Pasari Spinning Mills Q2 FY27 results: net loss of ₹0.06 crore vs ₹0.09 crore profit

How did Pasari Spinning Mills perform in Q2 FY27?

Pasari Spinning Mills reported standalone revenue of ₹0 crore for Q2 FY27, unchanged from Q2 FY26 and Q1 FY27. Total income was ₹0.01 crore, while total expenses were ₹0.08 crore. EBITDA was ₹0.08 crore, down ₹0.04 crore from Q2 FY26, and no EBITDA margin was reported.

Profit before tax was a loss of ₹0.06 crore in Q2 FY27, compared with a profit of ₹0.09 crore in Q2 FY26. The net result was also a loss of ₹0.06 crore, down ₹0.15 crore from the year-ago profit and lower by ₹0.02 crore than Q1 FY27. Basic EPS was ₹0.00.

The results were approved as standalone figures for the quarter and half year ended 30 September 2026. The same filing included a limited review report from the statutory auditors.

What changed in Pasari Spinning Mills' costs and profit?

Total expenses increased by ₹0.02 crore to ₹0.08 crore in Q2 FY27 from ₹0.06 crore in Q2 FY26. Other expenses rose by ₹0.04 crore to ₹0.08 crore, while depreciation declined by ₹0.02 crore to ₹0 crore. Cost of materials, employee cost and finance costs were each ₹0 crore, unchanged from the year-ago quarter.

Other income fell by ₹0.14 crore to ₹0.01 crore from ₹0.15 crore in Q2 FY26. The decline in other income exceeded the increase in total expenses, while tax remained at ₹0 crore. There was no exceptional item in either quarter.

Against Q1 FY27, total expenses and other expenses each rose by ₹0.03 crore to ₹0.08 crore. Other income remained ₹0.01 crore, and tax was unchanged at ₹0 crore. The filings do not state a further reason for the movement in profit.

What do the balance sheet and cash flow show?

Total assets fell to 2.44 crore as of 30 September 2026 from 2.58 crore as of 31 March 2026. Total equity declined to 0.27 crore from 0.33 crore, while borrowings rose to 1.35 crore from 1.28 crore. Cash fell to 0.11 crore from 0.14 crore. Inventories were ₹0 crore, trade receivables were ₹0 crore, and trade payables were ₹0 crore.

For H1 FY27, operating cash flow was negative 0.1 crore, compared with positive 0.35 crore in H1 FY26. Financing cash flow was 0.07 crore in H1 FY27, compared with negative 0.4 crore in H1 FY26. Investing cash flow and capital expenditure were ₹0 crore in both periods. Closing cash was not reported.

How has Pasari Spinning Mills done over the last 8 quarters?

The available quarterly trend shows profit after tax moving from positive territory through Q3 FY26 to losses in the latest quarters. PAT was 0.11 crore in Q3 FY25, 0.09 crore in Q2 FY26 and Q3 FY26, negative 0.06 crore in Q4 FY26, negative 0.04 crore in Q1 FY27 and negative 0.06 crore in Q2 FY27. Revenue was ₹0 crore in every listed quarter, and EBITDA margin was not available.

The latest result therefore followed a loss in the preceding quarter, while PAT remained negative. The trend data does not provide an EBITDA-margin series, and no longer-term revenue pattern can be established from the reported quarterly figures.

What else did the company announce?

On 30 October 2026, the board approved Pasari Spinning Mills’ standalone quarterly and half-year results. It noted the appointment of Bhavna Agrawal as an additional non-executive independent director for a term of five consecutive years from 29 October 2026 to 28 October 2031, subject to shareholder approval.

The board appointed Prem Bharath Bist as an additional non-executive non-independent director with effect from 30 October 2026 and elected him Chairperson. Kolagunda Kumar Siddappa resigned as non-executive non-independent director and Chairperson citing personal reasons, while Sheela Arvind resigned as independent director because of other professional commitments.

The board approved a postal ballot seeking shareholder approval for Agrawal’s appointment and Bist’s appointment. It also reconstituted the Audit Committee, Nomination and Remuneration Committee and Stakeholders’ Relationship Committee, and amended the Related Party Transactions Policy.

What did the auditors point out?

The auditors’ report includes a Material Uncertainty Related to Going Concern. The excerpt says the company did not earn any revenue from operations during the quarter and six months ended 30 September 2026, incurred a net loss of Rs. 6.46 lakhs for the six months then ended, and had accumulated losses, with reserves and surplus of Rs. (1,353.09) lakhs against paid-up equity share capital of Rs. 1,380.00 lakhs.

The auditors noted that the company was dependent on funding from related parties, with unsecured borrowings from related parties of Rs. 134.64 lakhs as at 30 September 2026. The excerpt states that these conditions indicate a material uncertainty that may cast significant doubt on the company’s ability to continue as a going concern.

The board prepared the results on a going-concern basis, considering continued financial support from promoters or related parties, who confirmed they would not demand repayment of loans until the company was in a position to repay or planned to resume operations, and expected realisation of assets including a deferred tax asset of Rs. 132.85 lakhs.

How did Pasari Spinning Mills shares react?

Earlier reaction-day moves were 7.5% on 12 February 2026, 4.2% on 12 August 2025, 1.7% on 29 May 2025, 9.0% on 29 May 2024 and negative 6.1% on 14 August 2024. No five-session move was provided.

How did other Other Textile Products companies do?

The Other Textile Products comparison covered 62 peers for revenue growth and 64 peers for profit. The median peer revenue growth was 23.2%, while 44 peers reported higher profit. The available peer fields do not provide the counts of companies that grew slower or faster than Pasari Spinning Mills.