Bharat Seats523229Quarterly results

Board approves Q2 results, Rs. 99 Lakhs solar SPV stake and related-party postal ballot

Q2 and H1 FY27 results approved; auditors' limited review carries no qualification.

By ScoutQuest · Tue 27 Oct 2026, 1:42 PM IST · 2 min read

26%Shareholding acquired in the SPV

Shareholding acquired in the SPV: 26%.

Q2 revenue from operations: Rs. 70,922.14 lakhs
Q2 profit: Rs. 1,220.41 lakhs
Solar SPV investment: Rs. 99 Lakhs approved for 26% equity

Results for the quarter and half year

The Board considered and approved the unaudited financial results for the quarter and six months ended September 30, 2026. It noted that the limited review report of the auditors did not contain any qualification, adverse remark or modified opinion.

Revenue from operations for the quarter: Rs. 70,922.14 lakhs
Profit for the quarter: Rs. 1,220.41 lakhs
Revenue from operations for the six months: Rs. 1,28,704.75 lakhs
Profit for the six months: Rs. 2,841.69 lakhs

These are the figures in the statement of unaudited financial results, which is presented in Rs. in lakhs.

Solar power investment

The Board approved an investment in the equity shares of a Special Purpose Vehicle (SPV), amounting to Rs. 99 Lakhs, in one or more tranches, for sourcing power through captive solar power. The disclosure attached to the update states:

The SPV is proposed to be incorporated and will be engaged in setting up, generating and distributing solar power from its power plants in India.
The Company acquires 26% equity in the SPV, for cash consideration.
The purpose is to avail Captive Open Access Solar power and increase the Company's utilisation of renewable energy in Haryana.
Indicative time period for completion of the acquisition is Q1 2027-28.
The SPV's turnover is Nil, since it is yet to be incorporated, and the acquisition does not fall within related party transactions.

Postal ballot on related-party limits

The Board approved the Notice of a Postal Ballot seeking shareholders' approval for enhancement of the limit of material Related Party Transactions with NDR Auto Components Limited. The notice will be uploaded once it is dispatched to the members of the Company.

Committee reconstitution

The Board approved the reconstitution of the Audit Committee, the Stakeholders Relationship Committee, the CSR Committee and the Nomination and Remuneration Committee.

Tax matter flagged by the auditors

The auditors drew attention to a note describing the uncertainty relating to the outcome of a search conducted by the Income Tax Department in an earlier year under Section 132 of the Income Tax Act, 1961, at certain premises of the Company, including manufacturing locations and the residence of a few employees/key managerial personnel. The auditors' conclusion is not modified in respect of this matter. The note states that assessment demand orders were received and that, after appeals, the demand was reduced from Rs. 2,011.25 lakhs to Rs. 245.25 lakhs. The Income Tax Department has shared appeals before the ITAT against the relief granted, and the Company has received penalty demand orders against which it has shared appeals. Management believes it has a favourable position and no adjustment has been made in these financial results.

In short

The update combines the quarterly and half-yearly numbers, a small investment in a to-be-incorporated solar power company, a shareholder vote on related-party transaction limits, and a reminder of an ongoing income tax dispute that the auditors have flagged as an emphasis of matter.

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