Board Meeting Details

The Board of Directors meeting was held on 14th November 2026. The meeting commenced at 12:00 Noon and concluded at 01:15 P.M. The Audit Committee reviewed the results prior to Board approval.

Unaudited Financial Results (Standalone)

The company reported the following standalone financials for the quarter ended 30th September 2026 (all figures in ₹ lakhs):

  • Revenue from operations: ₹9,046
  • Net sales: ₹8,857
  • Other operating income: ₹189
  • Other income: ₹308
  • Total Income (1): ₹9,354
  • Expenses (2): ₹9,732
  • Cost of materials consumed: ₹4,317
  • Changes in inventories: (₹485)
  • Employee benefits expense: ₹2,032
  • Finance costs: ₹77
  • Depreciation and amortisation: ₹380
  • Other expenses: ₹3,411
  • Profit/(loss) before tax, exceptional item (1-2): (₹378)
  • Profit/(loss) before tax after exceptional item: (₹378)
  • Tax expense: (₹104)
  • Current tax: (₹92)
  • Deferred tax: (₹12)
  • Net profit/(loss) after tax for the period: (₹274)
  • Other comprehensive income/(loss) [OCI] (net of tax): (₹25)
  • Total comprehensive income/(loss) (after tax): (₹299)
  • Paid-up equity share capital (Face value ₹2 per share): ₹1,740
  • Basic and diluted earnings per share (₹): (0.31)

Unaudited Financial Results (Consolidated)

The consolidated results include the company's share of the net profit after tax of its associate, DCM Hyundai Limited (DHL):

  • Share of profit/(loss) of the associate (Net of tax):
  • Quarter ended 30 September 2026: ₹3 lakhs
  • Period from 1 April 2026 to 30 September 2026: ₹7 lakhs
  • Net profit/(loss) after tax for the period: (₹272) lakhs (Q2); (₹269) lakhs (H1)
  • Total comprehensive income/(loss) (after tax): (₹297) lakhs (Q2); (₹318) lakhs (H1)
  • Basic and diluted earnings per share (₹): (0.31) (Q2); (0.31) (H1)

Statement of Assets and Liabilities (Standalone as at 30.09.2026)

  • Total Assets: ₹55,398 lakhs
  • Non-current assets: ₹27,880 lakhs
  • Current assets: ₹27,518 lakhs
  • Inventories: ₹11,987 lakhs
  • Trade receivables: ₹8,953 lakhs
  • Cash and cash equivalents: ₹604 lakhs
  • Total Equity and Liabilities: ₹55,398 lakhs
  • Total equity: ₹35,756 lakhs
  • Total liabilities: ₹19,642 lakhs
  • Non-current liabilities: ₹6,046 lakhs
  • Current liabilities: ₹13,596 lakhs

Statement of Cash Flow (Standalone for six months ended 30.09.2026)

  • Net cash inflow from operating activities (A): ₹3,394 lakhs
  • Net cash used in investing activities (B): (₹1,226) lakhs
  • Net cash used in financing activities (C): (₹1,586) lakhs
  • Net Increase in cash and cash equivalents (A+B+C): ₹582 lakhs
  • Cash and cash equivalents at the end of the period: ₹604 lakhs

Investment in Rights Issue of DCM Hyundai Limited

  • Target Entity: DCM Hyundai Limited (DHL), an associate company.
  • Current Holding: 19,72,000 equity shares (49.28% of equity share capital).
  • Proposed Action: Subscription to the rights issue.
  • Rights Entitlement: 24,65,000 equity shares.
  • Issue Price: INR 30 per share.
  • Initial Investment for Rights: INR 7,39,50,000 (₹7.395 crore).
  • Total Approved Investment: Up to INR 15 crore, including subscription to additional equity shares subject to availability and allotment.
  • Rationale: Investment is in line with the expansion of DHL's existing container business. Depending on final allotment, the company may acquire majority voting power in DHL.
  • Timeline: 60 days from the date of receipt of the letter of offer.
  • Nature of Transaction: Not considered a related party transaction as it is a rights issue offered uniformly to all shareholders.

Notes to Financial Results

1. The Statement is prepared in accordance with Ind AS 34 and other accounting principles.

2. Figures for the six months ended 30 September 2025 are not directly comparable due to a Composite Scheme of Arrangement implemented during FY 2025-26.

3. Modified income tax returns were filed for FY 2023-24 and 2024-25 to reflect the Scheme.

4. An exceptional item of ₹2,082 lakhs (stamp duty expense for land transfer at Kota) was recognized in the year ended 31 March 2026.

5. The company operates in a single primary business segment: Industrial fibres and related products.

6. There were no outstanding defaults on loans or debt securities during the quarter.

Auditor's Review

BSR & Co. LLP conducted a limited review of the unaudited financial results and issued an unmodified opinion, stating that nothing has come to their attention to believe the statement contains any material misstatement.

Publication

The extract of the results will be published in newspapers and placed on the Company's website (https://www.dcmsil.com).