Announced Tue, 19 May · 13:57 IST

We hereby enclosed a copy of Audited financial result for the quarter and year ended 31/03/2026.

Revenue DeclinePat NegativeExceptional ItemResults View source PDF

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Price reaction · full curve 14 horizons · vs prior close
-22.5%1-day move
₹36.25
prior close
₹34.00
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AI summary

Sri Nachammai Cotton Mills reported Total Income of Rs. 6477.29 lakhs for FY26, down from Rs. 7054.82 lakhs in FY25, representing an 8.2% revenue decline. The company reported a net loss after tax of Rs. 34.66 lakhs, significantly improved from the previous year's loss of Rs. 402.91 lakhs. The improvement was primarily due to a one-time exceptional income of Rs. 6.58 crores arising from derecognition of preference share liability (original Rs. 15 crore liability was restated at Rs. 8.41 crore present value upon extension of redemption period by 7 years). Core operations remain challenging with poor yarn demand and cotton-yarn price disparity. Power and fuel costs reduced to Rs. 455.39 lakhs from Rs. 740.60 lakhs due to a 4 MW solar power plant commissioned in FY25.

Likely market impact

The company continues to report operating losses, but the exceptional item artificially improved the bottom line. Without this one-time gain, losses would have been much larger. The stock may see neutral-to-negative sentiment given persistent operational losses despite cost improvements.