NAPS Global standalone revenue falls 48% in September half

NAPS Global India Limited reported standalone revenue from operations of Rs 34.96 crore for the half year ended September 30, 2026, a 48% decline from Rs 67.69 crore a year earlier, while profit for the period fell 20% to Rs 1.02 crore. The unaudited results cover its garment and fabrics manufacturing and trading business.

Why did NAPS Global's standalone revenue fall in the September half?

NAPS Global's revenue from operations declined by Rs 32.73 crore year on year to Rs 34.96 crore in the half year ended September 30, 2026. Other income increased by Rs 3.18 lakh to Rs 14.31 lakh from Rs 11.13 lakh, leaving total revenue at Rs 35.11 crore, down from Rs 67.80 crore in the half year ended September 30, 2025.

NAPS Global did not disclose an operational reason for the sales decline in its November 5, 2026 filing. The company reports manufacturing and trading of garments and fabrics as one reportable business segment, so the statement provides no separate product, customer or geographic revenue breakdown for the September 2026 half year.

How did NAPS Global's costs and profit change?

NAPS Global reported profit before tax of Rs 1.35 crore for the September 2026 half year, compared with Rs 1.70 crore in the corresponding prior-year period. Profit for the period was Rs 1.02 crore after tax expense of Rs 32.94 lakh, versus profit of Rs 1.27 crore after tax expense of Rs 43.23 lakh a year earlier.

Purchase of stock-in-trade fell to Rs 33.13 crore from Rs 63.85 crore, while total expenses declined to Rs 33.76 crore from Rs 66.10 crore. Employee benefit expense was Rs 34 lakh against Rs 36.40 lakh, other expenses were Rs 51.63 lakh against Rs 55.03 lakh, and finance costs declined to Rs 4.37 lakh from Rs 6.89 lakh.

NAPS Global recorded a Rs 33.14 lakh change in inventories in the September 2026 half year, compared with Rs 1.14 crore in the September 2025 half year. Depreciation and amortisation was Rs 2.88 lakh, down from Rs 3.65 lakh, while basic and diluted earnings per share were Rs 2.30 each, compared with Rs 2.87 each.

How did NAPS Global compare with the March 2026 half year?

NAPS Global's revenue from operations of Rs 34.96 crore in the September 2026 half year was below Rs 54.78 crore in the half year ended March 31, 2026. Total revenue similarly declined from Rs 54.90 crore in the March half year to Rs 35.11 crore in the September half year.

Profit for the period nevertheless increased from Rs 27.70 lakh in the March 2026 half year to Rs 1.02 crore in the September 2026 half year. Profit before tax rose from Rs 45.56 lakh to Rs 1.35 crore as total expenses declined from Rs 54.44 crore to Rs 33.76 crore; the filing provides no narrative explanation for that sequential movement.

For the year ended March 31, 2026, NAPS Global reported revenue from operations of Rs 122.47 crore and profit for the year of Rs 1.55 crore. The September 2026 half-year revenue was therefore below both the Rs 67.69 crore reported a year earlier and the Rs 54.78 crore in the immediately preceding six-month period.

What do NAPS Global's balance sheet and cash flow show?

NAPS Global's standalone total assets rose to Rs 33.14 crore at September 30, 2026 from Rs 31.98 crore at March 31, 2026. Trade receivables fell to Rs 11.22 crore from Rs 17.84 crore, inventories increased to Rs 4.58 crore from Rs 4.28 crore, and short-term loans and advances rose to Rs 11.25 crore from Rs 1.56 crore.

Cash and cash equivalents declined to Rs 10.94 lakh at September 30 from Rs 2.33 crore at March 31. The half-year cash-flow statement recorded net cash used in operating activities of Rs 3.94 crore, compared with net cash generated from operations of Rs 2.26 crore for the year ended March 31, 2026, including a Rs 9.69 crore increase in short-term loans and advances.

Current liabilities increased to Rs 13.64 crore from Rs 13.09 crore. Short-term borrowings were Rs 1.68 crore at September 30, 2026 compared with none at March 31, while trade payables fell to Rs 7.23 crore from Rs 10.74 crore and shareholders' funds rose to Rs 19.50 crore from Rs 18.48 crore.

How has NAPS Global's subsidiary structure changed?

NAPS Global acquired a 90.91% holding in Mercaze Private Limited for Rs 1 crore in cash during financial year 2025-26, making it a subsidiary from December 30, 2025. It also acquired 75% of Purple Impex India Private Limited for Rs 1.50 crore in cash, with subsidiary status effective from December 29, 2025.

NAPS Global HK Ltd became a subsidiary as of September 30, 2026 after Reserve Bank of India approval was obtained and the required share-subscription amount was paid on August 13, 2026. The company stated that NAPS Global HK Ltd had been a 100% subsidiary from its incorporation on March 13, 2026, but the required subscription was completed only in August.

The September 2026 figures are standalone and do not show the financial contribution of those subsidiaries. NAPS Global's non-current investments rose to Rs 2.62 crore from Rs 2.50 crore at March 31, while the half-year cash flow shows Rs 12.45 lakh spent on non-current investments and Rs 10 lakh received from sale of investments.

Conclusion

NAPS Global's standalone September 2026 half-year results show sales falling more sharply than profit: revenue from operations dropped 48% to Rs 34.96 crore, while profit for the period declined 20% to Rs 1.02 crore. Lower stock-in-trade purchases and total expenses limited the fall in profit, but operating cash flow turned to an outflow of Rs 3.94 crore.

The next results will show how the additions of Mercaze Private Limited, Purple Impex India Private Limited and NAPS Global HK Ltd affect consolidated reporting. The filing also leaves unresolved the reason for the revenue decline and the composition and future cash-flow effect of Rs 11.25 crore in short-term loans and advances.