Suraj Products September profit rises 5% as revenue grows 7%

Suraj Products Limited reported standalone profit after tax of Rs 3.38 crore for the quarter ended September 30, 2026, up 5% from Rs 3.20 crore a year earlier, as revenue from operations rose 7% to Rs 62.59 crore. First-half profit after tax increased 30% to Rs 10.11 crore.

How did Suraj Products perform in the September 2026 quarter?

Suraj Products increased standalone profit after tax to Rs 3.38 crore in the quarter ended September 30, 2026, from Rs 3.20 crore in the September 2025 quarter. Revenue from operations rose to Rs 62.59 crore from Rs 58.69 crore, while total revenue, including other income, increased to Rs 63.22 crore from Rs 58.96 crore. Basic and diluted earnings per share rose to Rs 2.96 from Rs 2.81.

Profit before tax rose faster than revenue, reaching Rs 5.27 crore from Rs 4.08 crore a year earlier. Total expenses increased to Rs 57.96 crore from Rs 54.87 crore, while total tax expense more than doubled to Rs 1.89 crore from Rs 88.07 lakh. Current tax was Rs 1.95 crore, compared with Rs 71.40 lakh in the prior-year quarter, limiting the increase in profit after tax.

What changed from the June 2026 quarter?

Suraj Products reported lower sequential revenue and profit in the September quarter than in the quarter ended June 30, 2026. Revenue from operations declined to Rs 62.59 crore from Rs 87.70 crore, while profit after tax fell to Rs 3.38 crore from Rs 6.73 crore. Profit before tax declined to Rs 5.27 crore from Rs 8.34 crore. The filing does not provide management commentary on the reasons for these quarter-on-quarter movements.

Cost of materials consumed declined to Rs 40.64 crore in the September quarter from Rs 64.36 crore in the June quarter, alongside the revenue decline. Manufacturing and operating costs increased to Rs 11.54 crore from Rs 9.61 crore, and employee benefits expense was Rs 5.21 crore against Rs 5.15 crore. Finance costs rose to Rs 22.12 lakh from Rs 12.46 lakh, while depreciation and amortisation was broadly unchanged at Rs 1.58 crore.

Total expenses fell to Rs 57.96 crore from Rs 79.95 crore between the June and September quarters, but total revenue declined more sharply to Rs 63.22 crore from Rs 88.28 crore. Changes in inventories of finished goods were negative Rs 2.20 crore in September, compared with negative Rs 1.89 crore in June. Other income increased to Rs 62.84 lakh from Rs 58.10 lakh.

Why did Suraj Products' first-half profit grow faster than revenue?

Suraj Products reported standalone profit after tax of Rs 10.11 crore for the half year ended September 30, 2026, up 30% from Rs 7.80 crore in the corresponding 2025 period. Revenue from operations increased 8% to Rs 150.30 crore from Rs 139.39 crore, while profit before tax rose 45% to Rs 13.60 crore from Rs 9.36 crore. Total revenue was Rs 151.51 crore, compared with Rs 139.75 crore a year earlier.

The six-month income statement included lower finance costs and depreciation than a year earlier. Finance costs declined to Rs 34.58 lakh from Rs 65.64 lakh, while depreciation and amortisation fell to Rs 3.16 crore from Rs 3.47 crore. Manufacturing and operating costs increased to Rs 21.15 crore from Rs 18.40 crore, and employee benefits expense rose to Rs 10.35 crore from Rs 8.96 crore.

Other income increased to Rs 1.21 crore in the half year from Rs 35.96 lakh in the previous first half. Total expenses rose to Rs 137.90 crore from Rs 130.38 crore, while total tax expense increased to Rs 3.50 crore from Rs 1.57 crore. The filing reports the movements but does not identify specific operational reasons for the change in other income or the tax charge.

How did Suraj Products deploy cash and change its balance sheet?

Suraj Products' current investments rose to Rs 37.93 crore at September 30, 2026, from Rs 15.04 crore at March 31, 2026. Its standalone cash-flow statement records mutual-fund purchases of Rs 25 crore and mutual-fund sales of Rs 3 crore during the six months ended September 30, 2026. Loans on the standalone balance sheet increased to Rs 7.59 crore from Rs 2.36 crore.

Net cash inflow from operating activities was Rs 14.55 crore in the six months ended September 2026, down from Rs 22.47 crore in the corresponding 2025 period. Investing activities used Rs 14.68 crore, including a Rs 5.45 crore loan and advance outflow, compared with an investing outflow of Rs 20.54 crore a year earlier. Financing activities used Rs 4.05 crore, including Rs 2.57 crore of dividends paid and Rs 1.14 crore of net long-term borrowing repayment.

Cash and cash equivalents stood at Rs 1.32 crore at September 30, compared with Rs 5.49 crore at March 31, after a net cash outflow of Rs 4.18 crore in the half year. Other bank balances declined to Rs 3.16 crore from Rs 15.71 crore. Inventories increased to Rs 48.91 crore from Rs 45.88 crore, while trade receivables declined to Rs 6.64 crore from Rs 10.67 crore.

What business does Suraj Products report and what did the review find?

Suraj Products reports one reportable segment, finished product from iron ore, and says it consumes power from its captive power plant internally. The company reported paid-up equity share capital of Rs 11.40 crore at September 30, 2026, unchanged from March 31, 2026. Its standalone total equity rose to Rs 173.51 crore from Rs 165.97 crore over the same period.

The audit committee reviewed and recommended the unaudited standalone results on November 14, 2026, and the board approved them on the same date. The statutory auditor issued an unmodified limited-review report for the quarter and half year ended September 30, 2026. The auditor stated that a limited review has a substantially narrower scope than an audit conducted under the Standards on Auditing.

Suraj Products prepared the results under Indian Accounting Standards, known as Ind AS. Non-current borrowings declined to Rs 2.22 crore at September 30 from Rs 3.29 crore at March 31, while current borrowings were Rs 2.18 crore against Rs 2.24 crore. The filing says earlier-period figures were regrouped or rearranged where necessary for comparability.

Conclusion

Suraj Products delivered year-on-year growth in September-quarter revenue and profit, while the 29% increase in profit before tax exceeded the 5% rise in profit after tax because tax expense increased to Rs 1.89 crore. Across the first half, profit after tax grew 30% to Rs 10.11 crore on an 8% increase in revenue from operations to Rs 150.30 crore.

The next results will clarify the unresolved movement in liquidity and financial assets, as current investments increased by Rs 22.89 crore and loans rose by Rs 5.23 crore between March 31 and September 30, while cash and cash equivalents fell by Rs 4.18 crore. The filing discloses no revenue target, production target or capital-expenditure plan beyond the September-quarter and first-half results.