Mallcom Q2 profit more than doubles to Rs 7.74 crore as sales rise

Mallcom (India) Limited reported consolidated profit after tax of Rs 7.74 crore for the quarter ended September 30, 2026, more than double Rs 3.74 crore a year earlier, while revenue from operations rose 3% to Rs 143.31 crore. Total expenditure declined by Rs 0.65 crore despite increases in employee, depreciation and operating expenses.

How did Mallcom’s September-quarter earnings change?

Mallcom’s consolidated profit after tax rose to Rs 7.74 crore in the quarter ended September 30, 2026, from Rs 3.74 crore in the quarter ended September 30, 2025. It was also above the Rs 6.57 crore reported in the quarter ended June 30, 2026.

Revenue from operations increased to Rs 143.31 crore from Rs 139.34 crore a year earlier, while other income increased to Rs 1.02 crore from Rs 0.30 crore. Consequently, total income reached Rs 144.33 crore, compared with Rs 139.64 crore in the September 2025 quarter.

Mallcom reported basic and diluted earnings per share of Rs 12.41 for the September 2026 quarter, against Rs 5.99 a year earlier. Tax expense was Rs 2.65 crore, comprising Rs 2.08 crore of current tax and Rs 0.57 crore of deferred tax, compared with Rs 1.32 crore in the prior-year quarter.

What drove Mallcom’s profit increase despite limited sales growth?

Mallcom’s higher profit reflected total expenditure falling to Rs 133.94 crore from Rs 134.59 crore while total income rose to Rs 144.33 crore from Rs 139.64 crore. The resulting difference between income and expenditure lifted reported profit before tax to Rs 10.40 crore from Rs 5.85 crore.

Raw-material consumption declined to Rs 84.55 crore from Rs 84.77 crore, and purchases of stock-in-trade fell to Rs 12.03 crore from Rs 12.54 crore. The inventory line reduced expenditure by Rs 6.50 crore in the latest quarter, compared with a Rs 6.45 crore reduction in the September 2025 quarter.

Several costs nevertheless increased year on year. Employee benefits expense rose to Rs 7.30 crore from Rs 6.21 crore, depreciation and amortisation increased to Rs 3.55 crore from Rs 2.07 crore, and manufacturing and other operational expenses rose to Rs 39.33 crore from Rs 31.32 crore. Finance costs also increased to Rs 2.30 crore from Rs 2.14 crore.

The reported numbers imply profit after tax of about 5.4% of revenue from operations in the September 2026 quarter, compared with about 2.7% a year earlier. This calculation uses the reported Rs 7.74 crore profit after tax and Rs 143.31 crore operating revenue; Mallcom did not publish a separate quarterly margin measure.

How did Mallcom’s India and overseas revenue mix change?

Mallcom’s revenue within India fell to Rs 74.30 crore in the September 2026 quarter from Rs 83.03 crore a year earlier, while revenue outside India increased to Rs 69.00 crore from Rs 56.31 crore. The Rs 12.69 crore increase in overseas revenue exceeded the Rs 8.73 crore decline in India revenue.

India represented about 52% of Mallcom’s Rs 143.31 crore quarterly revenue from operations, while outside-India sales represented about 48%. In the September 2025 quarter, India generated about 60% of operating revenue and outside India about 40%, based on reported revenue of Rs 139.34 crore.

Sequentially, revenue within India increased from Rs 45.41 crore in the June 2026 quarter to Rs 74.30 crore in the September quarter. Outside-India revenue also rose, from Rs 64.08 crore to Rs 69.00 crore, after overseas sales exceeded India sales by Rs 18.67 crore in the June quarter.

Mallcom identifies industrial safety products as its single reportable business segment under Indian Accounting Standard 108 on segment reporting. The company’s geographic disclosure splits total sales between India and other countries rather than identifying individual product categories or export markets.

What do Mallcom’s half-year results and balance sheet show?

Mallcom’s consolidated profit after tax for the half year ended September 30, 2026 increased to Rs 14.31 crore from Rs 13.59 crore a year earlier, despite revenue from operations declining to Rs 252.80 crore from Rs 261.78 crore. The half-year profit gain was therefore achieved alongside an Rs 8.98 crore reduction in operating revenue.

Total expenditure for the half year declined to Rs 234.89 crore from Rs 243.76 crore. Raw-material consumption fell to Rs 148.72 crore from Rs 154.65 crore and purchases of stock-in-trade declined to Rs 18.00 crore from Rs 23.90 crore, while employee benefits expense rose to Rs 14.17 crore from Rs 11.56 crore.

At September 30, 2026, inventories stood at Rs 147.42 crore, compared with Rs 138.37 crore at March 31, 2026. Property, plant and equipment increased to Rs 226.74 crore from Rs 224.34 crore, while cash and cash equivalents were Rs 36.38 crore versus Rs 6.02 crore at the March year-end.

Long-term borrowings increased to Rs 28.00 crore at September 30, 2026, from Rs 6.24 crore at March 31, 2026. Total equity attributable to owners increased to Rs 331.09 crore from Rs 318.37 crore, and total assets rose to Rs 556.65 crore from Rs 512.48 crore.

What did the auditor review cover?

Mallcom’s consolidated results include two wholly owned subsidiaries, Mallcom Safety Private Limited and Mallcom VSFT Gloves Private Limited. The statutory auditor reviewed the consolidated unaudited results for the quarter and half year ended September 30, 2026 under Regulation 33 of the Securities and Exchange Board of India listing regulations.

The auditor said nothing had come to its attention to indicate that the consolidated statement did not make the disclosures required under the regulation or contained a material misstatement. The review is not an audit opinion: the auditor stated that its review procedures provide less assurance than an audit.

The two subsidiaries had combined total assets of Rs 48.75 crore before consolidation at September 30, 2026, according to the review report. They reported total revenue of Rs 15.71 crore for the September quarter and Rs 31.25 crore for the half year ended on that date.

Conclusion

Mallcom’s September-quarter figures show profit after tax more than doubled to Rs 7.74 crore while revenue from operations grew 3% to Rs 143.31 crore. Lower aggregate expenditure, rising outside-India revenue and lower raw-material and traded-stock purchases accompanied the improvement, even as employee, depreciation and operating costs increased.

Mallcom disclosed no earnings target, operating plan or scheduled future financial event in its November 12, 2026 filing. The next results disclosure will show whether the September-quarter sales mix of Rs 74.30 crore in India and Rs 69.00 crore outside India continues, and how inventories of Rs 147.42 crore and long-term borrowings of Rs 28.00 crore develop.