Financial Performance Highlights

LMW Limited reported its FY 2025-26 results with standalone revenue from operations of ₹3,081.84 crore (FY25: ₹2,909.40 crore) and standalone net profit of ₹153.92 crore (FY25: ₹238.24 crore). The decline in net profit was primarily due to exceptional items including ₹11.50 crore one-time provision for new labour codes and ₹1.68 crore VRS compensation. On a consolidated basis, the company reported net profit of ₹130.73 crore, representing a 27% YoY increase.

Business Division Performance

The company exhibited mixed performance across divisions:

  • Textile Machinery Division: Revenue declined 2.36% to ₹1,675.30 crore with exports contribution reducing to 9-10% from historical 20-25%
  • Machine Tool Division: Revenue grew 22.02% to ₹1,032.66 crore with capacity utilization at 70-75%
  • Foundry Division: Revenue increased 17.68% to ₹114.89 crore, achieving GreenCo Platinum+ Certification
  • Advanced Technology Centre: Revenue grew 16.02% to ₹171.29 crore with 90% export contribution

Dividend Declaration

The Board recommended a final dividend of ₹35 per equity share (350%) aggregating to ₹37.39 crore, subject to approval at the 63rd Annual General Meeting scheduled for 24th July 2026. The record date is set for 17th July 2026 with payment expected by 12th August 2026.

Corporate Governance & Compliance

The company maintained full compliance with SEBI LODR Regulations, with no material penalties or strictures from regulatory authorities. The Secretarial Audit Report confirmed adherence to all statutory provisions. Key governance developments include reappointment proposals for Chairman Sanjay Jayavarthanavelu as Managing Director and appointment of new Independent Director Narayanan Vellayan.

Subsidiary Performance

LMW Holding Limited, UAE (material subsidiary) reported consolidated turnover of ₹313.80 crore (FY25: ₹217.06 crore) with net loss of ₹23.13 crore. Step-down subsidiaries showed mixed results with LMW Textile Machinery (Suzhou) reporting ₹0.18 crore profit while LMW Global FZE reported ₹29.54 crore loss.

ESG Initiatives & CSR

The company demonstrated strong environmental commitment with 97.5% of energy demand met through renewable sources from 28 Wind Energy Generators (36.80 MW) and 15 MW Solar Power capacity. CSR spending of ₹7.20 crore focused on healthcare initiatives including spinal surgeries, pediatric vision screening, and mobile health camps reaching 4,111 rural citizens across 121 villages.

Risk Management & Contingencies

The company maintained a structured risk management framework addressing geopolitical instability, trade disruptions, and cybersecurity threats. Contingent liabilities totaled ₹36.75 crore including tax demands of ₹8.11 crore and bank guarantees/letters of credit of ₹55.54 crore.

Auditor Changes & Related Party Transactions

M/s S Krishnamoorthy & Co. completed their term, with M/s Brahmayya & Co. recommended for appointment as Statutory Auditors. Related party transactions with Lakshmi Electrical Control Systems Limited reached ₹450 crore limit approval with FY25-26 transactions including ₹162.76 crore purchase of goods.

Employee & Operational Statistics

The company employed 3,506 permanent employees with 3.59% gender diversity. All manufacturing operations are located in Tamil Nadu across multiple plants in Coimbatore and Tirupur districts, supported by comprehensive employee benefit programs including gratuity and leave encashment provisions.