitability, which is a negative signal for shareholders. The increased borrowing limits may further pressure interest costs in upcoming quarters, though the company states the refinancing is aimed at reducing the cost of funds.