Mayur Leather Products Q2 FY27 results: net loss of ₹0.06 crore vs ₹0.63 crore profit

How did Mayur Leather Products perform in Q2 FY27?

On a consolidated basis, Mayur Leather Products reported revenue of ₹0 crore in Q2 FY27, unchanged from Q2 FY26 and from Q1 FY27. The company recorded an EBITDA loss of ₹0.05 crore in Q2 FY27, compared with an EBITDA loss of ₹0.13 crore in Q2 FY26 and ₹0.07 crore in Q1 FY27. No EBITDA margin figure was reported for the quarter.

Profit before tax was a loss of ₹0.06 crore in Q2 FY27, against a profit of ₹0.63 crore in the year-ago quarter and a loss of ₹0.09 crore in Q1 FY27. The net loss was ₹0.06 crore, compared with a net profit of ₹0.63 crore in Q2 FY26. Basic EPS was ₹0.13, against ₹1.32 in Q2 FY26. On the standalone basis, revenue was ₹0 crore and the company reported a loss of ₹0.05 crore.

What changed in Mayur Leather Products' costs and profit?

The main change against the year-ago quarter was in other income, which fell to ₹0.01 crore from ₹0.50 crore, a decline of ₹0.49 crore. Total income was ₹0.01 crore in Q2 FY27 against ₹0.50 crore in Q2 FY26, a fall of ₹0.49 crore or 98.0%. Q2 FY26 included an exceptional gain of ₹0.32 crore, while Q2 FY27 had no exceptional item.

Total expenses fell to ₹0.08 crore from ₹0.19 crore in Q2 FY26, a decline of ₹0.11 crore or 57.9%. Employee cost was ₹0.02 crore against ₹0.04 crore, down ₹0.02 crore or 50.0%. Depreciation was ₹0.02 crore against ₹0.05 crore, down ₹0.03 crore or 60.0%. Other expenses were ₹0.04 crore against ₹0.08 crore, down ₹0.04 crore or 50.0%. Cost of materials and finance costs were unchanged at ₹0 crore. Tax was ₹0 crore, unchanged. Against Q1 FY27, other expenses fell ₹0.03 crore to ₹0.04 crore, while employee cost rose ₹0.02 crore to ₹0.02 crore.

What do the balance sheet and cash flow show?

As at 30 September 2026, total assets were ₹13.9 crore, compared with ₹13.93 crore at 31 March 2026. Total equity was ₹2.65 crore against ₹2.8 crore, and borrowings were ₹3.89 crore against ₹3.88 crore. Cash rose to ₹0.94 crore from ₹0.88 crore. Inventories were ₹0.67 crore, unchanged, while trade receivables were ₹0.05 crore against ₹0.06 crore and trade payables were ₹0.19 crore against ₹0.15 crore.

Cash flow from operations in H1 FY27 was ₹0.05 crore, against negative ₹0.13 crore in H1 FY26. Investing cash flow was ₹0.0 crore, compared with ₹0.11 crore a year earlier, and financing cash flow was ₹0.0 crore in both periods. Capital expenditure was ₹0.0 crore in each half year.

How has Mayur Leather Products done over the last 8 quarters?

Profit has moved between losses and small profits across the reported quarters. Mayur Leather Products posted a net profit of ₹0.63 crore in Q2 FY26, the highest quarterly figure in the series shown, followed by ₹0.31 crore in Q4 FY26 and ₹0.27 crore in Q3 FY26. The company reported a net loss of ₹0.11 crore in Q1 FY26, the deepest quarterly loss shown.

The direction since that profit peak has been uneven. Net profit fell to ₹0.31 crore in Q4 FY26 and then turned to a loss of ₹0.09 crore in Q1 FY27, before the loss narrowed to ₹0.06 crore in Q2 FY27. Revenue was ₹0 crore in each of the last eight quarters and no EBITDA margin was reported for any of them.

What else did the company announce?

At its meeting on 4 November 2026, the board approved the unaudited standalone and consolidated financial results for the quarter and half year ended 30 September 2026 and took note of the limited review report issued by M/s YG & Associates, the statutory auditor. The company also filed the results with the BSE.

The board took note of the resignation of Jyoti Soni as an Independent Director with effect from the close of business on 4 November 2026. She also ceased to be chairperson of the Audit Committee, Nomination and Remuneration Committee and Stakeholders Relationship Committee, and the board reconstituted those committees. She confirmed there were no material reasons for the resignation other than those in her letter dated 4 November 2026.

The board also approved shifting the registered office to Plot No. 199, 1st Floor, Giriraj Nagar, Iskcon Road, Mansarovar, Jaipur, Rajasthan, with effect from 15 November 2026. The trading window for designated persons and their immediate relatives was to open from 6 November 2026.

What did the auditors point out?

The auditors drew attention to Note No. 8, which states the company had not generated any revenue from operations during the quarter and half year ended 30 September 2026 or during the previous financial year, and that no manufacturing activities had been carried out during the current quarter or the previous financial year. Accumulated losses stood at Rs. 629.44 lakhs as at 30 September 2026. The auditors said these conditions indicate material uncertainties that may cast significant doubt on the company's ability to continue as a going concern.

The auditors added that, based on management's assessment of future business projections and mitigating factors described in the note, including improvement in operations, settlement with vendors and additional fund infusion by the promoters, management considers the going concern basis of accounting appropriate, and stated that their conclusion was not modified in respect of this matter. The report also noted that the predecessor auditor had expressed an adverse conclusion on the quarter and half year ended 30 September 2025 and an adverse opinion on the financial statements for the year ended 31 March 2026.

An annexure to the report recorded that the parent company had not provided bank statements and confirmation of the current status of certain bank accounts, including a PNB New Delhi account, and referred to a holding company transfer of Rs. 213.60 lakhs to the subsidiary during the financial year ended 31 March 2026.

How did other Gems, Jewellery And Watches companies do?

Fifteen other Gems, Jewellery And Watches companies filed for this quarter as of 5 November 2026, against 13 for which profit was compared. The median revenue growth among the peers was 18.3%. Of the peers with revenue compared, 13 grew slower than Mayur Leather Products and 2 grew faster. Nine of the peers reported higher profit.