IGL Spirits borrowings fall Rs 88.37 crore in six months

IGL Spirits Limited reduced total borrowings by Rs 88.37 crore in the six months ended September 30, 2026, to Rs 714.13 crore from Rs 802.50 crore at March 31, 2026. Total equity increased by Rs 120.68 crore to Rs 1,329.04 crore over the same period, while inventories and capital work-in-progress also increased.

How much did IGL Spirits reduce its borrowings?

IGL Spirits reduced aggregate current and non-current borrowings to Rs 714.13 crore at September 30, 2026, from Rs 802.50 crore at March 31, 2026. Non-current borrowings accounted for Rs 81.78 crore of the Rs 88.37 crore reduction, declining to Rs 436.71 crore, while current borrowings fell by Rs 6.59 crore to Rs 277.42 crore.

The half-year cash-flow statement reported net payments from borrowings of Rs 88.38 crore for the period ended September 30, 2026. Net cash used in financing activities was Rs 132.08 crore, including Rs 23.77 crore of finance costs paid and Rs 19.93 crore of lease-liability payments.

Lease liabilities were reported separately from borrowings and also declined. Non-current lease liabilities fell to Rs 66.66 crore from Rs 81.13 crore, while current lease liabilities decreased to Rs 30.33 crore from Rs 31.01 crore between March 31 and September 30, 2026.

How did IGL Spirits’ equity and liabilities change?

IGL Spirits’ total equity rose to Rs 1,329.04 crore at September 30, 2026, from Rs 1,208.36 crore at March 31, 2026. Other equity increased by Rs 120.68 crore to Rs 1,295.53 crore, while the Rs 33.51 crore equity-share suspense account at March 31 was replaced by equity share capital of the same amount at September 30.

The filing reported profit before tax of Rs 162.66 crore for the half year ended September 30, 2026, but does not provide a separate reconciliation for each movement within other equity. Total liabilities, calculated from the reported balance sheet, declined by Rs 56.68 crore to Rs 1,993.78 crore as the reduction in borrowings exceeded increases in some other obligations.

Non-current liabilities fell to Rs 890.04 crore from Rs 959.85 crore, despite deferred tax liabilities increasing by Rs 21.27 crore to Rs 317.58 crore. Current liabilities rose by Rs 13.13 crore to Rs 1,103.74 crore, with trade payables increasing by Rs 37.48 crore to Rs 637.11 crore and other current liabilities decreasing by Rs 36.92 crore to Rs 70.37 crore.

Which assets and working-capital balances increased at IGL Spirits?

IGL Spirits’ total assets increased by Rs 64 crore to Rs 3,322.82 crore at September 30, 2026, from Rs 3,258.82 crore at March 31, 2026. Current assets rose by Rs 63.63 crore to Rs 578.25 crore, whereas non-current assets changed marginally to Rs 2,744.57 crore from Rs 2,744.20 crore.

Inventories increased by Rs 74.41 crore to Rs 279.04 crore and trade receivables rose by Rs 17.95 crore to Rs 247.03 crore over the six months. The cash-flow statement records the inventory increase as a Rs 74.41 crore use of cash, while its reported movement in trade and other receivables added Rs 10.61 crore to operating cash flow.

Capital work-in-progress, meaning expenditure on assets not yet ready for intended use, increased by Rs 39.64 crore to Rs 64.82 crore. Property, plant and equipment declined by Rs 23.30 crore to Rs 2,586.10 crore, while right-to-use assets fell by Rs 16.03 crore to Rs 90.05 crore.

What does the cash flow show about IGL Spirits’ balance sheet?

IGL Spirits generated net cash of Rs 185.85 crore from operating activities in the half year ended September 30, 2026, compared with net cash used of Rs 61.89 crore in the corresponding half year ended September 30, 2025. Operating profit before working-capital changes rose to Rs 244.78 crore from Rs 238.44 crore in the prior-year period.

Investing activities used Rs 53.93 crore in the September 2026 half year, including Rs 54 crore spent on property, plant and equipment. Cash and cash equivalents were Rs 4.32 crore at September 30, 2026, compared with Rs 4.48 crore at March 31, 2026, while bank balances other than cash equivalents increased to Rs 5.39 crore from Rs 4.57 crore.

The balance-sheet comparison follows the transfer of the spirits and biofuel undertaking of India Glycols Limited to IGL Spirits with effect from April 1, 2026. The National Company Law Tribunal approved the demerger on July 17, 2026, and the order was filed with the Registrar of Companies on September 1, 2026.

How does the demerger affect IGL Spirits’ reported comparisons?

IGL Spirits stated that all assets and liabilities of the transferred spirits and biofuel undertaking vested in it on the April 1, 2026 appointed date. Comparative financial information for the quarter and half year ended September 30, 2025, and the year ended March 31, 2026, was restated under the scheme and Appendix C of Indian Accounting Standard 103 for common-control business combinations.

IGL Spirits is obtaining regulatory approvals for licences and permissions in its own name. Until that process is complete, business operations remain in the name of India Glycols Limited and accounting transactions continue in that company’s books, with relevant information extracted for IGL Spirits’ results.

The September 30, 2026 results received a limited review from joint statutory auditors on November 12, 2026. The auditors said the restated comparative figures for September 2025 and March 2026 had not been audited or reviewed and were based on information certified by management.

Conclusion

IGL Spirits reported lower borrowings and higher equity at September 30, 2026, alongside Rs 185.85 crore of operating cash generation in the half year. The Rs 88.37 crore decline in borrowings coincided with a Rs 74.41 crore increase in inventories, a Rs 17.95 crore increase in receivables and a Rs 39.64 crore rise in capital work-in-progress.

The next disclosed matter is the completion of licences and permissions in IGL Spirits’ name following the April 1, 2026 transfer. Until those approvals are obtained, operations and underlying accounting transactions for the spirits and biofuel business remain in India Glycols Limited’s name and books.