Company Overview

Nexxus Petro Industries Limited (CIN: L50400GJ2021PLC126116) manufactures, processes, imports and distributes bitumen and bitumen-based products for India's road construction and infrastructure sector. Incorporated in 2016, the company operates three manufacturing facilities at Mundra (Gujarat), Pali (Rajasthan) and Bhopal (Madhya Pradesh) with combined processing capacity of 550 MT per day.

Financial Performance FY 2025-26

Revenue from Operations: ₹26,187.38 lakhs (FY25: ₹30,493.34 lakhs) - decrease of 14.12%

Profit Before Tax: ₹869.67 lakhs (FY25: ₹809.40 lakhs) - increase of 7.45%

Profit After Tax: ₹639.39 lakhs (FY25: ₹608.78 lakhs) - increase of 5.03%

EBITDA Margin: 4.61% (FY25: 3.69%)

PAT Margin: 2.44% (FY25: 2.00%)

EPS: ₹9.20 (FY25: ₹10.14)

Key Financial Ratios:

  • Current Ratio: 2.13x (FY25: 1.91x)
  • Debt-to-Equity: 0.54x (FY25: 0.60x)
  • Debt Service Coverage Ratio: 2.69x (FY25: 1.99x)

Operational Highlights

Manufacturing Facilities:

  • Mundra, Gujarat: 150 MT/day capacity - bitumen processing and emulsion production
  • Pali, Rajasthan: 300 MT/day capacity - largest facility with PMB and CRMB capability
  • Bhopal, Madhya Pradesh: 100 MT/day capacity - VG-grade bitumen processing

Product Portfolio:

  • Viscosity-grade bitumen (VG-10, VG-30, VG-40)
  • Penetration-grade bitumen (60/70, 80/100)
  • Bitumen emulsions (RS1, RS2, SS1, SS2)
  • Polymer Modified Bitumen (PMB)
  • Crumb Rubber Modified Bitumen (CRMB)
  • KrishiBind™ bio-bitumen technology (CSIR-CRRI and CSIR-IIP certified license valid until January 2031)

Value-added products contribute approximately 15% of revenue.

Strategic Developments

Tyre Pyrolysis Facility: Established 30 TPD used tyre pyrolysis facility at Pali unit with pre-built infrastructure for expansion to 60 TPD. Commercial production commenced on August 30, 2026. Expected annual revenue: ₹25-30 crore (Phase 1), scaling to ₹50-60 crore at 60 TPD capacity. Estimated PAT margin: 8-10%.

Quality Infrastructure: NABL-accredited laboratories, BIS certification, and ISO certifications support batch-wise quality certification before dispatch.

Management Commentary

Geopolitical tensions in West Asia disrupted ocean freight and affected imported bitumen availability, particularly in H2 FY26. The company maintained profitability through cost optimization and operational efficiency despite revenue decline. The business has natural seasonality with stronger H2 performance typically, but FY26 was affected by supply chain disruptions.

Corporate Governance

Board of Directors:

  • Mr. Haresh Mohanlal Senghani (Chairman & Managing Director)
  • Mr. Rahul Mohanlal Senghani (Whole Time Director)
  • Mr. Hussain Abdeali Bootwala (Independent Director)
  • Ms. Dhruvi Rameshbhai Patel (Independent Director)
  • Mr. Parshwa Shah (Independent Director)

Key Managerial Personnel:

  • Mr. Anil Bhatt (Chief Financial Officer) - appointed w.e.f. April 10, 2026
  • Ms. Zehra Murtaza Ghadiali (Company Secretary & Compliance Officer)

Board Meetings: 15 meetings held during FY25-26

Auditors:

  • Statutory Auditors: M/s Keyur Shah & Associates (FRN: 333288W)
  • Secretarial Auditor: Mr. Nihar Sheth (Practicing Company Secretary)
  • Cost Auditor: M/s Devang Patel and Associates (FRN: 101976)
  • Internal Auditor: Ms Zarana & Associates (FRN: 143289W)

5th Annual General Meeting

Date: September 29, 2026 at 12:00 PM through Video Conferencing

Ordinary Business:

1. Adoption of audited financial statements for FY25-26

2. Reappointment of Mr. Rahul Mohanlal Senghani as Director retiring by rotation

Special Business:

3. Ratification of Cost Auditor remuneration of ₹0.55 lakh plus taxes for FY26-27

4-7. Approval of related party transactions with Nextg Petrochem LLP, Mr. Jignesh Senghani, Mr. Haresh Senghani, and Mrs. Vijayaben Senghani for FY26-27

8. Reappointment of Mr. Haresh Mohanlal Senghani as Managing Director for 5 years (Nov 1, 2026 to Oct 31, 2031) with remuneration up to ₹10 lakh/month

9. Reappointment of Mr. Rahul Mohanlal Senghani as Whole-time Director for 5 years (Nov 1, 2026 to Oct 31, 2031) with remuneration up to ₹10 lakh/month

Capital Structure

Paid-up Equity Share Capital: ₹695.04 lakhs (69,50,400 equity shares of ₹10 each) - unchanged during FY26

Listed on: BSE SME Platform (listed October 4, 2024)

Promoter Holding:

  • Haresh Senghani: 27.34% (19,00,000 shares)
  • Rahul Senghani: 27.34% (19,00,000 shares)

Subsequent Events

Post March 31, 2026, the company commissioned the 30 TPD tyre pyrolysis oil manufacturing facility at Pali with commercial production starting August 30, 2026.

Corporate Social Responsibility

CSR expenditure of ₹10.51 lakhs against requirement of ₹10.45 lakhs (2% of average net profit). Activities focused on rural development through Jay Harihar Krupa Foundation.

Related Party Transactions

Transactions with related parties including Nextg Petrochem LLP, Jignesh Senghani, Haresh Senghani, and Vijayaben Senghani for goods, services, and rent. All transactions at arm's length and in ordinary course of business.

Risk Factors

  • Crude oil and bitumen price volatility
  • Geopolitical and freight risks affecting imports
  • Seasonality in road construction activity
  • Customer credit and receivables cycle
  • Dependence on imported raw materials (88.6% of India's crude oil imported)

Liquidity Position

Cash and Cash Equivalents: ₹50.35 lakhs (FY25: ₹436.65 lakhs)

Net Cash from Operating Activities: ₹684.10 lakhs (FY25: outflow of ₹775.77 lakhs)

Net Cash used in Investing Activities: ₹997.52 lakhs (FY25: ₹332.52 lakhs)

Net Cash from Financing Activities: outflow of ₹72.89 lakhs (FY25: inflow of ₹1,265.09 lakhs)

Contingent Liabilities

  • GST demand of ₹76.83 lakhs under dispute with Superintendent
  • Income tax demand of ₹2.39 lakhs

Internal Financial Controls

Adequate internal financial controls systems established and operating effectively. No material weaknesses identified.