Pajson Agro half-year profit falls 12% as revenue rises 21%

Pajson Agro India Limited reported profit after tax of Rs 12.5563 crore for the half year ended 30 September 2026, 12% below Rs 14.2110 crore a year earlier, although revenue from operations rose 21% to Rs 143.3918 crore. Higher materials, employee and finance costs exceeded the increase in sales.

What were Pajson Agro’s half-year financial results?

Pajson Agro’s revenue from operations increased to Rs 143.3918 crore in the half year ended 30 September 2026 from Rs 118.3707 crore in the half year ended 30 September 2025. Total income rose to Rs 145.1083 crore from Rs 118.3731 crore, supported by other income of Rs 1.7165 crore, compared with Rs 0.24 lakh in the prior-year half.

Profit before tax declined to Rs 16.9124 crore from Rs 19.0172 crore, while profit after tax fell by Rs 1.6547 crore to Rs 12.5563 crore. Basic and diluted earnings per share, neither annualised, were Rs 5.27 for the September 2026 half year, compared with Rs 8.12 in the corresponding 2025 period.

The board approved the unaudited standalone results on 2 November 2026. The statutory auditor conducted a limited review and stated that nothing had come to its attention suggesting the statement did not disclose the required information or contained a material misstatement.

Why did Pajson Agro’s profit decline despite higher revenue?

Pajson Agro’s total expenses rose by Rs 28.8400 crore to Rs 128.1959 crore in the September 2026 half year, exceeding the Rs 25.0211 crore increase in revenue from operations. Consequently, profit before tax declined by Rs 2.1048 crore despite the reported increase in sales.

Cost of materials consumed rose to Rs 119.0971 crore from Rs 96.0799 crore, a Rs 23.0172 crore increase. Employee benefits expense increased to Rs 6.4324 crore from Rs 5.4887 crore, finance costs rose to Rs 2.2605 crore from Rs 1.0670 crore, and other expenses increased to Rs 9.6395 crore from Rs 9.5166 crore.

The change in inventories remained a credit to expenses of Rs 14.8106 crore, compared with a credit of Rs 14.6648 crore a year earlier, partly offsetting higher operating costs. Purchases of stock-in-trade nonetheless rose to Rs 4.4418 crore from Rs 88.57 lakh, while depreciation and amortisation increased to Rs 1.1352 crore from Rs 98.29 lakh.

How did Pajson Agro compare with the preceding half year?

Pajson Agro’s revenue from operations of Rs 143.3918 crore in the September 2026 half was Rs 6.0404 crore higher than Rs 137.3514 crore in the half year ended 31 March 2026. Profit after tax increased by Rs 1.9835 crore from Rs 10.5728 crore, while profit before tax rose from Rs 14.1682 crore to Rs 16.9124 crore.

Material costs rose to Rs 119.0971 crore from Rs 110.5577 crore in the preceding half, and finance costs increased to Rs 2.2605 crore from Rs 1.6532 crore. Other income rose to Rs 1.7165 crore from Rs 1.1932 crore, while the inventory-change credit widened from Rs 6.5997 crore to Rs 14.8106 crore.

For the year ended 31 March 2026, Pajson Agro reported revenue from operations of Rs 255.7221 crore and profit after tax of Rs 24.7838 crore. The September 2026 half-year profit was therefore higher than the March 2026 half-year result but below the Rs 14.2110 crore reported in the September 2025 half.

What changed in Pajson Agro’s balance sheet and cash flow?

Pajson Agro’s total assets increased to Rs 252.4311 crore at 30 September 2026 from Rs 195.6178 crore at 31 March 2026. Inventories rose to Rs 95.6870 crore from Rs 37.5879 crore, capital work-in-progress increased to Rs 16.3715 crore from Rs 32.64 lakh, and long-term loans and advances rose to Rs 18.3778 crore from Rs 10.6230 crore.

Current liabilities increased to Rs 101.2442 crore at 30 September 2026 from Rs 57.1432 crore at 31 March 2026. Short-term borrowings rose to Rs 59.2466 crore from Rs 34.0610 crore, while other current liabilities increased to Rs 12.6927 crore from Rs 2.7543 crore.

Net cash used in operating activities was Rs 22.7456 crore in the September 2026 half, compared with Rs 7.1246 crore used in the year-earlier period. The cash-flow statement recorded a Rs 58.0991 crore inventory-related working-capital outflow, while cash and cash equivalents at period-end were Rs 1.1498 crore, against Rs 13.7871 crore a year earlier.

How has Pajson Agro used its IPO proceeds?

Pajson Agro listed on the BSE SME platform on 18 December 2025 after an initial public offering of 63,09,600 equity shares with a face value of Rs 10 each and a premium of Rs 108 each. The issue raised Rs 74.4533 crore, of which Rs 35.6365 crore had been utilised by 30 September 2026, leaving Rs 38.8168 crore unutilised.

The company allocated Rs 57 crore to a new manufacturing unit and associated plant and machinery. It had used Rs 18.2699 crore for that purpose by 30 September 2026, leaving Rs 38.7301 crore unutilised; of Rs 10.4236 crore allocated to general corporate purposes, Rs 10.3369 crore had been used.

Pajson Agro said it operates in one reportable segment, processing cashew nuts, and that all its products fall within that segment. The company is exempt from Indian Accounting Standards, or Ind AS, because it is listed on the small and medium-sized enterprises platform, and prepares its results under applicable accounting standards.

Conclusion

Pajson Agro’s September 2026 half-year results show revenue growth did not translate into higher profit: revenue from operations increased by Rs 25.0211 crore, but total expenses rose by Rs 28.8400 crore and profit after tax declined by Rs 1.6547 crore. The comparison with the March 2026 half nevertheless shows higher revenue and profit in the latest period.

The disclosed item to watch is implementation of the new manufacturing unit and plant-and-machinery plan, which had Rs 38.7301 crore of its Rs 57 crore allocation unutilised at 30 September 2026. Future disclosures may show how that planned spending progresses and whether the associated capital work-in-progress, reported at Rs 16.3715 crore, changes.