The Board of Directors of Zuari Agro Chemicals Limited held a meeting on July 31, 2026, which commenced at 11:30 AM IST and concluded at 1:30 PM IST. The Board considered and approved the following items:

1. Financial Results Approval

The Board approved the Standalone and Consolidated Financial Results of the Company for the quarter ended June 30, 2026. The Statutory Auditors, M/s. K. P. Rao & Co. Chartered Accountants, issued a Limited Review Report for these results. The financial figures are presented as unaudited.

2. Key Financial Figures (Standalone for Q2 June 2026)

  • Revenue from operations: ₹0.11 crore
  • Total Income: ₹0.11 crore
  • Total Expenses: ₹16.55 crore
  • Profit/(Loss) before tax from continuing operations: ₹(16.44) crore
  • Tax Expense: ₹0.00 crore
  • Profit/(Loss) after tax for the period from continuing operations: ₹(16.44) crore
  • Profit/(Loss) for the period from discontinued operations: ₹(2.04) crore
  • Profit/(Loss) for the period: ₹(18.54) crore
  • Paid-up Equity Share Capital: ₹42.06 crore (face value ₹10 per share)
  • Basic EPS from continuing operations: ₹(3.91)
  • Basic EPS from discontinued operations: ₹(0.49)
  • Basic EPS from continuing and discontinued operations: ₹(4.41)

3. Key Financial Figures (Consolidated for Q2 June 2026)

  • Revenue from operations: ₹615.21 crore
  • Total Income: ₹615.90 crore
  • Total Expenses: ₹578.72 crore
  • Profit before tax from continuing operations: ₹37.18 crore
  • Tax Expense: ₹14.67 crore
  • Profit after tax for the period from continuing operations: ₹22.51 crore
  • Profit for the period from discontinued operations: Not quantified in available data
  • Profit for the period: Not fully quantified in available data

4. Extension of Inter Corporate Deposits (ICDs)

The Board approved seeking an extension of time for repayment of Inter Corporate Deposits (ICDs) availed from its related party, Zuari Industries Limited. The amount is ₹95 crore, and the extension sought is for a further period of six months from their respective maturity dates.

5. Appointment of Internal Auditors

The Board appointed M/s. SNSK & Associates as Internal Auditors of the Company for the Financial Year 2026-27. M/s. SNSK & Associates is a multidisciplinary professional services firm comprising Chartered Accountants, Company Secretaries, Cost Accountants, Lawyers, and other professionals. The firm provides services in accounting, audit & assurance, taxation, regulatory compliance, project financing, management information systems (MIS) support, consultancy, and process outsourcing. No relationships between directors were disclosed regarding this appointment.

6. Notes to Financial Results

  • The financial results have been prepared in accordance with Indian Accounting Standards (Ind AS).
  • The consolidated results include Zuari Agro Chemicals Limited (ZACL), its subsidiaries (Zuari FarmHub Limited, and Mangalore Chemicals and Fertilizers Limited which ceased to be a subsidiary w.e.f. September 26, 2025), and its joint venture Zuari Maroc Phosphates Private Limited (which includes subsidiary Paradeep Phosphates Limited and associate Zuari Yoma Agri Solutions Limited).
  • The figures for the quarter ended June 30, 2026, are not comparable with the corresponding previous year quarter due to the derecognition of Mangalore Chemicals and Fertilizers Limited (MCFL) as a subsidiary effective September 26, 2025, following a NCLT-approved scheme of arrangement.
  • Pursuant to the NCLT orders, the Company transferred its investment of 2,90,37,000 equity shares in MCFL to Zuari Maroc Phosphates Private Limited at a consideration of ₹144 per share, aggregating to ₹418.13 crores. The company received 6,54,33,846 equity shares of Paradeep Phosphates Limited in exchange.
  • The Company consummated the slump sale of its granulated single super phosphate plant at Mahad, Maharashtra to MCFL on September 30, 2025, for a consideration of ₹72.75 Crores, recognizing a gain of ₹9.32 Crores as an exceptional item during the year ended March 31, 2026. The disclosure for this discontinued operation shows a loss of ₹(2.04) crore for the quarter ended June 30, 2025.
  • The Company has recognized a net charge of ₹0.05 Crores in the standalone financial statement and ₹4.93 Crores in the consolidated financial statement as an "Exceptional Item" during the year ended March 31, 2026, relating to the incremental impact of the new labor codes.
  • The Company received a demand notice of ₹29,645.99 lakh (₹296.46 crore) from the Office of the Executive Engineer WD w DDW Fatorda, GOA, towards arrears of water/sewerage charges. The company has independently computed and recognized a liability of ₹75,81,000 (₹0.76 crore) during the year ended March 31, 2026. The remaining amount is strongly disputed, and the Bombay High Court at Goa appointed an Arbitrator on July 14, 2025, to settle the dispute. No provision has been created for the remaining amount.
  • The company is evaluating new strategic business opportunities to strengthen its operational and financial position.
  • Previous period/year figures have been re-grouped/re-classified for comparability.

7. Auditor's Review

The Statutory Auditors, M/s. K. P. Rao & Co., conducted a limited review of the results as per Regulation 33 of SEBI LODR Regulations. Based on their review, nothing has come to their attention that causes them to believe that the statement contains any material misstatement. For the consolidated results, the review relied on the reports of other auditors for one subsidiary and one joint venture.