Bloom Industries Limited Q2 profit rises despite 71% revenue fall

Bloom Industries Limited reported profit after tax of Rs 43.49 lakh for the quarter ended September 30, 2026, versus Rs 25.29 lakh a year earlier, despite revenue from operations falling 71% to Rs 2.4697 crore; the quarter included Rs 78.84 lakh of other income.

Why did Bloom Industries' Q2 profit rise despite lower revenue?

Bloom Industries' Q2 profit rose because Rs 78.84 lakh of other income was recognised in the quarter ended September 30, 2026, while profit before tax increased to Rs 45.30 lakh from Rs 33.80 lakh a year earlier. Revenue from operations, however, declined to Rs 2.4697 crore from Rs 8.5762 crore in the quarter ended September 30, 2025.

Total income was Rs 3.2581 crore in Q2, down from Rs 8.5762 crore a year earlier, meaning the other-income line only partly offset the decline in trading revenue. Profit after tax rose by Rs 18.20 lakh to Rs 43.49 lakh, while profit before tax rose by Rs 11.50 lakh.

The statement recorded no other income for either the quarter ended June 30, 2026 or the quarter ended September 30, 2025. Bloom Industries did not identify the source of the Rs 78.84 lakh item in the results, although it reported Rs 1.3549 crore of other income for the year ended March 31, 2026.

How did Bloom Industries' trading costs change in Q2?

Bloom Industries operates in the single reported segment of trading, and its purchase of stock-in-trade fell to Rs 2.4585 crore in Q2 from Rs 7.9460 crore a year earlier. That decline broadly followed the Rs 6.1065 crore reduction in revenue from operations over the same period.

Total expenses declined to Rs 2.8051 crore from Rs 8.2382 crore, a fall of Rs 5.4331 crore. Finance costs moved the other way, increasing to Rs 16.60 lakh from Rs 12.22 lakh, while other expenses increased to Rs 13.34 lakh from Rs 11.78 lakh.

Employee-benefit expense fell to Rs 4 lakh from Rs 4.51 lakh and depreciation and amortisation was Rs 0.72 lakh compared with Rs 0.71 lakh. With total income of Rs 3.2581 crore and expenses of Rs 2.8051 crore, Bloom Industries generated Rs 45.30 lakh of profit before tax in the September quarter.

On a sequential basis, revenue from operations fell from Rs 3.3453 crore in the quarter ended June 30, 2026 to Rs 2.4697 crore in Q2. Profit after tax nevertheless increased from Rs 20.45 lakh to Rs 43.49 lakh, as other income was recorded in Q2 and expenses declined from Rs 3.0668 crore to Rs 2.8051 crore.

What do Bloom Industries' half-year results show?

Bloom Industries reported revenue from operations of Rs 5.8150 crore for the six months ended September 30, 2026, down 59% from Rs 14.1223 crore in the corresponding six months of 2025. Including Rs 78.84 lakh of other income, total income was Rs 6.6034 crore, compared with Rs 14.1223 crore in the prior corresponding period.

First-half profit after tax increased to Rs 63.94 lakh from Rs 38.63 lakh, while profit before tax rose to Rs 73.15 lakh from Rs 51.62 lakh. Total expenses fell to Rs 5.8719 crore from Rs 13.6061 crore, with stock-in-trade purchases declining to Rs 5.1678 crore from Rs 13.0188 crore.

Finance costs increased to Rs 32.26 lakh in the six months from Rs 24.86 lakh a year earlier, despite the fall in revenue. Current tax expense was Rs 10.25 lakh against Rs 13.14 lakh, while deferred tax was a credit of Rs 1.04 lakh compared with a Rs 0.15 lakh credit in the previous corresponding period.

Basic and diluted earnings per share were Rs 0.96 for the six months ended September 30, 2026, compared with Rs 0.58 a year earlier. For Q2, both basic and diluted earnings per share were Rs 0.65, versus Rs 0.38 in the September 2025 quarter and Rs 0.31 in the June 2026 quarter.

What changed in Bloom Industries' balance sheet and cash flow?

Bloom Industries' total assets were Rs 20.1604 crore at September 30, 2026, compared with Rs 19.7288 crore at March 31, 2026. Trade receivables increased to Rs 7.3794 crore from Rs 4.7728 crore, while the balance-sheet item classified as other current financial assets declined to Rs 2.6087 crore from Rs 4.2495 crore.

Total equity increased to Rs 11.5068 crore from Rs 10.8674 crore, including other equity of Rs 4.5465 crore compared with Rs 3.9071 crore at March 31. Current borrowings declined to Rs 4.9915 crore from Rs 5.0813 crore, and non-current borrowings decreased to Rs 10.97 lakh from Rs 13.38 lakh.

Net cash used in operating activities was Rs 18.36 lakh for the six months ended September 30, 2026, compared with Rs 1.2740 crore used during the year ended March 31, 2026. The half-year cash-flow statement showed Rs 96.58 lakh used by trade and other receivables, despite profit before tax of Rs 73.15 lakh.

Cash and cash equivalents closed at Rs 1.95 lakh at September 30, compared with Rs 3.19 lakh at March 31. The statement recorded Rs 32.26 lakh of interest paid and a net financing outflow of Rs 34.67 lakh during the half year, while investing activities showed an inflow of Rs 51.79 lakh.

Did the auditor qualify Bloom Industries' quarterly results?

Bloom Industries' board approved the unaudited standalone results on November 4, 2026, after review by its audit committee. The statutory auditor, Tibrewal Chand & Co., conducted a limited review of the quarter and six months ended September 30, 2026.

The auditor said nothing had come to its attention that indicated the statement contained a material misstatement under the applicable reporting requirements. The company’s note also states that the statutory auditors expressed an unqualified opinion on the limited-review results, while the audit report says the review was narrower in scope than an audit.

The filing presents two equity-share-capital figures: Rs 6.64 crore in the quarterly profit-and-loss statement and Rs 6.9603 crore in the September 30 balance sheet. Bloom Industries did not explain the difference in the notes accompanying the November 4 filing.

Conclusion

Bloom Industries reported higher September-quarter and first-half profit while its trading revenue contracted sharply. The Rs 78.84 lakh other-income item, lower stock-in-trade purchases and lower total expenses contributed to Q2 profit after tax of Rs 43.49 lakh, even as revenue from operations fell 71% year on year.

The next point to watch is whether Bloom Industries clarifies the difference between Rs 6.64 crore of share capital in its quarterly statement and Rs 6.9603 crore in its balance sheet. The September 30 filing also leaves the source of the Rs 78.84 lakh other income unspecified and shows trade receivables rising by Rs 2.6066 crore from March 31.