DOMS capex reaches Rs 210.5872 crore as borrowings rise

DOMS Industries Limited spent Rs 210.5872 crore on property, plant and equipment, including capital work-in-progress and capital advances, in the six months ended September 30, 2026, versus Rs 140.7687 crore a year earlier. DOMS generated Rs 104.2577 crore of operating cash flow, while total borrowings rose to Rs 207.5114 crore from Rs 89.5994 crore at March 31, 2026.

Why did DOMS increase capital expenditure?

DOMS increased capital expenditure by Rs 69.8185 crore year on year, with purchases of property, plant and equipment, including capital work-in-progress and capital advances, reaching Rs 210.5872 crore in the six months ended September 30, 2026. The comparable cash outflow was Rs 140.7687 crore in the six months ended September 30, 2025.

Capital work-in-progress, or CWIP, rose to Rs 300.8715 crore at September 30, 2026 from Rs 162.0845 crore at March 31, 2026, an increase of Rs 138.787 crore. Property, plant and equipment increased by Rs 28.8227 crore to Rs 623.1838 crore over the same six-month period. These balance-sheet movements do not necessarily match the investing cash outflow because depreciation, capital advances, creditor balances and other accounting movements can affect the recorded asset balance.

DOMS said construction and installation at its new manufacturing facility were in the final stages at September 30, 2026. The facility had originally been scheduled for completion by March 31, 2026. The company also said all Rs 332.7245 crore of net initial public offering, or IPO, proceeds had been utilised by September 30, including Rs 280 crore for part-financing the proposed project and Rs 52.7245 crore for general corporate purposes.

Why did DOMS operating cash flow decline?

DOMS generated Rs 104.2577 crore of net cash from operating activities in the six months ended September 30, 2026, down Rs 66.4092 crore from Rs 170.6669 crore in the prior-year period. Cash generated from operations before working-capital changes fell to Rs 178.1295 crore from Rs 205.3091 crore, while working capital moved to an outflow of Rs 48.1046 crore from an inflow of Rs 4.762 crore.

Inventories absorbed Rs 40.737 crore of cash, compared with Rs 16.4182 crore a year earlier, while trade receivables absorbed Rs 35.2022 crore, against Rs 11.9173 crore. Other current assets used Rs 21.7264 crore, compared with an Rs 8.3461 crore inflow in the earlier period. These movements were partly offset by a Rs 40.6545 crore increase in trade payables and a Rs 10.9935 crore increase in other current financial liabilities.

Tax payments declined to Rs 25.7672 crore from Rs 39.4042 crore, but this did not offset the larger working-capital outflow. Profit before tax declined to Rs 112.0893 crore from Rs 161.1533 crore, and the latest period included a net exceptional expense of Rs 10.3871 crore related to flood damage. DOMS said warehouse insurance claims in Gujarat remained under assessment; apart from Rs 1.7365 crore of vehicle-insurance recovery recognised under exceptional items, it had not recognised further recovery.

How did DOMS finance its investment spending?

DOMS financed part of its first-half investment outflow through operating cash generation and net financing inflows of Rs 82.1733 crore in the six months ended September 30, 2026. This compares with net financing cash used of Rs 22.5926 crore in the corresponding prior-year period, when investing outflows were Rs 66.4277 crore rather than Rs 208.7785 crore.

Long-term borrowing proceeds were Rs 81.9714 crore, versus no proceeds in the previous first half, and short-term borrowing proceeds were Rs 48.3013 crore, versus Rs 1.2414 crore. DOMS repaid Rs 8.9755 crore of long-term borrowings and Rs 3.4 crore of short-term borrowings. It also paid Rs 22.1479 crore in dividends, Rs 8.9788 crore in lease-liability repayments and Rs 4.5972 crore in finance costs.

Cash and cash equivalents ended at Rs 31.2377 crore on September 30, 2026, compared with Rs 53.4877 crore at the start of the period. The cash-flow statement reported a net decrease of Rs 22.3475 crore, followed by a Rs 0.0975 crore adjustment from the initial application of amendments to Indian Accounting Standard 109, or Ind AS 109. Bank balances not classified as cash and cash equivalents rose to Rs 16.9342 crore from Rs 8.2978 crore.

How much did DOMS borrow and what changed on the balance sheet?

DOMS reported total borrowings of Rs 207.5114 crore at September 30, 2026, an increase of Rs 117.912 crore from Rs 89.5994 crore at March 31, 2026. Non-current borrowings increased to Rs 97.485 crore from Rs 38.0457 crore, while current borrowings rose to Rs 110.0264 crore from Rs 51.5537 crore.

Total liabilities rose to Rs 593.1035 crore from Rs 409.8291 crore during the six months. Current liabilities increased by Rs 120.2993 crore to Rs 414.2783 crore, including trade payables of Rs 165.3719 crore compared with Rs 125.1719 crore, and other financial liabilities of Rs 65.6147 crore compared with Rs 48.185 crore. Non-current liabilities increased by Rs 62.9751 crore to Rs 178.8252 crore.

Total assets rose to Rs 1,960.8544 crore from Rs 1,711.934 crore, while total equity increased to Rs 1,367.7509 crore from Rs 1,302.1049 crore. Non-current assets increased by Rs 174.1378 crore to Rs 1,246.7277 crore, led by CWIP and property, plant and equipment. Current assets rose by Rs 74.7826 crore to Rs 714.1267 crore, including inventories of Rs 406.5472 crore and trade receivables of Rs 198.2627 crore.

Conclusion

DOMS recorded a substantially larger investment outflow in the first half of fiscal 2027, with Rs 210.5872 crore of capital expenditure exceeding its Rs 104.2577 crore of operating cash flow. Higher inventory, receivables and other current assets absorbed cash, while financing inflows and a Rs 117.912 crore increase in borrowings supported the investing programme.

The next disclosed milestone is completion of the new manufacturing facility, whose construction and installation were in final stages at September 30, 2026 despite an original completion schedule of March 31, 2026. DOMS also has unresolved insurance claims for flood-related warehouse losses in Gujarat; management expects a substantial portion to be recoverable, but had not recognised that recovery at the reporting date.