Jhaveri Credits reports Rs 1.97 crore loss for first half

Jhaveri Credits and Capital Limited reported a standalone Rs 1.97 crore loss for the half year ended September 30, 2026, compared with a recast Rs 6.24 crore profit a year earlier, as revenue from operations fell to Rs 20.77 crore from Rs 51.47 crore. The board approved the results on November 3, 2026.

What were Jhaveri Credits' first-half financial results?

Jhaveri Credits recorded a Rs 1.97 crore loss after tax for the half year ended September 30, 2026, reversing from a Rs 6.24 crore profit after tax in the recast half year ended September 30, 2025. Basic and diluted earnings per share were a loss of Rs 1.77, compared with earnings of Rs 5.73 in the prior-year period; the filing says quarterly earnings per share are not annualised.

Revenue from operations was Rs 20.77 crore in the 2026 first half, down from Rs 51.47 crore a year earlier. Other income rose to Rs 4.21 crore from Rs 3.56 crore, but did not offset the Rs 30.70 crore fall in operating revenue. Total income consequently declined to Rs 24.99 crore from Rs 55.03 crore.

The September 2026 quarter produced a Rs 48.69 lakh loss after tax, against a Rs 62.80 lakh loss in the September 2025 quarter and a Rs 1.48 crore loss in the June 2026 quarter. September-quarter revenue from operations was Rs 3.71 crore, compared with Rs 17.06 crore in the preceding June quarter and Rs 39.74 crore in the recast September 2025 quarter.

Why did Jhaveri Credits move from profit to loss?

Jhaveri Credits moved to a first-half loss because total income of Rs 24.99 crore was below total expenses of Rs 26.95 crore, resulting in a Rs 1.97 crore loss before tax and no tax expense. In the recast first half of 2025, total income of Rs 55.03 crore exceeded expenses of Rs 48.63 crore, producing a Rs 6.40 crore profit before tax and a Rs 6.24 crore profit after tax.

Cost of operation and material consumed declined to Rs 21.97 crore from Rs 51.53 crore, alongside the lower revenue base. However, the lower cost did not fully counter the fall in income. Employee benefit expenses increased to Rs 2.18 crore from Rs 2.07 crore, while finance costs increased to Rs 32.59 lakh from Rs 2.14 lakh.

Changes in inventories were an expense of Rs 12.03 lakh in the 2026 first half, compared with a Rs 7.49 crore credit in the previous-year comparative period. Depreciation and amortisation declined to Rs 81.04 lakh from Rs 85.13 lakh, while other expenses decreased to Rs 1.54 crore from Rs 1.64 crore. The filing shows these reductions were smaller than the difference in income and inventory movement between the periods.

How did the amalgamation affect Jhaveri Credits' comparison?

Jhaveri Credits restated the September 2025 quarter and first-half comparatives following the amalgamation of U R Energy (India) Private Limited with Jhaveri Credits. The National Company Law Tribunal, Ahmedabad Bench sanctioned the scheme on March 16, 2026, with an appointed date of April 1, 2024.

Jhaveri Credits accounted for the transaction using the pooling of interests method under Appendix C of Indian Accounting Standard 103, or Ind AS 103. The filing says prior-period information was recast to give effect to the amalgamation and current-quarter results are presented on the same basis. The reported comparison of Rs 20.77 crore of first-half operating revenue with Rs 51.47 crore therefore uses recast figures.

Jhaveri Credits also said it operates in a single business segment and therefore made no separate disclosure under Indian Accounting Standard 108. The filing does not split the Rs 1.97 crore first-half loss or Rs 20.77 crore of operating revenue between operating businesses.

What changed in Jhaveri Credits' balance sheet and cash flow?

Jhaveri Credits' standalone total assets stood at Rs 133.46 crore on September 30, 2026, compared with Rs 139.33 crore on March 31, 2026. Current assets declined to Rs 90.05 crore from Rs 103.87 crore, while non-current assets increased to Rs 43.41 crore from Rs 35.46 crore. Non-current loans rose to Rs 22.44 crore from Rs 12.82 crore over the same period.

Cash and cash equivalents fell to Rs 34.01 lakh on September 30 from Rs 17.87 crore at the beginning of the financial year. The standalone cash-flow statement shows a Rs 17.53 crore net decrease during the half year, comprising Rs 6.56 crore used in operating activities, Rs 8.60 crore used in investing activities and Rs 2.37 crore used in financing activities.

Current loans were Rs 45.42 crore at September 30, marginally lower than Rs 46.14 crore at March 31. Total equity decreased to Rs 118.04 crore from Rs 120.47 crore, while total liabilities declined to Rs 15.43 crore from Rs 18.86 crore. Non-current borrowings were nil at September 30, compared with Rs 44.72 lakh at the March year-end.

What recent corporate action did Jhaveri Credits disclose?

Jhaveri Credits said it acquired majority shares in U R Energy (Solar) Pvt Ltd during the September 2026 quarter for Rs 51,000. The disclosure identifies the transaction and consideration but does not state the percentage acquired, funding source or the acquired company's financial contribution to the quarter.

The Audit Committee reviewed and the board approved the results at meetings held on November 3, 2026. The statutory auditors carried out a limited review of the standalone financial results. Their review report said nothing had come to their attention suggesting the results did not disclose required information or contained a material misstatement.

Conclusion

The first-half results show a reversal from a recast Rs 6.24 crore profit to a Rs 1.97 crore loss, alongside a fall in revenue from operations from Rs 51.47 crore to Rs 20.77 crore. Lower operating and material costs reduced expenditure, but total income of Rs 24.99 crore remained below total expenses of Rs 26.95 crore, while inventory movement differed substantially from the prior-year comparative period.

The next disclosed matter to watch is the financial effect of the Rs 51,000 acquisition of majority shares in U R Energy (Solar) Pvt Ltd. Jhaveri Credits has not disclosed the ownership percentage, funding source or contribution of that company to results, leaving those matters unresolved in the September 2026 filing.