Key Financial Figures (FY 2025-26)

  • Revenue from Operations: ₹1,999.46 million (decline of 2.80% from FY 2024-25)
  • Other Income: ₹55.20 million
  • Total Revenue: ₹2,054.66 million
  • Total Expenses: ₹2,082.97 million
  • Operating EBITDA (after exceptional items): Loss of ₹88.56 million (vs. positive ₹14.00 million in FY 2024-25)
  • Loss Before Tax: ₹168.54 million (increase of 12.25% from ₹150.14 million in FY 2024-25)
  • Loss After Tax: ₹127.39 million (decline of 10.97% from ₹143.09 million in FY 2024-25)
  • Tax Provision: ₹41.15 million (comprising deferred tax)
  • Earnings Per Share: Basic and Diluted EPS of (₹6.93) per share of face value ₹10/-

Scheme of Arrangement Details

The Scheme of Arrangement between Khadim India Limited (Demerged Company) and KSR Footwear Limited (Resulting Company) was sanctioned by the Hon'ble National Company Law Tribunal, Kolkata Bench on March 27, 2025. Key aspects:

  • Effective Date: May 01, 2025
  • Appointed Date: April 01, 2025
  • Business Transferred: Entire Distribution Business of Khadim India Limited
  • Share Entitlement: Allotment of 1,83,78,382 equity shares to shareholders of Khadim India Limited
  • Share Capital Impact: Cancellation of pre-scheme paid-up share capital of 10,000 equity shares held by Khadim India Limited
  • Listing: Equity shares listed on BSE and NSE effective November 27, 2025
  • Accounting Treatment: Comparative figures restated as if Scheme was effective from start of preceding year

Capital Structure

  • Authorized Share Capital: ₹201.50 million divided into 2,01,50,000 equity shares of ₹10/- each
  • Issued, Subscribed and Paid-up Capital: ₹183.78 million divided into 1,83,78,382 equity shares of ₹10/- each
  • Shareholding Pattern (as on March 31, 2026):
  • Promoter & Promoter Group: 60.94% (1,12,00,155 shares)
  • Public: 39.06% (71,78,227 shares)
  • Dematerialization Status: 100% shares held in electronic mode

Operational Overview

  • Business: Manufacturing and wholesale distribution of footwear products
  • Product Portfolio: Branded and affordable footwear in Mass category priced between ₹75 to ₹999
  • Brands: Uses Khadim brand and sub-brands (Kalypso, Wash n' Wear, Fliers, FitNxt, Dunford, Pugo) under license agreement
  • Distribution Network: 791 distributors across India with strong emphasis in eastern region
  • Employee Strength: 159 permanent employees as on March 31, 2026

Operational Initiatives Implemented

  • Distribution Centre shifted from Serampore to Panpur leading to reduction in rent, logistic and other costs
  • Streamlined workforce allocation to increase productivity
  • Strategic inventory reductions to maximize working capital efficiency
  • Logistics network upgraded with new transport options
  • Implementation of TOC-based stock management
  • Expansion of PU and EVA products range

Management Changes

  • Mr. Rittick Roy Burman: Re-designated as Managing Director for 3 years effective April 16, 2025
  • Mr. Suvajit Choudhury: Appointed as Chief Financial Officer effective June 10, 2025 (ceased June 30, 2026)
  • Ms. Shikha Jindal: Appointed as Company Secretary effective June 10, 2025
  • Independent Directors Appointed (for 5 years from April 16, 2025):
  • Mrs. Dhritipriya Raydasgupta
  • Mr. Basab Ray
  • Mrs. Suman Murarka
  • Mr. Suman Barman Roy: Appointed as Chairman effective April 16, 2025

Remuneration Details

  • Managing Director voluntarily opted to work without any remuneration during FY 2025-26
  • Chairman waived right to receive sitting fees from May 15, 2025
  • No commission paid to Non-executive Directors
  • Sitting fees paid to other Directors: ₹0.01-0.09 million each

Board and Committee Meetings

  • Board Meetings: 8 meetings held during FY 2025-26
  • Audit Committee: 6 meetings held
  • Nomination and Remuneration Committee: 2 meetings held
  • Stakeholders' Relationship Committee: 1 meeting held

Key Ratios

  • Current Ratio: 1.42 (vs. 1.66 in FY 2024-25)
  • Debt-Equity Ratio: 0.21 (vs. 0.17 in FY 2024-25)
  • Inventory Turnover Ratio: 2.82 times (vs. 2.39 times in FY 2024-25)
  • Trade Receivables Turnover Ratio: 4.20 times (vs. 4.61 times in FY 2024-25)
  • Net Profit Ratio: -6.37% (vs. -6.96% in FY 2024-25)

Exceptional Items

An exceptional item of ₹5.05 million was recognized during the year representing "Impact of new Labour Codes" primarily due to change in wage definition affecting gratuity and leave encashment benefits.

Related Party Transactions

All transactions with related parties were conducted in ordinary course of business at arm's length. Significant transactions included:

  • Royalty paid to Khadim India Limited: ₹5.12 million
  • Purchase of goods from Khadim India Limited: ₹66.50 million
  • Sale of goods to Khadim India Limited: ₹71.60 million
  • Shared service expense paid to Khadim India Limited: ₹7.51 million

Corporate Governance Compliance

The Company has complied with all mandatory requirements of Listing Regulations. Key policies implemented:

  • Whistle Blower Policy (Vigil mechanism)
  • Nomination and Remuneration Policy
  • Policy on determination and disclosure of Materiality of Events
  • Policy on Materiality of Related Party Transactions
  • Policy for determining Material Subsidiaries

Internal Financial Controls

The Company has implemented strong internal control mechanisms ensuring accurate recording of transactions with internal checks, prompt reporting and adherence to applicable accounting standards and statutes. Internal Audit department conducts periodic audits at all locations and functions.

Outlook Statement

The outlook acknowledges FY 2025-26 as challenging with input cost increases due to global conflict, muted consumer demand, and pressure on discretionary spending. The company is focusing on product innovation, demand traction, distribution expansion, and product portfolio diversification to improve margins and boost growth.

AGM Details

The 3rd Annual General Meeting is scheduled to be held on Monday, August 24, 2026 at 11:30 a.m. IST through Video Conferencing/Other Audio-Visual Means.