Gayatri Rubbers H1 profit rises 54% to Rs 4.06 crore year on year

Gayatri Rubbers and Chemicals Limited reported profit of Rs 4.06 crore for the half year ended September 30, 2026, up 54% from Rs 2.63 crore a year earlier. Gayatri Rubbers’ revenue from operations rose 59% to Rs 27.45 crore, while profit also exceeded Rs 2.95 crore in the preceding half year ended March 31, 2026.

How did Gayatri Rubbers perform in the September 2026 half year?

Gayatri Rubbers reported total income of Rs 27.52 crore for the half year ended September 30, 2026, compared with Rs 17.33 crore in the half year ended September 30, 2025. Revenue from operations was Rs 27.45 crore in the latest period, while other income was Rs 6.17 lakh.

Revenue from operations increased by Rs 10.14 crore from the year-earlier half year and by Rs 2.98 crore from Rs 24.48 crore in the half year ended March 31, 2026. Total income also rose sequentially from Rs 24.49 crore, as other income increased from Rs 1.02 lakh in the March 2026 half year.

Gayatri Rubbers identifies manufacturing and trading of rubber products as its sole reportable segment under Accounting Standard 17, or AS 17, on segment reporting. The half-year statement therefore does not split the Rs 27.45 crore of operating revenue between manufacturing, trading, products or customer categories.

What changed in Gayatri Rubbers’ costs and profit?

Gayatri Rubbers’ profit before tax increased to Rs 5.49 crore from Rs 3.47 crore a year earlier and Rs 4.08 crore in the preceding half year. Total tax expense was Rs 1.43 crore, comprising current tax of Rs 1.37 crore and deferred tax charge of Rs 6.10 lakh, leaving profit for the period of Rs 4.06 crore.

Total expenses rose to Rs 22.03 crore from Rs 13.86 crore in the September 2025 half year, an increase of Rs 8.16 crore. That increase was lower than the Rs 10.18 crore rise in total income, while profit before tax increased by Rs 2.02 crore and post-tax profit increased by Rs 1.43 crore year on year.

Cost of revenue operations rose to Rs 18.79 crore from Rs 11.64 crore, while employee benefit expenses increased to Rs 1.45 crore from Rs 87.71 lakh. Depreciation and amortisation expense increased to Rs 63.85 lakh from Rs 25.26 lakh, and other expenses rose to Rs 3.58 crore from Rs 1.04 crore.

The expenses statement included a Rs 2.76 crore reduction in inventories of finished goods, work-in-progress and stock-in-trade, compared with a Rs 24.10 lakh reduction a year earlier. Finance cost was Rs 33.13 lakh, above Rs 29.24 lakh in the September 2025 half year but below Rs 36.62 lakh in the March 2026 half year.

How did Gayatri Rubbers’ earnings per share change?

Gayatri Rubbers reported basic and diluted earnings per share, or EPS, of Rs 7.08 for the half year ended September 30, 2026, compared with Rs 4.59 in the corresponding prior-year half year. EPS was also higher than Rs 5.15 in the half year ended March 31, 2026.

The higher EPS accompanied profit for the period of Rs 4.06 crore, compared with Rs 2.63 crore a year earlier. Paid-up equity share capital was unchanged at Rs 5.74 crore in the September 2026, March 2026 and September 2025 columns, and each equity share had a face value of Rs 10.

For the year ended March 31, 2026, Gayatri Rubbers reported profit of Rs 5.59 crore and basic and diluted EPS of Rs 9.74. The September 2026 result covers six months, whereas the March 2026 result covers a full year, so the figures cover different reporting periods.

What changed in Gayatri Rubbers’ balance sheet and cash flow?

Gayatri Rubbers’ total assets were Rs 40.22 crore as at September 30, 2026, compared with Rs 31.88 crore as at March 31, 2026. Shareholders’ funds increased to Rs 23.76 crore from Rs 19.70 crore, as reserves and surplus rose to Rs 18.03 crore from Rs 13.96 crore and share capital remained Rs 5.74 crore.

Current assets increased to Rs 31.14 crore from Rs 26.12 crore. Trade receivables rose to Rs 11.57 crore from Rs 9.39 crore, inventories increased to Rs 16.75 crore from Rs 15.32 crore, and cash and cash equivalents rose to Rs 81.20 lakh from Rs 16.43 lakh.

Current liabilities were Rs 16.07 crore at September 30, 2026, compared with Rs 11.64 crore at March 31, 2026. Current borrowings increased to Rs 10.60 crore from Rs 6.48 crore, while non-current borrowings declined to Rs 26.73 lakh from Rs 43.89 lakh; the filing does not state the purpose of the increase in current borrowings.

Net cash flow from operating activities was Rs 1.10 crore for the period ended September 30, 2026, compared with Rs 15.86 lakh for the year ended March 31, 2026. Investing activities used Rs 4.07 crore, including Rs 3.89 crore for fixed assets and Rs 18.25 lakh for capital work-in-progress, while financing activities generated Rs 3.62 crore, including Rs 4.12 crore of short-term borrowing proceeds.

Did Gayatri Rubbers’ auditor identify a material misstatement?

Gayatri Rubbers’ statutory auditor, VAPS & Company, said in its limited review report dated November 2, 2026 that nothing had come to its attention to suggest the September 2026 half-year statement contained a material misstatement or omitted required disclosures. The report covered the unaudited financial results for the half year ended September 30, 2026.

The Audit Committee and board approved the results on November 2, 2026, after the board meeting that began at 3:30 p.m. and concluded at 3:47 p.m. The company prepared the results under Accounting Standards prescribed under Section 133 of the Companies Act, and the auditor performed a limited review rather than a full audit.

VAPS & Company said the review followed Standard on Review Engagements 2410 for interim financial information. The auditor also said a review is substantially less extensive than an audit and does not provide assurance that all matters identifiable in an audit would be identified.

Conclusion

Gayatri Rubbers recorded higher revenue, profit before tax and post-tax profit in the half year ended September 30, 2026. Revenue from operations increased to Rs 27.45 crore from Rs 17.31 crore, while profit rose to Rs 4.06 crore from Rs 2.63 crore despite higher cost of revenue operations, employee expenses and other expenses.

The unresolved points disclosed by the filing are the purpose of the rise in current borrowings to Rs 10.60 crore and how working-capital balances develop after receivables reached Rs 11.57 crore and inventories Rs 16.75 crore. The next results will also show whether fixed-asset purchases of Rs 3.89 crore and capital work-in-progress of Rs 18.25 lakh lead to further changes in assets, cash flow and financing.