Company Overview
Bharat Seats Limited (BSE: 523229, NSE: BHARATSE) has announced its 39th Annual General Meeting scheduled for July 24, 2026, to be held virtually via video conferencing. The company reported strong financial performance for FY 2025-26 with revenue growth of 51.36% to Rs 1,95,095 lakhs and net profit increase of 29.15% to Rs 4,223 lakhs.
Financial Performance & Dividend
Basic and diluted earnings per share stood at Rs 6.72 per equity share. The board recommended a final dividend of Rs 1.50 per equity share (75% of face value), totaling Rs 942 lakhs, subject to shareholder approval at the AGM. The record date for dividend eligibility is July 17, 2026, with payment scheduled between July 25 and August 22, 2026.
Labor Code Implementation Impact
The company recognized exceptional expenses of Rs 137.37 lakhs due to implementation of new labor codes notified on November 21, 2025. This includes Rs 69.61 lakhs for increased gratuity obligation and Rs 67.76 lakhs for increased leave obligation, reflecting changes in wage definitions and leave encashment rules.
AGM Agenda & Corporate Governance
The AGM agenda includes adoption of financial statements, dividend declaration, re-appointment of Mr. Raman Venkat Challa as director, and re-appointment of Mr. Rishabh Relan as Whole Time Director with specified remuneration terms. Special business includes approval of material related party transactions with Suzuki Motorcycle India Private Limited up to Rs 1000 crores annually.
Related Party Transactions
Significant transactions with related parties include sales to Maruti Suzuki India Limited (Rs 124,695.64 lakhs), Suzuki Motorcycle India Private Limited (Rs 39,665.14 lakhs), and purchases from NDR Auto Components Limited (Rs 58,050.81 lakhs). Key managerial personnel remuneration totaled Rs 842.78 lakhs, with Chairman and Managing Director Rohit Relan receiving Rs 409.50 lakhs.
Corporate Structure & Compliance
The company maintains six manufacturing plants across Haryana and Gujarat. CSR expenditure for FY26 was Rs 74 lakhs (2% of average net profits). The company has complied with all SEBI LODR requirements, with secretarial audit containing no qualifications and statutory auditors' report being unmodified.
Shareholding & Capital Structure
Equity share capital stands at Rs 1,256 lakhs (62.8 million shares of Rs 2 each). Promoters and promoter group hold 74.66%, with 16.38% transferred to Rohit Relan Family Trust during the year following SEBI exemption. The gearing ratio improved to 0.29 from 0.43 due to term loan repayments.