Financial Performance Overview

Yarn Syndicate Limited reported consolidated financial results for FY 2025-26 with a net loss of ₹52.47 lakhs, showing improvement from the ₹111.90 lakhs loss in FY25. Revenue from operations stood at ₹55.56 crore compared to ₹54.16 crore in the previous year. Standalone performance showed revenue of ₹57.22 crore and net profit of ₹94.58 lakh. Key financial ratios improved significantly, with current ratio rising to 1.49x from 1.14x and inventory turnover ratio surging to 6.42x from 1.61x due to inventory reduction efforts.

Annual General Meeting Details

The 80th Annual General Meeting will be held on 24th August 2026 via Video Conferencing without physical presence. Key agenda items include:

  • Adoption of audited standalone and consolidated financial statements
  • Re-appointment of Mr. Mithleshkumar Agrawal who retires by rotation
  • Regularization of Mr. Burhanuddin Hakimuddin Lokhandwala as Non-Executive & Independent Director
  • Appointment of M/s. Jitendra Parmar & Associates as Secretarial Auditor for 5 years
  • Approval of material related party transactions totaling ₹80 crore with four entities

Related Party Transactions

The group disclosed extensive related party transactions including:

  • Purchases of service from Varvee Global Limited: ₹119.75 crore
  • Sales to Varvee Global Limited: ₹37.57 crore
  • Sales to Brand Cluster LLP: ₹23.81 crore
  • Sales to Vaxtex Cotfab Limited: ₹23.97 crore
  • Commission income from Stitched Textiles Limited: ₹1.00 crore
  • Outstanding balances include ₹648.16 lakhs advances to Varvee Global and ₹712.71 lakhs trade payables to Vax Enterprise

Corporate Governance & Compliance

The company maintained compliance with SEBI LODR Regulations 2015 and Companies Act 2013 requirements. Board composition includes Managing Director Mr. Ravi Niranjan Pandya and four non-executive directors. The board held 9 meetings during FY25-26, with proper functioning of all committees. The company assessed the impact of new Labour Codes notified in November 2025 and concluded no material impact on financial statements.

Capital Structure & Shareholding

Authorized Share Capital: ₹22.00 crore (2.20 crore equity shares of ₹10 each)

Paid-up Share Capital: ₹12.75 crore (partly paid-up shares of ₹5 paid-up each)

Shareholding Pattern: Promoters 5.47%, Public Holding 94.53%, with 99.03% shares dematerialized

No dividend recommended for FY25-26 to conserve financial resources for future growth.

Risk Management & Subsequent Events

The group's risk management framework covers credit, liquidity, and market risk. No foreign currency exposure or derivative instruments were outstanding. No subsequent events requiring recognition occurred between balance sheet date and approval of financial statements. The company uses accounting software with audit trail facility operating throughout the year without tampering instances.

Important Dates

Book Closure: 17th August 2026 to 24th August 2026

E-Voting Period: 21st August 2026 (9:00 AM) to 23rd August 2026 (5:00 PM)

Cut-off Date: 17th August 2026