Financial Analyst Summary: Modison Limited Regulatory Response and Financial Results
Communication Details
Date of Communication: June 20, 2026
Nature of Query: The company was responding to a communication from the National Stock Exchange of India Limited regarding deficiencies observed in the Outcome of Board Meeting – Financial Results submitted by the Company on May 22, 2026.
Company's Clarification
Modison Limited submitted the following in response to the NSE query:
- Submitted Financial Results in machine-readable and legible format as requested
- Enclosed Declaration pursuant to Regulation 33(3)(d) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015
- Confirmed that Statutory Auditors issued an unmodified audit opinion on the financial statements/results for FY ended March 31, 2026
Financial Results Clarification
Standalone Financial Performance (₹ in Lakhs)
Quarter Ended March 31, 2026:
- Revenue from Operations: ₹28,731.89
- Other Income: ₹180.07
- Total Income: ₹28,911.96
- Profit Before Tax: ₹4,780.15
- Profit After Tax: ₹3,603.35
- EPS: ₹11.10
Year Ended March 31, 2026:
- Revenue from Operations: ₹71,032.89
- Other Income: ₹567.26
- Total Income: ₹71,600.15
- Profit Before Tax: ₹9,693.68
- Profit After Tax: ₹7,255.32
- EPS: ₹22.36
Comparative Performance (Year-on-Year):
- Revenue from Operations increased from ₹49,024.08 lakhs (FY25) to ₹71,032.89 lakhs (FY26)
- Profit After Tax increased from ₹2,468.02 lakhs (FY25) to ₹7,255.32 lakhs (FY26)
- EPS increased from ₹7.61 (FY25) to ₹22.36 (FY26)
Exceptional Items
The company reported exceptional items affecting results:
- Q4 FY26: Loss of ₹1,992.45 lakhs comprising:
- Loss on Hedging of Silver in stock: ₹950.52 lakhs
- Loss due to Fire: ₹1,063.46 lakhs
- Profit on mark to market of forward contracts: ₹21.53 lakhs
- FY26: Net loss of ₹830.86 lakhs
Fire Incident Details
- Date: February 7, 2026
- Assets lost: Property plant and equipment (PPE) and inventory
- Total charged off: ₹1,063.46 lakhs (WDV of PPE ₹153.58 lakhs, Cost of Inventory ₹867.46 lakhs, GST ₹42.42 lakhs)
- Insurance claim lodged: ₹1,801.95 lakhs
- Partial payment received: ₹170.00 lakhs towards loss of PPE
- Remaining claims for inventory loss and balance PPE claim in process
Dividend Declaration
- Board recommended final dividend of ₹3 per equity share (300%) of face value ₹1 each
Labour Code Impact
- Government notified four Labour Codes effective November 21, 2025
- Increased gratuity liability due to past service cost and leave encashment: ₹98.95 lakhs
- Recognized in FY26 financial results
Subsidiary Update
- Divested entire stake in wholly owned subsidiary Modison Hitech Private Limited (now Madison Solartech Private Limited) effective June 9, 2025
- No material impact on financials
Balance Sheet Position (Standalone)
As of March 31, 2026:
- Total Assets: ₹50,274.86 lakhs
- Total Equity: ₹27,462.46 lakhs
- Total Liabilities: ₹22,812.40 lakhs
- Inventories: ₹21,980.04 lakhs
- Trade Receivables: ₹15,996.95 lakhs
Cash Flow Statement (Standalone)
FY26:
- Net Cash from Operating Activities: ₹(6,417.81) lakhs
- Net Cash Used in Investing Activities: ₹(1,544.91) lakhs
- Net Cash Used in Financing Activities: ₹7,964.58 lakhs
- Net Change in Cash: ₹1.86 lakhs
Auditor Confirmation
- M L BHUWANIA AND CO LLP, Chartered Accountants issued unmodified audit opinions
- Audit conducted in accordance with Standards on Auditing
- Financial results give true and fair view in conformity with Indian Accounting Standards