Q2 FY27 results: net loss narrows, MBI Cess provision of ₹118.04 lakhs reversed, unmodified review
Board met on 30 Oct 2026 and approved unaudited results for the quarter and half-year ended 30 Sep 2026 (₹ in lakh).
By ScoutQuest · · 2 min read
| Line item | Latest | Year ago | YoY | Prev qtr | QoQ |
|---|---|---|---|---|---|
| Revenue from operations | 16,598 | 7,785 | +113% | 14,217 | +16.7% |
| Total income | 16,695 | 7,844 | +113% | 14,336 | +16.5% |
| Profit before tax | (3,766) | (4,192) | +10.2% | (4,777) | +21.2% |
| Profit after tax | (2,835) | (4,192) | +32.4% | (3,593) | +21.1% |
| Total comprehensive income | (2,833) | (4,196) | +32.5% | (3,591) | +21.1% |
| Basic EPS | (3.08) | (4.55) | +32.3% | (3.90) | +21% |
- Total income YoY (Lakhs)
- 7,844 (+113%)
- Period
- Quarter ended September 30, 2026 (Unaudited)
Auditor's review
Conclusion: Unmodified
Notes to the results
- Company reversed the MBL Cess provision amounting to ₹118.04 lakhs, recognised as a credit under Other expenses for the quarter and six months ended September 30, 2026.
- Board on June 05 2026 approved a Scheme of Amalgamation merging the Company into Sagar Cements Limited (parent) with appointed date April 01, 2026, subject to regulatory, shareholder and NCLT approvals.
- Deferred tax assets recognised based on projected future taxable income; company opted for Section 115BAA in previous year and remeasured deferred tax accordingly.
- Parent's OFS of 1,38,25,821 equity shares reduced its shareholding in the Company from 90.00% to 75.00% in the previous year to meet MPS.
What the board approved
The board met on 30 October 2026 from 2.30 p.m. to 3.30 p.m. and took on record and approved the unaudited financial results for the quarter and half-year ended 30 September 2026.
Auditor's conclusion
B S R and Co, Chartered Accountants, issued a limited review report with an unmodified conclusion: nothing has come to their attention that causes them to believe the statement has not disclosed the information required under Regulation 33, or that it contains any material misstatement.
- A review is narrower than a full audit and does not express an audit opinion.
How the quarter compares (₹ in lakh)
- Revenue from operations: 16,598 for the quarter ended 30 September 2026, against 7,785 in the same quarter a year earlier.
- Net loss/profit for the period: (2,835) against (4,192), so the loss for the quarter is smaller than a year earlier.
- For the six months ended 30 September 2026, net loss/profit for the period was (6,428).
The company still reported a loss for the quarter even as revenue from operations was higher than the year-earlier quarter.
Two notes worth knowing
- MBI Cess reversal: the company reversed a provision of ₹118.04 lakhs relating to its Dachepalli limestone mines, after concluding that the liability no longer meets the recognition criteria for a provision. The reversal is shown as a credit under Other expenses for the quarter and six months.
- Single segment: the company operates in one reportable business segment, manufacture and sale of cement and cement related products.
Ownership and structure
- Sagar Cements Ltd, the parent, sold 1,38,25,821 equity shares (face value ₹ 10 each) through an offer for sale in January and March 2026 to meet minimum public shareholding; the parent's shareholding in the company reduced to 75.00%.
- The board on 5 June 2026 approved a proposed Scheme of Amalgamation under which the company would merge into Sagar Cement Limited (the parent) with effect from 1 April 2026. The scheme is subject to approvals of stock exchanges, SEBI, and the shareholders and creditors of the respective companies, among other authorities.
What to take away
- The headline event is the quarterly results themselves, along with an unmodified limited review conclusion.
- The MBI Cess reversal of ₹118.04 lakhs is a one-off credit under Other expenses and is not operating revenue.
- The parent's stake at 75.00% and the proposed merger into the parent are structural points a shareholder may want to track.
Also from Andhra Cements
Board meeting on 30 October 2026 to consider unaudited Q2 and half-year results
19 Oct 2026
Cement Grinding Capacity Expanded to 3.00 MTPA at Durga Cement Works; Commercial Operations Begin
28 Sep 2026
More numbers
- Revenue from operations, quarter ended 30 Sep 202616,598 (₹ in lakh)
- Revenue from operations, quarter ended 30 Sep 20257,785 (₹ in lakh)
- Net loss/profit for the period, quarter ended 30 Sep 2026(2,835) (₹ in lakh)
- Net loss/profit for the period, quarter ended 30 Sep 2025(4,192) (₹ in lakh)
- Net loss/profit for the period, six months ended 30 Sep 2026(6,428) (₹ in lakh)
- MBI Cess provision reversed₹118.04 lakhs
- Equity shares sold in offer for sale by parent1,38,25,821 equity shares
- Parent shareholding in the company after offer for sale75.00%
- Total income, latest quarter16,695 (₹ in lakhs)
- Total income, year-ago quarter7,844 (₹ in lakhs)
- Total income, previous quarter14,336 (₹ in lakhs)
- Total comprehensive income, latest quarter(2,833) (₹ in lakhs)
- Total comprehensive income, year-ago quarter(4,196) (₹ in lakhs)
- Total comprehensive income, previous quarter(3,591) (₹ in lakhs)
- Profit after tax, latest quarter(2,835) (₹ in lakhs)
- Profit after tax, year-ago quarter(4,192) (₹ in lakhs)
- Profit after tax, previous quarter(3,593) (₹ in lakhs)
- Revenue from operations, latest quarter16,598 (₹ in lakhs)
- Revenue from operations, year-ago quarter7,785 (₹ in lakhs)
- Revenue from operations, previous quarter14,217 (₹ in lakhs)
- Profit before tax, latest quarter(3,766) (₹ in lakhs)
- Profit before tax, year-ago quarter(4,192) (₹ in lakhs)
- Profit before tax, previous quarter(4,777) (₹ in lakhs)
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