Binny Mills Limited Q2 Loss Narrows to ₹2.34 Crore

Binny Mills Limited reported a net loss of ₹2.34 crore for Q2 FY27, narrowing from ₹2.66 crore a year earlier, while sales increased 22% to ₹1.90 crore for the quarter ended September 30, 2026. The result shows improved revenue and a smaller quarterly loss, although finance costs remained substantially higher than quarterly operating income.

What did Binny Mills report for Q2 FY27?

Binny Mills reported total income of ₹2.37 crore for the July-September 2026 quarter, comprising revenue from operations of ₹1.90 crore and other income of ₹0.46 crore. Sales were stated to have risen 22% from ₹1.60 crore in Q2 FY26. Operating profit increased 13% to about ₹0.45 crore, while the operating margin fell by 2 percentage points year-on-year to 23.8%.

The company recorded total expenditure of ₹4.81 crore during the quarter, exceeding total income by a wide margin. This resulted in a loss before tax of ₹2.45 crore. After accounting for current tax of ₹0.18 crore and a deferred-tax credit of ₹0.28 crore, the net loss stood at ₹2.34 crore.

The quarterly loss was lower than the ₹2.66 crore loss recorded in the corresponding quarter of the previous financial year. Basic and diluted loss per share was ₹9.07, based on a face value of ₹10 per share.

Why did Binny Mills remain loss-making despite higher sales?

Binny Mills remained loss-making because its total expenditure of ₹4.81 crore was more than double its total income of ₹2.37 crore in Q2 FY27. Finance cost was the largest identified expense at ₹3.36 crore, making it the main factor behind the loss before tax of ₹2.45 crore.

Other reported costs included purchases of stock-in-trade of ₹1.13 crore, other expenses of ₹0.38 crore, employee benefit expenses of ₹0.08 crore, material consumption of ₹0.03 crore and depreciation of ₹0.01 crore. The reported operating profit and margin indicate that the company generated a positive operating contribution, but the finance-cost burden outweighed that contribution.

The figures underline the difference between operating performance and net profitability. Revenue growth and a narrowing net loss are positive movements in the reported quarter, but the expense structure, particularly borrowing-related costs, continued to determine the final result.

What were Binny Mills' H1 FY27 financial results?

Binny Mills reported a net loss of ₹5.24 crore for the half year ended September 30, 2026. Its total income for H1 FY27 was ₹4.41 crore, including revenue from operations of ₹3.49 crore and other income of ₹0.92 crore.

Total expenditure for the first half was ₹9.40 crore, resulting in a loss before tax of ₹4.98 crore. The half-year numbers show that costs remained above income across the six-month period, consistent with the pressure visible in the second-quarter statement.

When did the board approve the Q2 FY27 results?

The board of Binny Mills approved the unaudited financial results for the quarter and half year ended September 30, 2026, at its meeting held on November 6, 2026. The company filed the results and the board-meeting outcome with the BSE on the same date.

The filings also show that the board had been informed in advance that it would consider unaudited results for the second quarter. A subsequent newspaper-publication announcement regarding the unaudited financial results was dated November 7, 2026.

The results were subject to a limited review by Ramesh and Ramachandran Chartered Accountants, whose firm registration number is 002981S. The review was conducted under Standard on Review Engagements 2410.

What did the auditor say about Binny Mills' results?

The auditor stated that no material misstatement was identified in the accompanying financial statement during the limited review. A limited review provides moderate assurance and is narrower in scope than a full audit.

The unmodified review conclusion means the auditor did not report a qualification or adverse finding on the unaudited results based on the procedures performed. It does not alter the reported operating and financial-cost pressures reflected in the quarterly and half-year figures.

For investors, the review conclusion provides assurance on the presentation of the unaudited statement, while the financial data remains the primary basis for assessing the company's quarterly performance. The balance between sales growth, operating margin and finance costs remains central to the reported loss.

How do the results affect investors and operations?

The Q2 statement gives investors two contrasting data points: revenue from operations rose to ₹1.90 crore and the quarterly net loss narrowed by ₹0.32 crore year-on-year. However, finance costs of ₹3.36 crore were substantially higher than the quarter's operating profit of about ₹0.45 crore.

The lower operating margin of 23.8%, compared with 25.8% a year earlier, also shows that sales growth did not translate into an improvement in operating profitability as a proportion of revenue. The reported H1 FY27 net loss of ₹5.24 crore provides the broader six-month context for the Q2 result.

Conclusion

Binny Mills Limited's Q2 FY27 results showed a 22% increase in sales and a narrower net loss of ₹2.34 crore. Yet total expenditure remained above total income, and finance costs of ₹3.36 crore were the largest reported cost item, leaving the company loss-making for both the quarter and the first half.

Investors will watch the company's subsequent financial disclosures for changes in revenue, operating margin and finance costs. The available filing confirms the board approval on November 6, 2026, while the unaudited results have received an unmodified limited-review conclusion.