Shera Energy profit more than doubles in September half-year

Shera Energy Limited reported consolidated profit after tax of Rs 30.7708 crore for the half year ended September 30, 2026, up 102% from Rs 15.2118 crore a year earlier, as revenue from operations increased 34% to Rs 1,047.4014 crore. The Board approved the unaudited results on November 2, 2026.

How did Shera Energy perform in the September 2026 half-year?

Shera Energy increased consolidated total income to Rs 1,053.4997 crore in the half year ended September 30, 2026, from Rs 782.6440 crore in the corresponding half year ended September 2025. Revenue from operations supplied Rs 1,047.4014 crore of the latest total, compared with Rs 780.6450 crore a year earlier, while other income rose to Rs 6.0983 crore from Rs 1.9990 crore.

Profit before tax rose to Rs 41.8533 crore from Rs 21.1184 crore, and profit after tax increased to Rs 30.7708 crore from Rs 15.2118 crore. Basic earnings per equity share, which Shera Energy said were not annualised for the half year, rose to Rs 10.04 from Rs 4.92; diluted earnings per share were Rs 9.30, compared with Rs 4.52.

What changed in Shera Energy’s costs and profitability?

Shera Energy’s total expenses rose to Rs 1,011.6464 crore from Rs 761.5255 crore, an increase of Rs 250.1209 crore that was lower than the Rs 270.8557 crore increase in total income. Consequently, the gap between income and expenses, reported as profit before tax, widened by Rs 20.7349 crore to Rs 41.8533 crore.

Cost of materials consumed increased to Rs 1,024.9329 crore from Rs 744.8645 crore, while the change in inventories was negative Rs 92.7500 crore against negative Rs 39.0523 crore. Employee benefits expense rose to Rs 17.7413 crore from Rs 11.4762 crore, finance costs increased to Rs 25.2321 crore from Rs 16.9649 crore, and depreciation and amortisation reached Rs 3.6882 crore from Rs 3.3223 crore.

Tax expense was Rs 11.0829 crore in the latest half year, compared with Rs 5.9067 crore in the previous corresponding period. Profit after tax attributable to owners was Rs 24.5431 crore, up from Rs 12.0217 crore, while the amount attributable to non-controlling interests was Rs 6.2273 crore, compared with Rs 3.1900 crore.

What changed in Shera Energy’s assets and working capital?

Shera Energy’s consolidated total assets were Rs 982.4430 crore at September 30, 2026, compared with Rs 793.1966 crore at March 31, 2026. Current assets increased to Rs 732.7868 crore from Rs 602.6404 crore, while non-current assets rose to Rs 249.6562 crore from Rs 190.5562 crore.

Inventories increased to Rs 408.7743 crore at September 30 from Rs 321.9750 crore at March 31, and trade receivables rose to Rs 238.0070 crore from Rs 199.0341 crore. Cash and cash equivalents were Rs 5.9663 crore at the end of the half year, compared with Rs 5.0300 crore at the beginning of the period.

Total equity was Rs 292.4392 crore at September 30, 2026, up from Rs 248.1830 crore six months earlier. Equity attributable to shareholders was Rs 231.8146 crore, including equity share capital of Rs 24.4393 crore and other equity of Rs 207.3753 crore; non-controlling interest was Rs 60.6246 crore.

What did Shera Energy’s cash flow show?

Shera Energy reported net cash used in operating activities of Rs 14.8900 crore for the half year ended September 2026, compared with cash used of Rs 16.3059 crore in the September 2025 half year. Profit before working-capital changes was Rs 65.5265 crore, compared with Rs 39.4499 crore, but inventory, receivable and other working-capital movements affected the operating cash outcome.

Cash used in investing activities increased to Rs 47.6041 crore from Rs 30.5139 crore a year earlier. The investing outflow included Rs 17.3411 crore spent on fixed assets and capital work in progress, compared with Rs 28.8259 crore in the corresponding prior-year half.

Net cash from financing activities was Rs 63.4305 crore, against net cash used of Rs 9.5326 crore in the September 2025 half year. The financing statement included Rs 13.2750 crore of share application money and showed a net increase in cash of Rs 0.9363 crore, compared with a net decrease of Rs 56.3524 crore a year earlier.

How is Shera Energy using the preferential warrant proceeds?

Shera Energy received in-principle approval from the National Stock Exchange of India on June 29, 2026 to issue 45,00,000 preferential warrants at Rs 118 each, aggregating to Rs 53.10 crore. It received 25% upfront consideration of Rs 13.275 crore on July 13, 2026, while the remaining 75%, or Rs 39.825 crore, is receivable within 18 months.

Shera Energy reported that it had used the full Rs 13.275 crore received by September 30, 2026, leaving no unutilised balance. The utilisation table allocated Rs 2.655 crore of the upfront amount to working-capital requirements and Rs 10.620 crore to general corporate purposes; the full planned allocation is Rs 42.480 crore for working capital and Rs 10.620 crore for general corporate purposes.

Shera Energy reported a single operating segment covering non-ferrous metal products, alloy products and winding wires, so no segment-level revenue or profit was disclosed. The consolidation includes Rajputana Industries Limited at 51.01%, Shera Metal Private Limited at 85.55%, and Shera Zambia Limited at 99.50% as of September 30, 2026.

What did the limited review report say?

The auditor, Mohata Baheti & Associates, stated that nothing had come to its attention to indicate that the unaudited consolidated statement failed to disclose the information required under Regulation 33 of the Securities and Exchange Board of India listing regulations or contained a material misstatement. The review covered the half year ended September 30, 2026 and was issued on November 2, 2026.

The report noted that Shera Zambia Limited’s interim results were not reviewed by the auditor. The foreign subsidiary reported total assets of Rs 48.7121 crore, total income of Rs 4.8436 crore with nil revenue from operations, and profit after tax of Rs 0.9671 crore for the half year; its associate investment was Rs 0.58 lakh, and the group’s share of the associate’s result was not recognised because those results had not been received.

Conclusion

Shera Energy converted a Rs 266.7564 crore year-on-year increase in operating revenue into a Rs 20.7349 crore increase in profit before tax and a Rs 15.5590 crore increase in profit after tax during the September 2026 half year. The period also brought higher inventories of Rs 408.7743 crore and receivables of Rs 238.0070 crore, alongside operating cash outflow of Rs 14.8900 crore.

The disclosed next item to watch is the receipt of Rs 39.825 crore in balance warrant consideration within 18 months of the July 13, 2026 upfront payment. Shera Energy has allocated Rs 42.480 crore of the Rs 53.10 crore proposed warrant proceeds to working-capital requirements, making future inventory, receivable and cash-flow movements relevant in subsequent filings.