Financial Performance Overview
Everest Industries Limited reported a challenging FY 2025-26 with consolidated net loss of ₹101.69 crore, significantly widening from the previous year's loss of ₹3.60 crore. Revenue from operations declined 17.76% to ₹1,416.99 crore from ₹1,722.82 crore in FY25, primarily driven by a 47.26% drop in steel buildings segment revenue to ₹315.57 crore. The company recognized exceptional items of ₹13.64 crore, including gratuity past service costs due to implementation of new Labour Codes.
Strategic Management Changes and Corporate Governance
The company underwent significant leadership changes with Mr. Rajesh Joshi resigning as MD & CEO in September 2025, succeeded by Mr. Hemant Khurana for a three-year term. The Board comprised seven directors, held eight meetings during the year, and maintained strong governance practices across all committees. The company proposed appointing Price Waterhouse as new statutory auditors and sought shareholder approval for director remuneration despite absence of profits.
Operational and Segment Performance
Building Products Segment (75% of revenue)
- Revenue: ₹1,076.70 crore (slight decline from FY25)
- Segment profit: ₹57.99 crore
- Evercool sales volumes grew 44% YoY
- Digital sales grew 20%
- South manufacturing facility stabilized
Steel Buildings Segment (25% of revenue)
- Revenue: ₹315.57 crore (sharp 47.26% decline)
- Segment loss: ₹55.22 crore
- Focus on selective order intake and profitable projects
- 42 projects executed across India
Strategic Initiatives and Turnaround Efforts
The company identified seven Must-Win Battles (Quality, Service, Price, Value Added Sales, Cost, Productivity, Volume) and implemented Ways of Working including Six Sigma and digitalization. These initiatives yielded improved operational metrics in the second half: variable margin improved by 3.6 points, gross margin improved by 1.7 points, SG&A expenses reduced by ₹9.9 crore, and free operating cash flow improved from negative ₹29 crore to positive ₹128 crore.
Dividend and Capital Structure
The Board recommended a final dividend of ₹1 per equity share (10% on face value of ₹10), reduced from ₹2.50 per share in FY25. The company maintained a strong capital structure with debt-equity ratio of 0.24 (consolidated) and authorized share capital of ₹17.05 crore. Paid-up share capital stood at ₹15.85 crore with 99.43% dematerialization.
Subsidiaries Performance and Expansion
The group includes four wholly-owned subsidiaries: Everest Building Products, Everestind FZE, Everest Buildpro, and Everest Steel Building. Everest Buildpro allotted land at Matia, Goalpara, Assam for a new fibre cement board plant, indicating expansion plans despite current challenges.
ESG and Sustainability Achievements
The company demonstrated strong environmental commitment with 7,970 kW solar capacity installed, 13,664 training hours provided, and 100% green waste recycling. Waste management data showed 90.2% recovery of 5,249 metric tonnes of total waste generated through recycling or reuse. The company reported compliance with all environmental regulations without any penalties.
Regulatory Compliance and Audit
The Secretarial Audit Report contained no qualifications, and the company complied with all regulatory requirements. Credit ratings stood at CRISIL A-/Negative for long-term and CRISIL A2+ for short-term. The company maintained advance income tax of ₹12.45 crore and faced contingent liabilities of ₹63.98 crore in tax matters.
Outlook and Forward-looking Statements
Despite the challenging year, the company's strategic initiatives and operational improvements in the second half provide a foundation for potential recovery. The forward-looking statements emphasize current expectations and assumptions, acknowledging that actual results may differ due to market risks and uncertainties.
The 93rd Annual General Meeting is scheduled for August 3, 2026, through VC/OAVM, with record date of July 27, 2026 for dividend eligibility and e-voting period from July 30 to August 2, 2026.