Belding India posts Rs 12.7338 crore first-half pretax loss

Belding India Limited posted a consolidated pre-tax loss of Rs 12.7338 crore for the half year ended September 30, 2026, as total expenses of Rs 24.1027 crore exceeded total income of Rs 11.3689 crore. Belding India said the figures are not directly comparable with the prior year because the current accounts consolidate acquired subsidiaries.

What caused Belding India’s first-half pretax loss?

Belding India’s first-half pre-tax loss was Rs 12.7338 crore because expenses were more than twice the Rs 11.3689 crore of total income for the half year ended September 30, 2026. Revenue from operations was Rs 6.8352 crore and other income was Rs 4.5337 crore, while total expenses reached Rs 24.1027 crore.

The expense base included Rs 4.32 crore of cost of services, Rs 4.0107 crore of employee benefits, Rs 4.5227 crore of depreciation and amortisation, and Rs 8.3158 crore of other expenses. After a reported tax credit of Rs 3.0531 crore, Belding India recorded a total comprehensive loss of Rs 9.6807 crore, of which Rs 8.4694 crore was attributable to the owners and Rs 1.2113 crore to non-controlling interests.

The September 2026 quarter accounted for Rs 8.6648 crore of the half-year pre-tax loss, compared with Rs 4.069 crore in the June 2026 quarter. September-quarter total income was Rs 8.6778 crore, including Rs 6.6103 crore of operating revenue, while expenses were Rs 17.3426 crore. Basic and diluted loss per share from continuing operations was Rs 5.85 for the six months.

How did the DC&T Global acquisition reshape Belding India?

Belding India acquired 100% of DC&T Global Private Limited on December 24, 2025 through a share swap that issued 1,36,08,849 equity shares at Rs 769.16 each. The stated consideration was Rs 1,046.73 crore and net assets acquired were Rs 449.7599 crore, resulting in provisional goodwill of Rs 596.9701 crore under Indian Accounting Standard, or Ind AS, 103 on business combinations.

The transaction changed the balance sheet composition. Goodwill stood at Rs 604.3796 crore at September 30, 2026, versus Rs 599.0208 crore at March 31, 2026, while property, plant and equipment rose to Rs 255.5896 crore from Rs 0.3244 crore. Capital work-in-progress was Rs 0.093 crore at September 30, compared with Rs 195.8906 crore at the preceding year-end.

Belding India said the DC&T Global purchase-price allocation remains provisional and will be finalised within the one-year measurement period permitted by Ind AS 103. This means the accounting allocation underpinning the Rs 596.9701 crore of acquisition goodwill can still change before that period ends.

Belding India also acquired 100% of Evolve IT Solutions Private Limited on July 23, 2026. Evolve IT was consolidated from July 24 to September 30, 2026, and its reviewed financial information before intercompany eliminations included revenue of Rs 0.6526 crore and profit after tax of Rs 1.0237 crore. Management is assessing Evolve IT’s adoption of Ind AS 116 on leases.

Why are Belding India’s year-on-year figures not comparable?

Belding India said its September 2025 corresponding figures were standalone because it had no subsidiaries in that period, whereas the September 2026 accounts are consolidated. The company therefore explicitly said the current six-month results cannot be directly compared with the prior-year figures, despite total income increasing from Rs 0.0968 crore to Rs 11.3689 crore.

The prior period also included discontinued operations because Belding India stopped its foil-manufacturing operations during financial year 2025-26. The company said the conditions for discontinued-operation classification under Ind AS 105 were met, and it recast comparative figures accordingly. Discontinued operations generated pre-tax profit of Rs 2.8127 crore and post-tax profit of Rs 2.4502 crore in the half year ended September 30, 2025.

Belding India said its chief operating decision maker evaluates the group as one segment under Ind AS 108. The September 2026 consolidated group included DC&T Global, DC&T Defence Limited, BESS Limited, Metafin Technology Private Limited, Belding HD India Private Limited from June 22, 2026, and Evolve IT from July 23, 2026.

The statutory auditors issued a qualified conclusion because confirmations and reconciliations of vendor, intercorporate-deposit, loan and advance balances were still in process at the end of the reporting period. The auditors also said their report on Belding India’s consolidated annual financial statements for the year ended March 31, 2026 had been qualified on the same matter.

What do Belding India’s balance sheet and cash flows show?

Belding India reported total assets of Rs 1,130.1825 crore at September 30, 2026, down from Rs 1,143.7353 crore at March 31, 2026. Total equity declined to Rs 1,038.7601 crore from Rs 1,048.4362 crore, while total liabilities decreased to Rs 91.4224 crore from Rs 95.2991 crore.

Current assets fell to Rs 160.3698 crore from Rs 236.1893 crore, including a fall in other bank balances to Rs 0.6598 crore from Rs 126.29 crore. Cash and cash equivalents increased to Rs 23.2222 crore from Rs 1.1011 crore. Current borrowings rose to Rs 30.3483 crore from Rs 1.22 crore, while non-current borrowings declined to Rs 6.0102 crore from Rs 8.4094 crore.

Operating activities used Rs 32.883 crore of cash during the half year, compared with an outflow of Rs 6.6403 crore in the prior-year period. The current-period movement included a Rs 37.2035 crore decrease in trade payables, a Rs 5.3447 crore increase in other financial assets and a Rs 3.1314 crore increase in trade receivables, partly offset by a Rs 17.0888 crore decrease in other assets.

Investing cash flows included Rs 52.8384 crore spent on property, plant, equipment, intangible assets and capital work-in-progress, and Rs 11.323 crore of cash acquired on business acquisition. The cash-flow statement reported Rs 56.5766 crore under net cash used in investing activities, alongside a net increase in cash and cash equivalents of Rs 22.1211 crore, taking closing cash to Rs 23.2222 crore.

Conclusion

Belding India’s first-half filing presents a substantially larger consolidated group after the DC&T Global acquisition, but it also reports expenses of Rs 24.1027 crore against income of Rs 11.3689 crore and a pre-tax loss of Rs 12.7338 crore. Comparisons with September 2025 are limited because that period was standalone and reflected foil operations separately as discontinued operations.

The next disclosures to watch are the finalisation of the provisional DC&T Global purchase-price allocation within its one-year measurement period, the outcome of management’s Ind AS 116 assessment for Evolve IT, and progress on the vendor, intercorporate-deposit, loan and advance reconciliations cited in the auditors’ qualified conclusion.