Company Overview
Sika Interplant Systems Limited (Scrip Code: 523606, ISIN: INE438E01032), an aerospace and defence engineering services company, has disclosed its comprehensive annual report for FY 2025-26, including financial statements and notice of its 40th Annual General Meeting.
Financial Performance Highlights
The company reported strong financial results for FY26 with standalone total income of ₹21,630.75 lakhs (significant increase from ₹15,115.00 lakhs in FY25) and net profit of ₹4,881.11 lakhs (up from ₹3,392.12 lakhs). Consolidated performance mirrored this growth with total income of ₹21,635.86 lakhs and net profit of ₹4,872.92 lakhs. Earnings per share stood at ₹17.36 (standalone) and ₹17.19 (consolidated), demonstrating robust operational performance.
AGM and Corporate Governance
The 40th AGM is scheduled for August 12, 2026, via video conference, with key agenda items including adoption of financial statements, declaration of a final dividend of ₹3.50 per share (175%), and special resolutions for re-appointment of key management personnel. Mr. Rajeev Sikka is proposed for re-appointment as Executive Chairman with remuneration up to ₹15 lakhs per month, while Mr. Kunal Sikka is proposed as Managing Director & CEO with remuneration up to ₹14.50 lakhs per month, both for three-year terms starting April 2027.
Operational and Order Book Metrics
The company maintains a healthy order book with closing contracted price of ₹28,788.54 lakhs for FY26, reflecting sustained business momentum. Research and development expenditure amounted to ₹98.24 lakhs, focusing on innovation in aerospace and defence sectors. The company operates through four wholly-owned subsidiaries and serves primarily the aerospace, defence, and automotive sectors.
Regulatory Compliance and Disclosures
Full regulatory compliance is confirmed with no material fraud reported, no benami property transactions, no struck-off company dealings, and no cryptocurrency investments. Related party transactions, including salaries to KMPs totaling ₹397.31 lakhs and loans to subsidiaries of ₹37.75 lakhs, were conducted at arm's length basis. The company maintains 100% dematerialized shareholding with promoters holding 71.72%.
Dividend and Capital Structure
A final dividend of ₹3.50 per equity share (175% on face value of ₹2) is recommended, payable on or after August 13, 2026, subject to shareholder approval, with record date set for August 5, 2026. The authorized share capital remains at ₹500.00 lakhs with issued capital of ₹424.02 lakhs.
Auditor Appointments and CSR
Key auditor appointments include Rao and Emmar as statutory auditors, N. K. Hebbar & Associates as secretarial auditors, and Bharath & Co. as internal auditors. CSR obligation for FY26 was ₹47.60 lakhs, with ₹1.51 lakhs spent on education, healthcare, and environmental sustainability initiatives, and the balance transferred to separate accounts for ongoing projects.
Forward-looking Statements and Risk Factors
The management discussion highlights forward-looking statements subject to risks including changes in government policies, defence spending patterns, global economic conditions, and project execution timelines, while maintaining confidence in the company's strategic positioning within the growing aerospace and defence sector.