Document Dates

July 6, 2026 (filing date) and April 16, 2026, Financial year ended March 31, 2026

Financial Performance Highlights

  • Revenue from Operations: ₹2,045.75 crores (13.1% increase from ₹1,809.43 crores in FY 2024-25)
  • Net Profit: ₹292.25 crores (0.6% increase from ₹290.39 crores in FY 2024-25)
  • Earnings Per Share: ₹17.21
  • EBIT: ₹348.73 crores at 17% margin
  • Profit before tax: ₹390.04 crore (5.5% increase)
  • Total comprehensive income: ₹292.51 crore
  • Net Assets Employed: ₹1,445.67 crores
  • Return on Capital Employed: 27.8%
  • Dividend: Recommended final dividend of ₹12 per share (total dividend ₹10 per share paid during year)

Balance Sheet Position

  • Total assets: ₹2,015.83 crore (FY25: ₹1,815.99 crore)
  • Total equity: ₹1,445.67 crore (FY25: ₹1,322.69 crore)
  • Current assets: ₹1,723.74 crore (including assets held for sale)
  • Current liabilities: ₹544.97 crore (FY25: ₹469.86 crore)
  • Debt-free status maintained with strong liquidity position
  • Current investments: ₹558.53 crore primarily in mutual funds (liquid funds, money market funds)

Operational Performance

  • Volume Growth: Approximately 9% growth, higher than industry trend of ~7%
  • Manufacturing: Fully operational integrated world-class manufacturing platform at Toopran meeting global benchmarks
  • Product Portfolio: Successful transition to mid-premium segments with Editions becoming second pan-India brand after TOTAL
  • Leaf Operations: Turnover of ₹301 crores with PBIT of ₹34 crores in global tobacco market

Management Changes

  • Appointments: Mr. Piyush Srivastava appointed as Managing Director & CEO effective March 2, 2026
  • Resignations: Mr. Sanjay Wali resigned as Whole-time Director effective March 2, 2026
  • Board Composition: 8 directors including 4 independent directors

Capital Structure

  • Paid-up Equity Share Capital: ₹169.86 crores as of March 31, 2026
  • Shareholding Pattern: Promoters and associates hold 32.16%, Indian public 29.52%, Bodies corporate 29.13%
  • Dematerialization: 99.88% shares in dematerialized form
  • Authorized share capital: ₹170.00 crore (17,00,00,000 shares of ₹10 each)

Tax Matters

  • Tax expense for FY26: Current tax ₹123.24 crore, Deferred tax (₹25.46) crore, Total ₹97.78 crore
  • Tax disputes pending: Various GST, service tax, and entry tax matters totaling approximately ₹14.63 crore
  • Change in tax structure: Government reduced Compensation Cess to 'Nil' while significantly increasing Excise Duty effective February 1, 2026

Corporate Governance and Compliance

  • Board Meetings: 4 meetings held during FY 2025-26
  • Committees: Audit, Nomination & Remuneration, Stakeholders Relationship, CSR, Risk Management, and Strategy committees functional
  • Auditors: BSR & Associates LLP completed term, recommended appointment of Price Waterhouse Chartered Accountants LLP for 5 years from 95th AGM
  • Auditor's Opinion: Unqualified opinion confirming adequate internal financial controls and compliance with Companies Act 2013

CSR and Sustainability Initiatives

  • CSR Expenditure: ₹7.58 crores benefiting approximately 1 million lives
  • Key Projects: 400 household toilets, Mobile Medical Unit serving 22 villages, eye care facility support, menstrual hygiene programs
  • ESG 2030 Roadmap Progress: 10% drip irrigation adoption, 100% mechanized field preparation, GHG intensity 0.62 tCO2e/million cigarettes, Renewable energy capacity 1.18 MW

Employee Benefits

  • Defined benefit plans: Gratuity obligation ₹42.08 crore, Pension obligation ₹1.07 crore
  • Employee stock options: VST Employees Stock Option Scheme - 2020 with 58,784 options outstanding
  • Labour Codes: Additional gratuity and leave liability of ₹6.01 crore recognized due to new labour codes implementation

Strategic Priorities

  • Portfolio Calibration: Strengthening heritage brands while expanding Editions and TOTAL in mid-premium segment
  • Digital Transformation: Implementation of blockchain-based leaf traceability, manufacturing excellence systems, and distribution visibility solutions
  • Cost Efficiency: Focus on cost agility and operational discipline amid tax increases
  • Market Expansion: Strengthened distribution network covering >80% of India

Regulatory and Forward-looking Statements

Management anticipates FY 2026-27 to be complex due to tax structure changes, supply chain pressures, and illicit trade threats. Company strategy focuses on portfolio management, pricing discipline, and operational efficiency.

Voting Items for 95th AGM (July 29, 2026)

1. Adoption of financial statements

2. Declaration of final dividend of ₹12 per share

3. Re-appointment of Mr. Naresh Kumar Sethi as director

4. Appointment of Price Waterhouse as statutory auditors for 5 years