Company Overview

Cella Space Limited (formerly Sree Sakthi Paper Mills Ltd) reported its financial performance and corporate developments for FY 2025-26. The company achieved a significant turnaround with consolidated net profit of ₹473.06 lakh compared to a loss of ₹5,142.45 lakh in the previous year.

Financial Performance Highlights

Revenue & Profitability:

  • Gross Revenue from Operations: ₹746.33 lakh (primarily from supply of hill earth at ₹578.79 lakh)
  • Net Revenue from Operations & Other Income: ₹1,086.10 lakh
  • Profit Before Tax: ₹540.12 lakh
  • Current Tax: ₹72.23 lakh
  • Profit After Tax: ₹467.89 lakh
  • Earnings Per Share: ₹2.32 (Basic and Diluted)

Key Balance Sheet Items:

  • Property, Plant and Equipment increased significantly to ₹3,336.44 lakh from ₹2.64 lakh
  • Cash and Cash Equivalents: ₹208.60 lakh (down from ₹2,401.34 lakh)
  • Equity Share Capital: ₹2,015.12 lakh (201.51 lakh shares)
  • Preference Share Capital: ₹10,00,00,000
  • Retained Earnings improved to (₹756.90) lakh from (₹1,210.80) lakh

35th Annual General Meeting Agenda

Date: September 26, 2026 | Time: 12:30 PM | Mode: Video Conferencing

Ordinary Business:

  • Adoption of audited Standalone and Consolidated Financial Statements
  • Reappointment of Mr. Subramoniam Sivathanu Pillai who retires by rotation

Special Business:

  • Appointment of three new directors: Ms. Kolluru Bala Naga Manimala and Mr. Benny John as Independent Directors, Mr. Vignesh Rajkumar as Non-Executive Non-Independent Director
  • Approval of material related party transactions: Interest-bearing unsecured loans up to ₹5 crore each to Shri Kailash Logistics (Chennai) Limited and OneAlpha Ventures Limited at 21% p.a.
  • Special resolution for reduction of Non-Convertible Redeemable Preference Share Capital by ₹8 crore through cancellation of preference shares

Capital Structure Changes

The company proposed a scheme to reduce preference share capital by ₹8 crore through cancellation of:

  • 79,51,200* 6% Non-Convertible Redeemable Preference Shares of ₹10 each
  • 48,800* 11.25% Non-Convertible Redeemable Preference Shares of ₹10 each
  • Reduction of Securities Premium Account from ₹16,94,39,000 to ₹8,94,39,000

*Subject to potential redemption adjustments after AGM date

Corporate Activities & Subsidiaries

Subsidiary Transactions:

  • Acquired 100% equity of Vijay Logistics Parks Private Limited on February 17, 2026
  • Divested entire equity shareholding in VLPPL to Aura Space Industrial Warehousing Private Limited on May 14, 2026

New Subsidiaries Incorporated (April 2026):

  • Landlink Warehousing Private Limited, Store Max Logistics Parks Private Limited, SafeHold Warehousing Private Limited, Victara Industrial Parks Private Limited, Summitra Industrial Ventures Private Limited (each with ₹1,00,000 paid-up capital)

Regulatory Compliance & Penalties

The company faced several regulatory penalties:

  • BSE Fine: ₹11,800 for non-submission of voting results in XBRL format
  • BSE Fine: ₹16,68,947 for erroneously failing to attach limited review report for FY 2016-17
  • BSE Fine: ₹49,560 for non-compliance with stakeholder relationship committee requirements

Contingent Liabilities & Provisions

Total contingent liabilities of ₹105.79 lakh including:

  • Income tax liabilities disputed in appeal (₹22.18 lakh for AY 14-15, ₹1.45 lakh for AY 17-18)
  • Income tax liability on TDS default: ₹26.65 lakh
  • Employee Provident Fund demand: ₹34.17 lakh
  • Kerala State Electricity Board demand: ₹4.65 lakh
  • Bombay Stock Exchange penalty: ₹16.69 lakh

Exceptional Item Note

The prior year (FY 2024-25) included an exceptional profit of ₹5,308.27 lakh from sale of the entire warehouse building at Edayar, with the company exploring reinvestment of surplus funds from this transaction.

Corporate Governance & Management

Board Composition: 9 directors including Chairman & Non-Executive Independent Director, Vice Chairman & Managing Director, and various independent and promoter directors

Key Managerial Personnel Changes:

  • Chief Financial Officer: Mr. V.N. Sridharan
  • Company Secretary changes: Mr. Vinod Kumar M (until August 2025), Ms. Shreya Ramkrishnan (November 2025-March 2026), Mr. Adith. K. L (from May 2026)

Auditors:

  • Statutory Auditor: M/s. KPR & Co., Chartered Accountants
  • Secretarial Auditor: Mrs. N Srividhya, Practicing Company Secretary

The company generally complied with corporate governance requirements except for temporary non-compliance with Stakeholders Relationship Committee composition and website disclosure updates.