Jainco Projects finance costs fall 75%, first-half profit flat

Jainco Projects (India) Limited reported profit after tax of Rs 0.35 lakh for the six months ended 30 September 2026, unchanged from a year earlier, as a 75% decline in finance costs to Rs 6.35 lakh broadly offset a 45% fall in revenue from operations to Rs 19.21 lakh.

What were Jainco Projects’ first-half financial results?

Jainco Projects reported total income of Rs 19.21 lakh for the six months ended 30 September 2026, down from Rs 35.07 lakh in the corresponding 2025 period. The company reported no other income in either half year, meaning revenue from operations accounted for its full reported income in both periods. Profit before tax declined to Rs 0.35 lakh from Rs 0.37 lakh.

Total expenses fell 46% to Rs 18.86 lakh from Rs 34.70 lakh, a reduction of Rs 15.84 lakh that was slightly smaller than the Rs 15.86 lakh revenue decline. Finance costs decreased by Rs 18.67 lakh, while employee-benefit expense rose to Rs 2.41 lakh from Rs 1.77 lakh and other expenses increased to Rs 9.96 lakh from Rs 7.71 lakh. No tax expense was recorded for the latest half year, leaving profit after tax at Rs 0.35 lakh, unchanged from a year earlier.

How did Jainco Projects perform in the September 2026 quarter?

Jainco Projects recorded revenue from operations of Rs 11.34 lakh in the quarter ended 30 September 2026, compared with Rs 7.87 lakh in the preceding June 2026 quarter and Rs 7.23 lakh in the September 2025 quarter. Quarterly total expenses were Rs 11.25 lakh, resulting in profit before tax and profit after tax of Rs 0.09 lakh each.

September-quarter profit after tax of Rs 0.09 lakh was below Rs 0.26 lakh in the June 2026 quarter despite revenue increasing by Rs 3.47 lakh sequentially. Finance costs were Rs 6.35 lakh in the September quarter, while the June-quarter result showed no finance-cost charge. Other expenses declined to Rs 3.19 lakh from Rs 6.77 lakh quarter on quarter, but employee-benefit expense rose to Rs 1.64 lakh from Rs 0.77 lakh.

Why did Jainco Projects’ finance costs decline?

Jainco Projects reported finance costs of Rs 6.35 lakh for the first half of 2026-27, compared with Rs 25.02 lakh a year earlier. The company said financial costs and charges are accounted for on a payment basis because a dispute between the financier and the company is sub judice. The filing does not quantify the disputed amount or state when the matter may be resolved.

Current borrowings were Rs 1.8623 crore at 30 September 2026, down from Rs 2.8869 crore at 31 March 2026. The cash-flow statement reported net proceeds from short-term borrowings of negative Rs 1.0246 crore in the latest half year, compared with negative Rs 10.2906 crore a year earlier. The lower borrowing balance coincided with the lower finance-cost charge, but Jainco Projects did not attribute the expense movement to one specified cause.

What changed in Jainco Projects’ balance sheet and cash flow?

Jainco Projects’ total assets were Rs 12.5421 crore at 30 September 2026, compared with Rs 13.6293 crore at 31 March 2026. Loans and advances fell to Rs 1.5834 crore from Rs 2.6228 crore, while trade receivables decreased to Rs 2.9287 crore from Rs 2.9677 crore. Property, plant and equipment were largely unchanged at Rs 3.9894 crore, compared with Rs 3.9903 crore at the March year-end.

The cash-flow statement reported net cash flow from operating activities of Rs 1.0807 crore for the six months ended 30 September 2026, investing cash flow of Rs 2.45 lakh and financing cash flow of negative Rs 1.0881 crore. Cash and cash equivalents at the end of the period were Rs 2.15 lakh, up from Rs 0.44 lakh at the beginning. The statement also recorded a Rs 1.0394 crore movement in loans and advances and finance-cost cash outflow of Rs 6.35 lakh.

What disclosures affect Jainco Projects’ reported figures?

Jainco Projects said it has no other reportable segment, so its filing provides no separate revenue, profit or capital-employed figures by business line. It identified itself as a Reserve Bank of India-registered non-banking financial company. Paid-up equity share capital was Rs 10 crore at 30 September 2026, unchanged from 31 March 2026, and other equity was Rs 66.72 lakh.

The company reported a current ratio of 3.06 times, a debt-equity ratio of 0.19 times and net worth of Rs 10.6672 crore at 30 September 2026. It also said no provision had been made for contingent liabilities, while payments involving various creditors and debtors are subject to litigation, suits or claims. Jainco Projects stated that figures in the financial statements should not be construed as an admission of liability.

Were Jainco Projects’ results approved and independently reviewed?

Jainco Projects’ audit committee and board approved the unaudited quarter and half-year results on 14 November 2026. According to the board-meeting outcome, the meeting began at 6:00 pm and ended at 6:40 pm. The approved statements cover the quarter and six months ended 30 September 2026.

Sarkar Gurumurthy & Associates issued a limited review report dated 14 November 2026 for the period ended September 2026. The auditor said nothing had come to its attention to indicate that the unaudited results did not make required disclosures or contained a material misstatement. It also noted that a review is narrower in scope than an audit and did not express an audit opinion.

Conclusion

Jainco Projects maintained first-half profit after tax at Rs 0.35 lakh even as revenue from operations declined by Rs 15.86 lakh year on year. The outcome reflected a Rs 18.67 lakh reduction in finance costs, partly countered by a Rs 2.89 lakh combined increase in employee-benefit and other expenses.

The annual results will be important because Jainco Projects said income-tax and deferred-tax provisions will be made at the end of the year. The unresolved financier dispute, payment-basis recognition of financial charges, and litigation involving creditors and debtors remain matters to watch after the 30 September 2026 reporting date.