Sonalis revenue falls 37% as September-half profit declines 43%

Oct 31, 2026•3 min read

Sonalis Consumer Products Ltd

SONALIS

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Sonalis Consumer Products Limited reported standalone revenue from operations of Rs 55.61 crore for the six months ended September 30, 2026, 37% below the prior-year period, while profit after tax fell 43% to Rs 1.49 crore. Cash used in operating activities was Rs 36.43 lakh despite the reported profit.

What were Sonalis's standalone revenue and profit?

Sonalis's standalone revenue and profit both declined year on year for the six months ended September 30, 2026. Revenue from operations was Rs 55.61 crore, compared with Rs 87.80 crore in the corresponding six months ended September 30, 2025, a decrease of Rs 32.19 crore. Other income was Rs 12,000 in the latest half year, against nil in the comparable period.

Total revenue was Rs 55.61 crore, compared with Rs 87.80 crore a year earlier. Total expenses declined to Rs 53.62 crore from Rs 84.22 crore, but the Rs 30.60 crore reduction was smaller than the decrease in revenue. Profit before tax consequently fell to Rs 2 crore from Rs 3.58 crore.

Standalone measure (Rs crore)	Six months ended 30.09.2026	Six months ended 30.09.2025	Change
Revenue from operations	55.61	87.80	-32.19
Total expenses	53.62	84.22	-30.60
Profit before tax	2.00	3.58	-1.58
Profit after tax	1.49	2.60	-1.11

Sonalis reported tax expense of Rs 50.39 lakh for the September 2026 half year, against Rs 97.67 lakh a year earlier. Profit after tax was Rs 1.49 crore, down from Rs 2.60 crore, while total comprehensive income matched profit because there was no other comprehensive income in either period. Basic and diluted earnings per share were Rs 3.15, compared with Rs 5.48.

Which costs changed as Sonalis revenue declined?

Sonalis reported purchases of stock-in-trade of Rs 57.70 crore in the latest six months, compared with Rs 88.01 crore in the corresponding 2025 period. The Rs 30.31 crore fall broadly tracked the Rs 32.19 crore reduction in revenue. The company also recorded a Rs 4.86 crore reduction in inventories of finished goods, work in process and stock-in-trade, compared with a Rs 4.56 crore reduction a year earlier.

Employee benefits expense rose to Rs 41.73 lakh from Rs 40.31 lakh, while finance costs fell to Rs 1.90 lakh from Rs 2.05 lakh. Depreciation and amortisation declined to Rs 3.10 lakh from Rs 4.72 lakh. Other expenses were Rs 30.94 lakh, compared with Rs 30.84 lakh in the prior-year half.

The latest period also trailed the immediately preceding six months ended March 31, 2026. Revenue from operations was Rs 55.61 crore, below Rs 62.08 crore in that period, while profit after tax was Rs 1.49 crore against Rs 6.07 crore. Profit before tax declined from Rs 6.44 crore to Rs 2 crore, although total expenses fell from Rs 55.67 crore to Rs 53.62 crore.

Sonalis did not provide a management explanation or revenue target for the year-on-year decline in its standalone statement. The group segment note identifies the Indian business as trading of food and consumer products, but the standalone accounts do not provide a further split of revenue, purchases or profit by product category.

How did working capital affect Sonalis operating cash flow?

Sonalis reported net cash used in operating activities of Rs 36.43 lakh for the half year despite profit after tax of Rs 1.49 crore. Its cash-flow statement recorded operating profit before working-capital changes of Rs 2.05 crore. Increases in receivables, advances and inventory used cash, while the increase in trade payables added cash.

Trade receivables increased by Rs 39 crore during the six months, inventories rose by Rs 4.90 crore and loans and advances increased by Rs 3.67 crore. These movements were partly offset by a Rs 46.32 crore increase in trade payables and a Rs 69.37 lakh increase in short-term borrowings. The filing reported cash generated from operations of negative Rs 91.09 lakh before net income-tax paid of Rs 54.66 lakh.

The balance-sheet figures show substantial changes since March 31, 2026. Trade receivables rose to Rs 72.06 crore from Rs 31.33 crore, inventories increased to Rs 13.94 crore from Rs 9.04 crore, and trade payables rose to Rs 57.59 crore from Rs 11.27 crore. Trade payables recorded the largest movement among those principal working-capital accounts.

