Simplex Papers Q2 FY27 results: net profit ₹0.19 crore vs ₹0.03 crore loss

How did Simplex Papers perform in Q2 FY27?

Simplex Papers reported standalone revenue of ₹0 crore for Q2 FY27, the quarter ended 30 September 2026, unchanged from Q2 FY26 and Q1 FY27. Other income was ₹0 crore in each of the three quarters, and no consolidated figures were given in the filing.

Total expenses were ₹0.04 crore in Q2 FY27, up 33.3% from ₹0.03 crore in Q2 FY26 and from ₹0.03 crore in Q1 FY27. EBITDA was reported at ₹0.04 crore, against ₹0.03 crore in both comparison quarters, and no EBITDA margin was given in the filing.

Profit before tax was ₹0.19 crore in Q2 FY27 against a loss of ₹0.03 crore in Q2 FY26 and a loss of ₹0.03 crore in Q1 FY27. There was no tax expense, so net profit was ₹0.19 crore, and basic EPS was ₹63.50, against a loss of ₹10.26 in Q2 FY26 and ₹9.84 in Q1 FY27.

What changed in Simplex Papers' costs and profit?

The quarter's profit came from an exceptional gain of ₹0.23 crore. The company said it signed and registered a sale deed for freehold land during the quarter and that the surplus arising from the sale has been shown as an exceptional item. No exceptional item was recorded in Q2 FY26 or Q1 FY27.

Excluding the exceptional item, loss before tax and tax for the quarter was ₹0.03 crore, against ₹0.03 crore in Q2 FY26. Total expenses rose by ₹0.01 crore, or 33.3%, to ₹0.04 crore, and other expenses rose by ₹0.01 crore, or 50.0%, to ₹0.03 crore. Employee cost was unchanged at ₹0.01 crore, cost of materials at ₹0 crore, finance costs at ₹0 crore, and there was no depreciation charge.

Other income was unchanged at ₹0 crore against the year-ago quarter, and tax expense was unchanged at ₹0 crore. The filing did not state a reason for the rise in other expenses.

How did the first half of FY27 go?

For the first half of FY27, Simplex Papers reported revenue of ₹0 crore and total income of ₹0 crore, both unchanged from H1 FY26. Profit before tax was ₹0.16 crore against a loss of ₹0.06 crore in H1 FY26, and net profit was ₹0.16 crore against a loss of ₹0.06 crore.

Basic EPS for H1 FY27 was ₹53.67, against a loss of ₹20.12 in H1 FY26, a difference of ₹73.79. The first-half result included the exceptional gain of ₹0.23 crore arising from the sale of freehold land.

What do the balance sheet and cash flow show?

As on 30 September 2026, total assets were ₹1.6 crore against ₹1.48 crore at 31 March 2026. Total equity remained negative, at ₹-12.01 crore compared with ₹-12.17 crore, and borrowings were ₹12.44 crore against ₹12.48 crore. Cash was ₹0.13 crore, higher than the previous balance sheet date, where it was ₹0 crore.

Cash flow for the first half of FY27 showed operating outflow of ₹0.09 crore, against ₹0.08 crore in H1 FY26, and investing inflow of ₹0.25 crore against ₹0.07 crore. Financing outflow was ₹0.04 crore in H1 FY27, compared with ₹0 crore in H1 FY26, while capital expenditure was ₹0 crore in both periods.

How has Simplex Papers done over the last 8 quarters?

Simplex Papers reported a net loss of ₹0.03 crore in each of Q3 FY25, Q1 FY26, Q2 FY26 and Q3 FY26. The quarterly loss widened to ₹0.04 crore in Q4 FY25, narrowed to ₹0.02 crore in Q4 FY26 and stood at ₹0.03 crore in Q1 FY27.

Q2 FY27 marked a change in direction, with net profit of ₹0.19 crore against a loss of ₹0.03 crore in the previous quarter. Revenue was reported at ₹0 crore across each of the last eight quarters, and no quarterly EBITDA margin figures were given, so the shape of the margin trend cannot be read from the filing.

What did the auditors point out?

Khandelwal & Mehta LLP carried out a limited review, under Standard on Review Engagements (SRE) 2410, and said nothing had come to its attention to believe the statement did not disclose the required information or contained a material misstatement. The review was less in scope than an audit and no audit opinion was expressed.

The auditors drew attention to an emphasis of matter: the company has accumulated losses and its net worth has been fully eroded, which indicates an uncertainty that may cast doubt on its ability to continue as a going concern. However, as informed by management and on the basis of projections submitted to them, the financial statements were prepared on a going concern basis, and their conclusion was not modified in respect of this matter.

How did Simplex Papers shares react?

By the next day's close, the stock was up 2.1% from its pre-results close of ₹1,321.95. The Paper & Paper Products industry median moved 1.1% over the same closes, so the stock's move was 1.0 percentage points higher than the industry median. The filing appeared in market hours, and no reaction-day or five-day figures were given.

How did other Paper & Paper Products companies do?

Thirteen other Paper & Paper Products companies were compared for the quarter, and their median revenue growth was 24.9%. Among 14 peers assessed on profit, 12 reported higher profit. The filing data did not provide counts for peers with slower or faster revenue growth than Simplex Papers.