Company Overview
Deep Polymers Limited, a Gujarat-based manufacturer of Masterbatches since 1992, reported its FY26 financial results and issued notice for its 21st Annual General Meeting scheduled for September 30, 2026.
Financial Performance
Revenue & Profitability: The company reported consolidated revenue of ₹98.72 crore for FY26, showing modest growth from ₹98.17 crore in FY25. Net profit increased significantly by 30% to ₹6.78 crore (₹5.20 crore in FY25), with EPS rising to ₹2.80 from ₹2.15. Other income contributed ₹4.70 crore to total income of ₹103.42 crore.
Segment Performance: The Rakanpur segment was the largest contributor with ₹73.47 crore revenue and ₹10.27 crore segment results, while the Hajipur segment reported a loss of ₹1.89 crore. Geographically, 91% of revenue came from India (₹89.93 crore) and 9% from international markets (₹8.79 crore).
Balance Sheet & Ratios: Total assets stood at ₹147.45 crore, with non-current assets of ₹93.70 crore including PPE of ₹52.33 crore. The company maintained a healthy current ratio of 3.47 and reduced its debt-equity ratio to 0.33 from 0.40. Return on equity improved to 6.92% from 6.09%.
Capital Management & Investments
The company invested ₹17.25 crore in property, plant & equipment during the year, with gross block reaching ₹81.16 crore. Net debt stood at ₹36.68 crore with a gearing ratio of 25.9%. Investments include ₹10.96 crore in associate company Deep Polyalloy Limited.
Auditor Qualifications & Compliance Issues
Statutory auditors issued a qualified opinion highlighting two material issues:
1. Non-provision for doubtful debts of ₹3.08 crore despite legal proceedings for recovery
2. Non-compliance with Ind AS 21 regarding restatement of foreign currency denominated monetary items at year-end exchange rates
Secretarial audit revealed additional non-compliances including delay in implementing System Driven Disclosures under SEBI PIT Regulations, delayed publication of financial results, and delay in obtaining shareholder approval for director appointment beyond the 3-month period.
AGM Details & Corporate Governance
The 21st AGM will be held on September 30, 2026 via video conferencing. Agenda items include adoption of financial statements, re-appointment of director Aryan Rameshbhai Patel, and regularization of independent director Niranjan Navratanmal Jain for a 5-year term.
Board Composition: The board includes Rameshbhai Bhimjibhai Patel (Chairperson-MD), Ashaben R. Patel, and four other directors. Key managerial personnel are Debsankar Das (CFO) and Megha Jain (Company Secretary).
Related Party Transactions & CSR
Transactions with associate companies included sales of ₹11.67 crore to Deep Additives Limited and ₹1.17 crore to Deep Polyalloy Limited. CSR expenditure of ₹33.18 lakh exceeded the obligation of ₹19.57 lakh, with ₹10.88 lakh unspent amount carried forward.
Subsequent Events & Regulatory Compliance
The financial statements were authorized for issue on May 30, 2026. The company faces contingent liability of ₹3.73 crore income tax demand for AY 2022-23, which management expects to be resolved without liability. The filing was made pursuant to Regulation 30 of SEBI LODR, 2015.