Indifra swings to profit as first-half revenue reaches Rs 23.40 crore

Indifra Limited reported profit of Rs 66.93 lakh for the half year ended September 30, 2026, reversing a Rs 13.50 lakh loss a year earlier as revenue from operations rose to Rs 23.40 crore from Rs 2.60 crore. The standalone result was accompanied by Rs 4.57 crore of net cash used in operating activities.

What did Indifra report for the half year ended September 2026?

Indifra reported revenue from operations of Rs 23.40 crore for the half year ended September 30, 2026, compared with Rs 2.60 crore in the half year ended September 30, 2025. Including other income of Rs 8.21 lakh, total income reached Rs 23.49 crore, against Rs 2.77 crore in the corresponding prior-year half.

Indifra recorded profit before tax of Rs 67.89 lakh, compared with a loss before tax of Rs 13.28 lakh a year earlier. Profit for the period was Rs 66.93 lakh, versus a Rs 13.50 lakh loss in the September 2025 half year, while basic and diluted earnings per share were Rs 0.92 against a loss per share of Rs 0.19.

The September 2026 half also exceeded the immediately preceding half year ended March 31, 2026, when Indifra reported revenue of Rs 14.81 crore and profit of Rs 14.98 lakh. Revenue increased by Rs 8.60 crore between those two half-year periods and profit increased by Rs 51.95 lakh.

Indifra's September 2026 results were standalone and unaudited, and its board approved them on November 11, 2026. Deora Maheshwari Co., the statutory auditor, said in its limited review that nothing had come to its attention to indicate a material misstatement or a failure to provide required disclosures.

How did Indifra's expenses change as revenue increased?

Indifra's total expenses rose to Rs 22.81 crore in the half year ended September 30, 2026 from Rs 2.90 crore a year earlier, while total income rose to Rs 23.49 crore from Rs 2.77 crore. This produced a Rs 67.89 lakh profit before tax, compared with a Rs 13.28 lakh loss before tax in the September 2025 half.

Purchase and direct expenses were Rs 19.79 crore, up from Rs 3.82 crore in the prior-year half. Employee benefit expense increased to Rs 93.12 lakh from Rs 31.11 lakh, and other expenses rose to Rs 65.14 lakh from Rs 26.45 lakh, alongside the Rs 20.80 crore increase in revenue from operations.

The inventory movement changed between the two half years. Indifra recorded a Rs 1.25 crore expense from changes in finished-goods inventory in the September 2026 half, whereas the September 2025 half included a Rs 1.51 crore reduction in expenses from that line; depreciation and amortisation increased to Rs 3.83 lakh from Rs 2.68 lakh.

Finance costs of Rs 14.81 lakh appeared in the September 2026 half-year statement, while no finance cost was shown for the half years ended March 31, 2026 and September 30, 2025. Indifra reported tax expense of negative Rs 0.96 lakh, comprising negative Rs 1.44 lakh of prior-period tax and Rs 0.48 lakh of deferred-tax expense.

Why was Indifra's operating cash flow negative despite profit?

Indifra reported net cash used in operating activities of Rs 4.57 crore in the half year ended September 30, 2026 despite profit before tax of Rs 67.89 lakh. The largest stated working-capital movement was a Rs 7.07 crore increase in other current assets, which outweighed cash released from inventories and trade receivables.

Inventories provided a Rs 1.25 crore cash release and trade receivables provided a Rs 78.10 lakh cash release in the half year. The cash-flow statement reported cash generated from operations of negative Rs 5.36 crore, followed by Rs 1.45 lakh of income tax paid and net operating cash flow of negative Rs 4.57 crore.

The cash-flow statement compares the September 2026 half with the full year ended March 31, 2026, rather than with the prior-year half. Indifra reported negative operating cash flow of Rs 8.90 crore for that full year, including a Rs 6.09 crore increase in other current assets and a Rs 3.01 crore increase in inventories, so both disclosed periods recorded operating cash outflows.

Indifra used Rs 74.19 lakh in investing activities during the September 2026 half. Loans and advances given accounted for Rs 74.12 lakh and purchases of property, plant and equipment for Rs 13.18 lakh, partly offset by Rs 6.74 lakh from sale of current investments and Rs 6.37 lakh of interest received.

What changed in Indifra's balance sheet and funding position?

Indifra's total assets rose to Rs 26.87 crore at September 30, 2026 from Rs 21.07 crore at March 31, 2026. Other current assets increased to Rs 15.67 crore from Rs 8.60 crore, a Rs 7.07 crore movement that corresponds with the increase reported in the operating cash-flow statement.

Cash and bank balances declined to Rs 8.44 lakh from Rs 9.35 lakh over the six months ended September 30, 2026. Trade receivables fell to Rs 4.67 crore from Rs 5.46 crore, inventories declined to Rs 3.16 crore from Rs 4.41 crore, and current investments decreased to Rs 2.13 crore from Rs 2.20 crore.

Indifra reported short-term borrowings of Rs 5.45 crore at September 30, 2026, compared with none at March 31, 2026. Financing activities generated Rs 5.30 crore of net cash, reflecting Rs 5.45 crore of borrowing proceeds less Rs 14.81 lakh of interest paid, while current liabilities rose to Rs 8.00 crore from Rs 2.87 crore.

Shareholders' funds increased to Rs 18.85 crore from Rs 18.18 crore as reserves and surplus rose to Rs 11.56 crore from Rs 10.89 crore. Paid-up equity share capital remained Rs 7.29 crore, and Indifra reported no long-term borrowings at either September 30, 2026 or March 31, 2026.

What did Indifra disclose about public-issue fund utilisation?

Indifra reported no deviation or variation in the use of funds from its Rs 14.04 crore public issue raised on December 29, 2023. As of September 30, 2026, the company reported utilisation of Rs 12.95 crore, with the statement reviewed by the Audit Committee.

The company reported full utilisation of Rs 8.00 crore allocated to working-capital requirements and Rs 4.38 crore allocated to general corporate purposes and funding an acquisition. Of the Rs 1.66 crore allocated to public-issue expenses, Rs 56.68 lakh had been utilised as of September 30, 2026.

Indifra's filing states that there were no auditor comments on the utilisation statement and no monitoring agency was applicable. The unutilised portion of the Rs 1.66 crore public-issue expense allocation was Rs 1.09 crore based on the disclosed allocation and utilisation figures.

Conclusion

Indifra's September 2026 half-year filing shows a shift from a Rs 13.50 lakh loss to Rs 66.93 lakh of profit as revenue rose to Rs 23.40 crore from Rs 2.60 crore a year earlier. However, the Rs 4.57 crore operating cash outflow and Rs 5.45 crore of short-term borrowings show that the period's profit was not matched by positive operating cash generation.

The disclosed item to watch is the remaining public-issue expense allocation: Indifra had used Rs 56.68 lakh of the Rs 1.66 crore earmarked for that purpose as of September 30, 2026. The company also reported no deviation or variation in the utilisation of its Rs 14.04 crore public-issue proceeds.