Financial Performance
LKP Securities Limited reported weak financial results for FY26, with standalone revenue declining 5.55% to ₹105.11 crore and profit after tax decreasing 29.55% to ₹9.30 crore. On a consolidated basis, net profit fell 22.07% to ₹102.91 crore with revenue down 4.45% to ₹107.15 crore. Basic EPS stood at ₹1.13 (standalone) and ₹1.25 (consolidated).
Dividend Declaration & AGM
The board recommended a final dividend of ₹0.20 per share (10%), reduced from ₹0.30 per share in the previous year, with a total outflow of ₹16.46 crore. The 32nd Annual General Meeting is scheduled for July 14, 2026, to approve financial statements, declare dividend, reappoint director Mr. S.S. Gulati, and statutory auditors MGB & Co. LLP.
Related Party Transaction
A significant special business item involves seeking shareholder approval for material related party transactions with Bhavana Holdings Private Limited to borrow up to ₹50 crore. This represents 46.66% of consolidated turnover and 365.23% of the related party's turnover. The transaction is unsecured, short-term (not exceeding 1 year), with interest typically at 10% p.a., intended for business and operational requirements including working capital.
Corporate Governance & Compliance
The company maintained adequate internal financial controls operating effectively. Auditors MGB & Co. LLP issued an unmodified opinion confirming the financial statements present a true and fair view in accordance with Ind AS. Contingent liabilities include bank guarantees of ₹35.00 crore, disputed indirect taxes of ₹19.86 lakh, and legal cases with estimated exposure of ₹181.40 lakh.
Subsidiary Performance
Subsidiaries showed mixed results: LKP Wealth Advisory Limited reported net profit of ₹144.45 lakh, LKP IFSC Private Limited recorded net loss of ₹44.12 lakh, while Wise Tech Platforms Private Limited has yet to commence business operations.
Capital Structure & ESOP
Share capital increased to ₹16.46 crore due to exercise of 3,66,170 employee stock options. Various ESOP schemes remain active with 5,56,365 options outstanding as of March 31, 2026. The company also issued 1,355 unrated, unlisted Non-Convertible Debentures of ₹1,00,000 each.