Clean Science profit falls to Rs 55.35 crore in September

Clean Science and Technology Limited reported standalone profit of Rs 55.35 crore for the quarter ended September 30, 2026, down from Rs 73.29 crore in the June 2026 quarter. Revenue from operations rose to Rs 232.93 crore, but higher material consumption, other expenses and lower other income reduced quarterly profit.

What were Clean Science's September-quarter standalone results?

Clean Science recorded total income of Rs 236.95 crore for the quarter ended September 30, 2026, compared with Rs 228.49 crore in the preceding June quarter and Rs 218.41 crore a year earlier. Revenue from operations increased by Rs 25.82 crore sequentially to Rs 232.93 crore, while other income declined to Rs 4.02 crore from Rs 21.39 crore in June.

Profit before tax was Rs 73.91 crore, compared with Rs 97.52 crore in the June 2026 quarter and Rs 85.93 crore in the September 2025 quarter. After a tax expense of Rs 18.56 crore, profit for the period was Rs 55.35 crore, against Rs 73.29 crore in June and Rs 61.64 crore a year earlier. Basic earnings per share were Rs 5.21, down from Rs 6.90 in June and Rs 6.08 in the prior-year quarter.

Why did Clean Science's profit decline from the June quarter?

Clean Science's total expenses rose to Rs 163.04 crore in the September quarter from Rs 130.97 crore in June, an increase of Rs 32.07 crore that was greater than the Rs 8.46 crore rise in total income. Cost of materials consumed rose by Rs 24.10 crore sequentially to Rs 110.91 crore, while other expenses increased by Rs 8.60 crore to Rs 44.57 crore.

Other income fell by Rs 17.17 crore from the June quarter, contributing to the reduction in profit before tax to Rs 73.91 crore. Finance costs were Rs 1.48 crore, compared with Rs 0.03 crore in June, while employee benefits expense declined to Rs 12.93 crore from Rs 13.80 crore. Depreciation and amortisation was Rs 10.77 crore, broadly unchanged from Rs 10.71 crore in the preceding quarter.

Changes in inventories of finished goods and work-in-progress were a credit of Rs 17.62 crore in September, compared with a credit of Rs 16.36 crore in June. That movement partly offset the higher material and other expenses, but did not prevent total expenses from rising by about 24% quarter on quarter based on the reported figures.

How did Clean Science perform in the half year ended September 2026?

Clean Science reported revenue from operations of Rs 440.04 crore for the half year ended September 30, 2026, compared with Rs 431.22 crore in the corresponding half of 2025. Total income increased to Rs 465.41 crore from Rs 451.24 crore, but profit for the period declined to Rs 128.64 crore from Rs 141.21 crore.

The profit decline followed a rise in total expenses to Rs 294.01 crore from Rs 262.89 crore in the prior-year half. Material consumption increased to Rs 191.73 crore from Rs 136.73 crore, an increase of Rs 55.00 crore, and other expenses rose to Rs 80.54 crore from Rs 73.80 crore. Profit before tax consequently fell to Rs 171.44 crore from Rs 188.34 crore.

Tax expense for the half year was Rs 42.80 crore, compared with Rs 47.14 crore in the corresponding 2025 period. Basic earnings per share were Rs 12.10 for the six months ended September 30, 2026, versus Rs 13.29 a year earlier. The reported half-year comparison shows that revenue increased by Rs 8.82 crore while material consumption increased by Rs 55.00 crore.

What did Clean Science disclose about the GST proceedings?

Clean Science said the Maharashtra Goods and Services Tax Department completed search and inspection proceedings at its registered office and manufacturing units on September 29, 2026. The department indicated a goods and services tax liability of Rs 7.37 crore under the reverse charge mechanism, which Clean Science said is eligible for input tax credit.

The department also indicated interest and certain non-creditable tax liabilities aggregating to Rs 1.59 crore. Clean Science said discussions with the GST authorities regarding the final liability and related interest remained ongoing, and that the amounts had not been finally concluded or appropriated by the department.

Clean Science deposited amounts corresponding to the indicated reverse-charge liability and related interest in its GST electronic cash ledger. Based on its assessment, it recognised a Rs 1.59 crore provision for interest and certain non-creditable tax liabilities in the standalone financial results for the quarter ended September 30, 2026.

What other items did Clean Science report?

Clean Science reported total comprehensive income of Rs 55.41 crore for the September quarter, including Rs 0.06 crore of other comprehensive income after tax. Paid-up equity share capital was Rs 10.63 crore at September 30, 2026, unchanged from June 30, 2026, and the face value of each equity share was Rs 1.

During the half year ended September 30, 2026, Clean Science allotted 6,822 fully paid equity shares on the exercise of vested options under its Employee Stock Option Scheme 2021. The audit committee reviewed the results and the board approved them on October 31, 2026. Price Waterhouse Chartered Accountants LLP conducted a limited review of the standalone statement.

The auditor said nothing had come to its attention that caused it to believe the standalone statement was not prepared, in all material respects, in accordance with the applicable Indian Accounting Standard 34 on interim financial reporting and other generally accepted accounting principles in India. The review covered the quarter ended September 30, 2026 and the six-month period from April 1, 2026 to September 30, 2026.

Conclusion

Clean Science's September-quarter results showed revenue from operations rising to Rs 232.93 crore from Rs 207.10 crore in the June quarter, while profit for the period fell to Rs 55.35 crore from Rs 73.29 crore. The reported movements reflect higher material consumption and other expenses, alongside a decline in other income, and the same pattern of higher costs was evident in the half-year comparison.

The disclosed matter to watch is the outcome of Clean Science's ongoing discussions with Maharashtra GST authorities on the final tax liability and related interest. The company has recognised a Rs 1.59 crore provision and deposited amounts corresponding to the indicated Rs 7.37 crore reverse-charge liability and related interest, but said the matter had not been finally concluded or appropriated.