Laxmi Goldorna borrowings rise as operating cash stays negative

Laxmi Goldorna House Limited reported total borrowings of Rs 118.99 crore at September 30, 2026, up from Rs 108.42 crore at March 31, 2026, as Rs 21.43 crore of net current-borrowing proceeds exceeded Rs 10.86 crore of non-current debt repayments while operating cash flow remained negative at Rs 4.00 crore.

How did Laxmi Goldorna’s borrowings change?

Laxmi Goldorna’s total borrowings increased by Rs 10.57 crore over the six months to September 30, 2026. Current borrowings rose to Rs 40.47 crore from Rs 19.04 crore at March 31, 2026, while non-current borrowings fell to Rs 78.52 crore from Rs 89.37 crore.

Current borrowings increased by 112.53% during the period, more than doubling their March 31 level. In contrast, non-current borrowings declined by 12.15%, and the cash-flow statement records Rs 21.43 crore of net proceeds from current borrowings alongside Rs 10.86 crore of net repayments of non-current borrowings.

Laxmi Goldorna reported total liabilities of Rs 126.40 crore at September 30, 2026, compared with Rs 126.31 crore at March 31, 2026. The near-flat total reflects a Rs 8.90 crore fall in trade payables to Rs 4.11 crore from Rs 13.01 crore, partly offsetting the higher borrowing balance.

Why did Laxmi Goldorna’s operating cash flow remain negative?

Laxmi Goldorna used Rs 4.00 crore in operating activities in the half year ended September 30, 2026, compared with Rs 5.99 crore used in the corresponding half year ended September 30, 2025. The cash outflow narrowed by Rs 1.99 crore year on year, but the company remained cash-negative after working-capital movements and Rs 1.84 crore of income taxes paid.

Operating profit before working-capital changes declined to Rs 6.30 crore in the latest half year from Rs 12.86 crore a year earlier. A Rs 8.04 crore increase in inventories and a Rs 8.90 crore reduction in trade payables reduced cash generation, while a Rs 8.72 crore reduction in trade receivables provided an offset.

Inventory stood at Rs 145.25 crore at September 30, 2026, up from Rs 137.24 crore at March 31, 2026. Trade receivables fell to Rs 17.94 crore from Rs 26.66 crore over the same six-month period, consistent with the cash-flow statement’s reported working-capital inflow from receivables.

How did financing activity affect Laxmi Goldorna’s cash balance?

Laxmi Goldorna generated Rs 5.21 crore from financing activities in the half year ended September 30, 2026, which exceeded the operating and investing cash outflows. Net current-borrowing proceeds of Rs 21.43 crore were partly used to repay Rs 10.86 crore of non-current borrowings and pay Rs 5.36 crore of finance costs.

The latest financing inflow was lower than Rs 10.55 crore in the half year ended September 30, 2025. In that earlier period, non-current borrowings contributed Rs 16.23 crore, current borrowings declined by Rs 49.59 lakh and finance costs paid were Rs 5.18 crore, indicating a shift in the latest half year toward current borrowing.

Cash and cash equivalents rose to Rs 1.30 crore at September 30, 2026 from Rs 19.86 lakh at March 31, 2026. The reported Rs 1.11 crore increase followed Rs 4.00 crore used in operations, Rs 10.02 lakh used in investing activities and Rs 5.21 crore generated from financing activities.

Finance costs were Rs 5.36 crore in the half year ended September 30, 2026, compared with Rs 5.18 crore in the prior-year half. The filing does not disclose interest rates, lender identities, borrowing maturities or the purposes for the additional current borrowings.

Which segments contributed to Laxmi Goldorna’s results and liabilities?

Laxmi Goldorna reported Rs 51.70 crore of liabilities in Gold & Jewellery and Rs 74.70 crore in Real Estate at September 30, 2026. Gold & Jewellery liabilities increased from Rs 36.47 crore at March 31, 2026, while Real Estate liabilities declined from Rs 89.84 crore, resulting in total segment liabilities of Rs 126.40 crore.

Laxmi Goldorna operates in Gold & Jewellery and Real Estate, with the latter including Laxmi Etemia, Laxmi Courtyard, Laxmi Aashiyana, The Universe and Laxmi 101. The filing says Gold & Jewellery revenue is recognised on delivery of goods, while Real Estate revenue is recognised under the completion method when the sale deed is executed and ownership, title, risk and possession are transferred.

Gold & Jewellery recorded half-year revenue of Rs 80.11 crore through September 30, 2026, compared with Rs 46.42 crore a year earlier, but segment profit before interest, exceptional items and tax declined to Rs 1.29 crore from Rs 5.25 crore. Real Estate revenue increased to Rs 7.62 crore from Rs 7.07 crore, while its segment result declined to Rs 4.92 crore from Rs 7.38 crore.

Total income rose to Rs 87.75 crore in the latest half year from Rs 53.55 crore in the comparable 2025 period. Despite that increase, profit before tax fell to Rs 58.75 lakh from Rs 7.52 crore and profit for the period declined to Rs 10.02 lakh from Rs 5.97 crore.

Conclusion

Laxmi Goldorna’s September 2026 standalone results show that a Rs 10.57 crore rise in total borrowings was driven by additional current borrowing, even as non-current borrowings were repaid. Operating cash outflow narrowed from the prior-year period but remained negative, leaving financing inflows to support the increase in cash and cash equivalents to Rs 1.30 crore.

The filing leaves the lenders, interest rates, maturities and stated use of the Rs 21.43 crore in net current-borrowing proceeds undisclosed. Subsequent financial filings will show whether current borrowings, inventory of Rs 145.25 crore, trade payables of Rs 4.11 crore and operating cash flow change after the half year ended September 30, 2026.