Shree Pacetronix profit drops 16% as September revenue falls

Shree Pacetronix Limited reported standalone profit after tax of Rs 1.11 crore for the quarter ended 30 September 2026, down 16% from Rs 1.32 crore a year earlier, as revenue from operations fell to Rs 6.14 crore and material consumption increased to Rs 2.14 crore. The board approved the unaudited results on 13 November 2026.

Why did Shree Pacetronix’s September-quarter profit fall?

Shree Pacetronix’s September-quarter profit fell because total revenue declined more sharply than total expenses. Total revenue, including other income, was Rs 6.20 crore for the quarter ended 30 September 2026, compared with Rs 6.62 crore in the corresponding quarter of 2025. Total expenses declined to Rs 4.68 crore from Rs 4.86 crore, resulting in profit before tax of Rs 1.51 crore, against Rs 1.76 crore a year earlier.

Profit after tax was Rs 1.11 crore in the September 2026 quarter, compared with Rs 1.32 crore in the September 2025 quarter. Total tax expense declined to Rs 40.32 lakh from Rs 44.24 lakh, while there were no exceptional or extraordinary items in either period. Other comprehensive income was nil in both quarters, meaning total comprehensive income was the same as reported profit.

How did Shree Pacetronix’s costs change during the quarter?

Shree Pacetronix reported material consumption of Rs 2.14 crore in the September 2026 quarter, up from Rs 1.52 crore in the prior-year quarter. The 40.94% increase came despite the 6.79% decline in revenue from operations. Material consumption was the largest year-on-year increase among the disclosed expense lines and reduced the benefit of lower employee and finance costs.

Employee benefits expense fell to Rs 1.15 crore from Rs 1.42 crore, while finance costs declined to Rs 3.01 lakh from Rs 9.61 lakh. Other expenses increased to Rs 1.26 crore from Rs 1.20 crore, and depreciation and amortisation expense decreased to Rs 17.65 lakh from Rs 18.90 lakh. These movements left total expenses lower year-on-year, though not by as much as total revenue.

The inventory-change line also moved materially between the periods. Shree Pacetronix recorded a Rs 7.49 lakh reduction under changes in inventories of finished goods, work in progress and stock in trade during the September 2026 quarter, compared with an expense of Rs 44.25 lakh a year earlier. Purchases of stock-in-trade were nil in both periods, and the company identified Life Saving Devices as its only segment.

How did Shree Pacetronix perform versus June and the prior half year?

Shree Pacetronix improved sequentially from the June 2026 quarter, although its September-quarter profit remained below the year-earlier level. Profit after tax rose from Rs 76.31 lakh in the June quarter to Rs 1.11 crore in the September quarter. Revenue from operations increased from Rs 4.90 crore to Rs 6.14 crore, while profit before tax rose from Rs 1.02 crore to Rs 1.51 crore.

For the half year ended 30 September 2026, profit after tax was Rs 1.87 crore, compared with Rs 1.99 crore in the corresponding half of 2025. Half-year revenue from operations declined to Rs 11.04 crore from Rs 11.93 crore, while total expenses decreased to Rs 8.58 crore from Rs 9.33 crore. Profit before tax fell to Rs 2.53 crore from Rs 2.65 crore over the same comparison.

Basic earnings per share were Rs 2.96 in the September 2026 quarter, compared with Rs 3.66 a year earlier and Rs 2.04 in the June 2026 quarter. Diluted earnings per share were Rs 2.85, against Rs 3.66 in September 2025 and Rs 1.96 in June 2026. For the six-month period, basic earnings per share were Rs 5.00, compared with Rs 5.52 in the prior-year half.

What changed in Shree Pacetronix’s balance sheet and cash flow?

Shree Pacetronix’s total assets were Rs 26.12 crore at 30 September 2026, compared with Rs 25.75 crore at 31 March 2026. Trade receivables rose to Rs 10.99 crore from Rs 10.64 crore, while inventories fell to Rs 4.50 crore from Rs 4.83 crore. Property, plant and equipment increased to Rs 4.03 crore from Rs 3.63 crore, and capital work-in-progress rose to Rs 82.08 lakh from Rs 65.54 lakh.

Total equity rose to Rs 19.97 crore at 30 September 2026 from Rs 18.11 crore at 31 March 2026, including other equity of Rs 15.91 crore. Current borrowings fell to Rs 53.32 lakh from Rs 2.29 crore, and non-current borrowings declined to Rs 19.42 lakh from Rs 32.12 lakh. Current trade payables increased to Rs 1.70 crore from Rs 1.22 crore during the same period.

Net cash from operating activities for the half year was Rs 2.41 crore, compared with Rs 1.60 crore in the prior-year half. Shree Pacetronix used Rs 1.02 crore in investing activities, including fixed-asset purchases of Rs 1.02 crore, and used Rs 1.95 crore in financing activities. Cash and cash equivalents consequently declined to Rs 21.40 lakh at 30 September 2026 from Rs 76.91 lakh at the start of the financial year.

What did the review and filing disclose?

Shree Pacetronix’s standalone results were reviewed by the audit committee and approved by the board on 13 November 2026. Agarwal Patel and Sinhal issued a limited review report stating that nothing had come to its attention to suggest the standalone results did not disclose the information required under the applicable SEBI regulations or contained a material misstatement.

The filing described the results as unaudited and the auditor’s work as a review rather than an audit. The report said a review provides moderate assurance and is limited primarily to company-personnel inquiries and analytical procedures. The company also stated that previous-period figures were regrouped or reclassified where necessary.

Conclusion

Shree Pacetronix’s September-quarter results show that profit fell faster than revenue on a year-on-year basis. Revenue from operations declined 6.79% to Rs 6.14 crore, while material consumption rose 40.94% to Rs 2.14 crore. Lower employee benefits and finance costs reduced part of that pressure, and sequential revenue and profit improved from the June 2026 quarter.

The next results will show whether revenue from the Life Saving Devices segment improves and whether material consumption changes from the Rs 2.14 crore reported for the September quarter. The filing discloses no earnings target, business outlook or operating plan, while it records higher trade receivables of Rs 10.99 crore and cash and cash equivalents of Rs 21.40 lakh at 30 September 2026.