Dhanashree Electronics Q2 profit falls despite revenue growth

Dhanashree Electronics Limited reported a profit of Rs 77.60 lakh for the quarter ended 30 September 2026, down from Rs 79.67 lakh in the preceding quarter, although revenue from operations increased to Rs 27.10 crore from Rs 22.68 crore. The lower sequential profit followed a higher tax expense despite an increase in profit before tax.

Why did Dhanashree Electronics’ Q2 profit fall despite higher revenue?

Dhanashree Electronics’ quarter-on-quarter profit fell because tax expense increased faster than profit before tax. Profit before tax for the September 2026 quarter was Rs 1.04 crore, compared with Rs 97.57 lakh in the June 2026 quarter, an increase of Rs 6.06 lakh. However, total tax expense increased by Rs 8.12 lakh to Rs 26.03 lakh from Rs 17.91 lakh, leaving reported profit after tax Rs 2.07 lakh lower at Rs 77.60 lakh.

The September-quarter result was nevertheless higher than the corresponding quarter a year earlier. Dhanashree Electronics reported profit of Rs 73.68 lakh in the quarter ended 30 September 2025, while profit before tax was Rs 96.29 lakh. The September 2026 tax expense of Rs 26.03 lakh was also above Rs 22.61 lakh a year earlier, but the increase in pre-tax profit supported a year-on-year increase in post-tax profit.

Dhanashree Electronics did not report any exceptional item in its quarterly financial-results statement for the periods shown. It also recorded no profit or loss from discontinued operations for the quarter ended 30 September 2026, so the Rs 77.60 lakh reported for the period came from continuing operations after tax.

How did Dhanashree Electronics’ revenue and expenses change in Q2?

Dhanashree Electronics’ revenue from operations rose to Rs 27.10 crore in the quarter ended 30 September 2026, from Rs 22.68 crore in the preceding quarter and Rs 19.62 crore in the corresponding 2025 quarter. The sequential rise was Rs 4.42 crore, while the year-on-year increase was Rs 7.48 crore. The filing reports total income of Rs 27.10 crore for the September 2026 quarter.

Total expenses increased to Rs 26.06 crore in the September 2026 quarter from Rs 21.71 crore in the June 2026 quarter. The Rs 4.36 crore sequential increase in expenses was slightly smaller than the Rs 4.42 crore increase in revenue, which lifted profit before tax to Rs 1.04 crore from Rs 97.57 lakh. Expenses were also above Rs 18.65 crore in the September 2025 quarter.

Changes in inventories of finished goods, work in progress and stock in trade were negative Rs 1.30 crore in the September 2026 quarter, compared with negative Rs 2.86 crore in the June 2026 quarter and negative Rs 4.82 crore a year earlier. Depreciation and amortisation was Rs 18.38 lakh in the latest quarter, compared with Rs 65.50 lakh in the preceding quarter, while other expenses were Rs 1.87 crore versus Rs 1.84 crore.

What do Dhanashree Electronics’ first-half results show?

Dhanashree Electronics reported first-half revenue from operations of Rs 49.78 crore for the half year ended 30 September 2026, compared with Rs 45.20 crore in the half year ended 30 September 2025. The increase of Rs 4.58 crore did not translate into higher first-half profit after tax, which declined to Rs 1.57 crore from Rs 1.79 crore.

First-half profit before tax fell to Rs 2.01 crore from Rs 2.33 crore a year earlier, while total expenses increased to Rs 47.77 crore from Rs 42.86 crore. The first-half tax expense was Rs 43.94 lakh, below Rs 54.13 lakh in the prior-year half, but that reduction was not enough to offset the decline in pre-tax profit.

The contrast between the two quarters is material to the first-half comparison. The September 2026 quarter contributed Rs 77.60 lakh of the half-year profit, compared with Rs 79.67 lakh in the June 2026 quarter. Revenue rose sequentially in the second quarter, but the June-quarter profit remained higher because its tax expense was Rs 17.91 lakh rather than Rs 26.03 lakh.

What changed in Dhanashree Electronics’ balance sheet and review status?

Dhanashree Electronics’ total assets were Rs 160.53 crore at 30 September 2026, compared with Rs 156.08 crore at 31 March 2026. Equity share capital was unchanged at Rs 14.19 crore. Other equity rose to Rs 32.42 crore from Rs 30.84 crore over the same six-month period.

Warrant application money increased to Rs 24.83 crore at 30 September 2026 from Rs 21.83 crore at 31 March 2026. Non-current borrowings were Rs 34.79 crore at the September balance-sheet date, compared with Rs 34.31 crore at the March year-end. The standalone balance sheet also listed current borrowings of Rs 19.93 crore at 30 September 2026.

Dhanashree Electronics included a cash-flow statement for the half year ended 30 September 2026, prepared under the indirect method set out in Indian Accounting Standard 7, Statement of Cash Flows. The company’s statutory auditor, Surana Sunil & Co., issued its limited review report on 14 November 2026 and said nothing had come to its attention that caused it to believe the unaudited statement was materially misstated or failed to make required disclosures.

The board approved the September-quarter financial results on 14 November 2026 and noted the auditor’s limited review. At the same meeting, Dhanashree Electronics appointed C.S. Kushal Jain as whole-time company secretary and compliance officer with immediate effect; the filing states the appointment took effect on 14 November 2026 and that the appointee held no shares in Dhanashree Electronics.

Conclusion

Dhanashree Electronics delivered higher September-quarter revenue and higher profit before tax than in the June 2026 quarter, but a Rs 26.03 lakh tax expense reduced post-tax profit to Rs 77.60 lakh. Over the half year, revenue increased to Rs 49.78 crore while profit after tax declined to Rs 1.57 crore, and total assets increased to Rs 160.53 crore by 30 September 2026.

The filing provides no management earnings target, operating plan or scheduled business event. The disclosed corporate action to watch is the appointment of the whole-time company secretary and compliance officer on 14 November 2026, while subsequent quarterly disclosures will show whether revenue growth, expenses and tax expense change from the September-quarter pattern.