Financial Performance Highlights
Modison Limited reported exceptional financial results for FY 2025-26, with standalone revenue growing 45% to ₹710.33 crore from ₹490.24 crore in the previous year. Net profit surged 194% to ₹72.55 crore from ₹24.68 crore, driven by strong operational performance and margin expansion. EBITDA increased 143% to ₹115.29 crore, with EBITDA margin improving to 16.10% from 9.60%.
Key financial ratios showed significant improvement: PAT to Total Revenue increased to 10.13% (from 5.00%), Return on Net Worth rose to 29.55% (from 11.76%), and Earnings Per Share reached ₹22.36 (from ₹7.61). The company's export turnover grew 5.79% to ₹82.16 crore.
Dividend Declaration and Corporate Actions
The board confirmed an interim dividend of ₹2.50 per share (250%) declared during the year and recommended a final dividend of ₹3.00 per share (300%), bringing the total dividend for FY 2025-26 to 550%. The record date is set for July 14, 2026, with payment scheduled on or before August 20, 2026.
Special resolutions will be presented at the 43rd AGM on July 21, 2026, including increasing borrowing limits to ₹50,000 lakhs under Section 180(1)(c) and approval of related party transactions with Modison Copper Private Limited worth up to ₹8,000 lakhs.
Exceptional Items and Operational Challenges
A factory fire incident on February 7, 2026, resulted in an exceptional loss of ₹10.63 crore, comprising written-down value of PPE (₹1.54 crore), cost of inventory (₹8.67 crore), and GST reversal (₹0.42 crore). The company lodged an insurance claim of ₹17.94 crore but has received only ₹1.70 crore as preliminary confirmation for PPE loss, resulting in a net exceptional loss of ₹8.31 crore.
Employee benefit obligations increased significantly due to the implementation of new Labour Codes effective November 21, 2025, adding ₹0.99 crore in past service costs recognized in profit and loss. Gratuity liability increased to ₹4.44 crore with a net liability of ₹1.16 crore.
Balance Sheet and Capital Structure
Total assets stood at ₹502.78 crore as of March 31, 2026, with inventories increasing 72.4% to ₹219.80 crore and trade receivables growing 85.7% to ₹159.97 crore. Borrowings increased 140% to ₹174.47 crore, while total equity reached ₹274.66 crore. The debt-equity ratio increased to 0.64 times from 0.34 times, and the current ratio declined to 1.81 times from 2.32 times.
Corporate Governance and Board Matters
The board composition includes Mr. Girdhari Lal Modi as Managing Director, Mr. Rajkumar Mohanlal Modi as Joint Managing Director, and Mr. Kumar Jay Modi as Joint Managing Director (seeking re-appointment). Key managerial personnel include Mr. Murlidhar Narayan Nikam (CEO), Mr. Ramesh Mangilal Kothari (CFO), and Ms. Pooja Birendra Sinha (Company Secretary).
Auditors provided unmodified opinions on both standalone and consolidated financial statements, with inventory valuation identified as a key audit matter (₹219.80 crore, 43.72% of total assets). CSR expenditure of ₹51.19 lakhs exceeded the obligation of ₹49.96 lakhs, while R&D spending was ₹159.11 lakhs.
AGM Logistics and Shareholder Voting
The 43rd Annual General Meeting is scheduled for July 21, 2026, at 5:30 PM IST through video conferencing. Remote e-voting will be available from July 17-20, 2026, with Ragini Chokshi & Co appointed as scrutinizer. The book closure period is July 15-21, 2026, for dividend eligibility and voting purposes.