Standalone working-capital item (Rs crore)	30.09.2026	31.03.2026	Change
Trade receivables	72.06	31.33	40.73
Inventories	13.94	9.04	4.90
Trade payables	57.59	11.27	46.32
Loans and advances	3.67	-	3.67

Cash and cash equivalents were Rs 18.63 lakh at September 30, 2026, down from Rs 46.86 lakh at the beginning of the half year. The cash-flow statement reported a net decrease of Rs 28.23 lakh. Investing activities generated Rs 13.09 lakh, while financing activities used Rs 4.89 lakh during the period.

What changed in Sonalis's standalone balance sheet?

Sonalis's standalone balance sheet expanded to Rs 97.46 crore at September 30, 2026, from Rs 48.77 crore at March 31, 2026. Current assets accounted for Rs 90.03 crore of the September total, compared with Rs 41.20 crore at year-end. Non-current assets fell to Rs 7.43 crore from Rs 7.56 crore, including property, plant and equipment of Rs 1.93 crore and intangible assets of Rs 5.50 crore.

Total equity increased to Rs 34.67 crore from Rs 32.86 crore, with equity share capital unchanged at Rs 4.75 crore and other equity rising to Rs 29.92 crore from Rs 28.11 crore. Total liabilities increased to Rs 62.80 crore from Rs 15.90 crore. Current liabilities accounted for Rs 62.53 crore, compared with Rs 15.51 crore at March 31, 2026.

Short-term borrowings were Rs 3.08 crore at September 30, compared with Rs 2.39 crore at March 31. Long-term borrowings declined to Rs 24.23 lakh from Rs 37.36 lakh. Other current liabilities declined to Rs 5.17 lakh from Rs 58.77 lakh, while provisions increased to Rs 1.81 crore from Rs 1.26 crore.

The September-half standalone results were unaudited and approved by Sonalis's board on October 31, 2026. H. Rajen & Co. conducted a limited review under Securities and Exchange Board of India listing regulations and stated that nothing had come to its attention indicating that the standalone statement did not disclose required information or contained a material misstatement. A limited review is narrower in scope than an audit and does not provide an audit opinion.

Conclusion

Sonalis remained profitable on a standalone basis for the six months ended September 30, 2026, but revenue fell by Rs 32.19 crore year on year and profit after tax decreased by Rs 1.11 crore. The expansion in the balance sheet was led by higher receivables, inventory and payables, while reported operating cash flow was negative Rs 36.43 lakh and the cash balance fell to Rs 18.63 lakh.

The next results will indicate whether the Rs 72.06 crore receivables balance, Rs 13.94 crore inventory balance and Rs 57.59 crore trade-payables balance change after September 2026. Sonalis also disclosed on October 31, 2026 that it had terminated its December 8, 2025 memorandum of agreement for a proposed 100% acquisition of Holkar Somnath Milk & Agro Products Pvt. Ltd.; the filing did not state a financial effect of the termination.

Frequently Asked Questions

Sonalis reported standalone revenue from operations of Rs 55.61 crore for the six months ended September 30, 2026. This was Rs 32.19 crore below Rs 87.80 crore reported in the corresponding six months of 2025, a decline of 37%.

Sonalis reported standalone profit after tax of Rs 1.49 crore for the six months ended September 30, 2026. Profit after tax was Rs 2.60 crore in the corresponding six months ended September 30, 2025, making the decline Rs 1.11 crore.

No. Sonalis reported net cash used in operating activities of Rs 36.43 lakh for the six months ended September 30, 2026. Cash and cash equivalents fell by Rs 28.23 lakh during the half year to Rs 18.63 lakh.

Sonalis's standalone trade receivables rose to Rs 72.06 crore at September 30, 2026, from Rs 31.33 crore at March 31, 2026. The cash-flow statement recorded Rs 39 crore of cash used by the increase in trade receivables during the half year.

Sonalis said on October 31, 2026 that it had terminated the memorandum of agreement dated December 8, 2025 with Holkar Somnath Milk & Agro Products Pvt. Ltd. The agreement concerned a proposed 100% takeover, and the announcement did not disclose a financial impact from its termination.