Sumax first-half profit rises 60% to Rs 8.44 crore in 2026

Sumax Engineering Limited reported profit after tax of Rs 8.44 crore for the half year ended September 30, 2026, up 60% from Rs 5.26 crore a year earlier, while revenue from operations rose 7% to Rs 76.93 crore. The board approved the unaudited standalone results on November 6, 2026.

How did Sumax's first-half earnings change?

Sumax's profit after tax increased by Rs 3.18 crore to Rs 8.44 crore in the half year ended September 30, 2026, from Rs 5.26 crore in the corresponding half year ended September 30, 2025. The 60% increase in profit was faster than the 7% rise in revenue from operations during the same comparison.

Revenue from operations was Rs 76.93 crore, compared with Rs 71.82 crore a year earlier. Total income, including other income, rose to Rs 77.49 crore from Rs 72.16 crore, as other income increased to Rs 55.51 lakh from Rs 33.55 lakh.

Sumax reported basic and diluted earnings per share, or EPS, of Rs 4.44 for the September 2026 half year, against Rs 3.57 in the prior-year period. The company said EPS for the half years ended March 31, 2026, September 30, 2026 and September 30, 2025 was not annualised; the face value per share is Rs 10.

What changed in Sumax's costs and profit before tax?

Sumax reported total expenses of Rs 66.36 crore for the September 2026 half year, up from Rs 64.37 crore a year earlier. Total income increased by Rs 5.33 crore while total expenses rose by Rs 1.99 crore, and reported profit before tax increased to Rs 11.11 crore from Rs 6.73 crore.

Cost of materials consumed rose to Rs 34.17 crore from Rs 26.25 crore, while purchases of stock in trade declined to Rs 21.93 crore from Rs 26.96 crore. Employee benefit expense increased to Rs 6.27 crore from Rs 5.41 crore, and other manufacturing expenses were Rs 1.23 crore, compared with Rs 1.14 crore.

The statement recorded a Rs 84.89 lakh reduction in inventories of work in progress and finished goods for the September 2026 half year, compared with a Rs 1.53 crore increase in the corresponding 2025 period. Finance costs fell to Rs 14.37 lakh from Rs 24.34 lakh, while depreciation and amortisation expense rose to Rs 71.74 lakh from Rs 56.22 lakh.

Current tax was Rs 2.64 crore for the latest half year, against Rs 1.74 crore a year earlier. Sumax also recorded deferred tax expense of Rs 18.23 lakh and prior-period tax of negative Rs 14.88 lakh for the September 2026 period, compared with deferred tax of negative Rs 27.04 lakh in the prior-year half.

What did Sumax's balance sheet and cash flow show?

Sumax's total assets stood at Rs 129.46 crore as of September 30, 2026, compared with Rs 84.81 crore at March 31, 2026. Shareholders' funds increased to Rs 110.74 crore from Rs 61.63 crore, comprising Rs 19.02 crore of share capital and Rs 91.71 crore of reserves and surplus at the September date.

Cash and cash equivalents rose to Rs 22.26 crore at September 30, 2026 from Rs 1.80 crore at March 31, 2026. Current investments increased to Rs 7.00 crore from Rs 1 crore, while trade receivables rose to Rs 18.92 crore from Rs 17.63 crore over the six-month period.

Sumax generated Rs 2.68 crore of net cash from operating activities in the half year ended September 30, 2026. Cash generated from operations before tax paid was Rs 4.50 crore, tax paid was Rs 1.82 crore, and working-capital movements included Rs 2.57 crore used for inventories and Rs 3.12 crore used for loans and advances.

Investing activities used Rs 18.08 crore in the six months, including Rs 11.09 crore for purchases of property, plant and equipment, including capital advances, and Rs 5.98 crore for mutual funds. Financing activities generated Rs 35.86 crore, led by Rs 40.67 crore from the issue of share capital, resulting in a Rs 20.46 crore increase in cash and cash equivalents.

How has Sumax used its IPO proceeds?

Sumax listed on NSE Emerge on September 2, 2026 after issuing 42.91 lakh equity shares of Rs 10 face value each at a premium of Rs 91 per share. The public issue allocated funds to two proposed manufacturing units, working-capital requirements, general corporate purposes and issue-related expenses.

The company had allocated Rs 43.34 crore in IPO proceeds and reported utilisation of Rs 21.77 crore by September 30, 2026, leaving Rs 21.57 crore unutilised. According to the notes, the unutilised amount was invested in a monitoring account, current account and fixed deposits.

Sumax identifies the automotive sector as its single reportable segment. The audit committee reviewed, and the board approved, the unaudited standalone results and statement of assets and liabilities on November 6, 2026; the company said the September 2026 half-year results were reviewed by its statutory auditor under the applicable listing regulations.

Conclusion

Sumax reported a Rs 3.18 crore year-on-year increase in first-half profit after tax, while revenue from operations rose by Rs 5.11 crore. The period also showed Rs 2.68 crore of operating cash generation, alongside Rs 18.08 crore of investing cash outflow that included capital expenditure and mutual-fund purchases.

The next disclosed matter to watch is deployment of the Rs 21.57 crore of IPO proceeds unutilised at September 30, 2026. That balance included the full Rs 4.89 crore allocated to the proposed Rajasthan Unit I and Rs 7 crore remaining for the proposed Haryana Unit II, as well as Rs 3.83 crore earmarked for working-capital requirements.