Nahar Capital standalone profit rises 11% in September quarter

Nahar Capital and Financial Services Ltd. reported standalone net profit of Rs 12.73 crore for the quarter ended September 30, 2026, up from Rs 11.43 crore a year earlier. Nahar Capital’s real-estate segment result rose to Rs 96.93 lakh from Rs 24.55 lakh, while a Rs 70.24 lakh net tax credit lifted reported profit despite lower income and pre-tax profit.

How did Nahar Capital’s standalone profit change in the September quarter?

Nahar Capital’s standalone net profit increased by Rs 1.30 crore year on year to Rs 12.73 crore in the September 2026 quarter from Rs 11.43 crore in the September 2025 quarter. Profit before tax declined to Rs 12.02 crore from Rs 14.23 crore, meaning the increase in net profit arose after the pre-tax stage rather than from a rise in pre-tax earnings.

Total income fell to Rs 15.45 crore from Rs 17.99 crore over the same period. Total expenses decreased to Rs 3.42 crore from Rs 3.76 crore, with finance costs falling to Rs 17.90 lakh from Rs 24.11 lakh, while employee-benefit expense increased to Rs 1.99 crore from Rs 1.94 crore. The reduction in expenses did not offset the decline in income before tax.

The September-quarter outcome also differed from the preceding June 2026 quarter. Net profit was Rs 8.82 crore in June, compared with Rs 12.73 crore in September, although profit before tax fell from Rs 14.55 crore to Rs 12.02 crore and total income declined from Rs 18.45 crore to Rs 15.45 crore. The change in the tax line was a material difference between the two quarters.

Why did Nahar Capital report a tax credit?

Nahar Capital reported a net tax credit of Rs 70.24 lakh for the September 2026 quarter, compared with tax expense of Rs 2.80 crore a year earlier. The quarter included current tax of Rs 1.15 crore and a deferred-tax credit of Rs 1.85 crore; in the September 2025 quarter, current tax was Rs 2.40 crore and deferred tax expense was Rs 40.19 lakh.

Nahar Capital said it had opted for the new tax regime following changes to minimum alternate tax, or MAT, provisions in the 2026 budget. Management estimated conservatively that it could use brought-forward MAT credit of up to Rs 6 crore a year against tax liabilities going forward. The company also said the current quarter is not comparable with earlier quarters because its results reflect the tax-regime change.

The disclosed deferred-tax figure represents tax on Indian Accounting Standards, or Ind AS, adjustments only. For the half year ended September 30, 2026, the tax expense was Rs 2.56 lakh, compared with Rs 6.02 crore in the corresponding prior-year half, contributing to net profit of Rs 26.55 crore against Rs 19.88 crore a year earlier.

How did Nahar Capital’s real-estate and financial segments perform?

Nahar Capital’s real-estate activity improved year on year, with segment revenue rising to Rs 1.59 crore in the September 2026 quarter from Rs 73.52 lakh a year earlier. Its segment result rose to Rs 96.93 lakh from Rs 24.55 lakh, while rental income was also Rs 1.59 crore compared with Rs 73.52 lakh in the prior-year quarter.

The investment and financial activity segment moved in the opposite direction. Segment revenue declined to Rs 13.86 crore from Rs 17.26 crore, and its segment result fell to Rs 12.94 crore from Rs 15.95 crore. The Rs 3.01 crore decline in this segment’s result exceeded the Rs 72.38 lakh improvement in real estate, consistent with the fall in profit before tax.

For the half year, real-estate revenue more than doubled to Rs 3.27 crore from Rs 1.47 crore and its segment result increased to Rs 2.06 crore from Rs 55.58 lakh. Investment and financial activity revenue slipped to Rs 30.63 crore from Rs 31.33 crore, while its result declined to Rs 28.38 crore from Rs 29.09 crore. These are Nahar Capital’s two operating segments under Ind AS 108.

What changed in Nahar Capital’s balance sheet and cash flows?

Nahar Capital’s standalone assets stood at Rs 996.51 crore on September 30, 2026, compared with Rs 938.87 crore at March 31, 2026. Investments increased to Rs 882.33 crore from Rs 834.73 crore, loans were Rs 23.97 crore compared with Rs 23.93 crore, and other financial assets rose to Rs 10.75 crore from Rs 3.04 crore.

Total equity was Rs 968.63 crore at September-end, comprising Rs 8.37 crore of equity share capital and Rs 960.25 crore of other equity. At March-end, total equity was Rs 911.93 crore, consisting of Rs 8.37 crore of share capital and Rs 903.56 crore of other equity. The investment balance rose by Rs 47.59 crore during the half year.

Cash and cash equivalents were Rs 76.33 lakh at September 30, 2026, compared with Rs 17.01 lakh at the beginning of the half year. The cash-flow statement recorded Rs 47.59 crore of investment purchases, compared with Rs 58.08 crore in the prior-year half, while dividend received was Rs 9.35 crore and interest received was Rs 7.82 crore.

What does Nahar Capital’s half-year result show?

Nahar Capital’s standalone net profit for the half year ended September 30, 2026 rose to Rs 26.55 crore from Rs 19.88 crore a year earlier. Total income increased to Rs 33.90 crore from Rs 32.80 crore, while profit before tax increased to Rs 26.58 crore from Rs 25.90 crore. Reported profit therefore increased by more than pre-tax profit.

Current tax fell to Rs 2.55 crore in the half year from Rs 4.90 crore, while deferred tax changed to a credit of Rs 2.52 crore from an expense of Rs 1.12 crore. The financial-segment result fell by Rs 70.22 lakh, but the real-estate segment result rose by Rs 1.50 crore, leaving the combined segment result at Rs 30.44 crore compared with Rs 29.64 crore a year earlier.

Nahar Capital’s September-quarter figures were reviewed by the audit committee and approved by the board on October 30, 2026. The standalone results were subject to a limited review by the statutory auditors, and the company said previous quarterly figures had been regrouped or rearranged where necessary for comparability.

Conclusion

Nahar Capital’s September-quarter standalone profit rose despite lower total income and profit before tax. The higher real-estate segment contribution supported operating performance, but the movement from a tax expense to a Rs 70.24 lakh credit was the principal reason net profit increased while pre-tax profit declined.

The next results will indicate whether real-estate revenue can sustain the September-quarter level of Rs 1.59 crore and whether investment and financial activity recovers from its Rs 3.40 crore year-on-year revenue decline. Nahar Capital has also disclosed management’s estimate that up to Rs 6 crore of brought-forward MAT credit can be used annually, making the future tax effect and comparability with earlier periods a continuing matter to watch.