Unjha Formulations cash falls to Rs 15.43 lakh after deposit

Unjha Formulations Limited ended the half year to 30 September 2026 with cash and cash equivalents of Rs 15.43 lakh, down from Rs 1.6448 crore at 31 March, after it invested Rs 1.50 crore in fixed deposits and generated Rs 8.28 lakh of net operating cash.

Why did Unjha Formulations’ cash balance decline?

Unjha Formulations’ cash balance declined because it invested Rs 1.50 crore in fixed deposits during the half year ended 30 September 2026. Its investing cash outflow totalled Rs 1.5711 crore, comprising the fixed-deposit investment and Rs 7.11 lakh spent on property, plant and equipment. That outflow exceeded the Rs 8.28 lakh net cash inflow from operating activities.

Cash and cash equivalents fell by Rs 1.4905 crore, from Rs 1.6448 crore at 31 March 2026 to Rs 15.43 lakh at 30 September 2026. The balance sheet separately recorded Rs 1.50 crore of current investments at September-end, against nil at the March year-end. The cash-flow statement also reported a Rs 22,000 financing outflow in the 2026 half year.

The movement differed from the comparable 2025 half year, when Unjha Formulations ended September with Rs 1.6008 crore of cash and cash equivalents after beginning with Rs 64.38 lakh. Investing activity then used Rs 8.15 lakh, entirely for property, plant and equipment, and the statement did not record an investment in fixed deposits. The September 2026 cash outcome therefore coincided with funds being placed in the current-investment line.

What reduced Unjha Formulations’ operating cash flow?

Unjha Formulations generated Rs 8.28 lakh of net cash from operating activities in the half year to 30 September 2026, compared with Rs 1.0399 crore in the half year to 30 September 2025. Cash generated from operations before direct taxes was Rs 18.89 lakh, while direct taxes paid were Rs 10.61 lakh. In the comparable prior-year half, the cash-flow statement showed no direct-tax payment.

Working-capital movements used cash in the 2026 half year. Inventory absorbed Rs 51.04 lakh, trade receivables absorbed Rs 13.07 lakh and other current assets used Rs 2.85 lakh. A Rs 12.81 lakh increase in trade payables partly offset those outflows, whereas trade payables had contributed Rs 70.82 lakh of cash in the prior-year half.

Operating profit before working-capital changes was Rs 74.29 lakh in the 2026 half year, down from Rs 1.2376 crore a year earlier. The 2026 figure reflected profit before tax of Rs 66.70 lakh, depreciation and amortisation of Rs 7.37 lakh, and finance cost of Rs 22,000. In the 2025 half, profit before tax was Rs 1.2078 crore and depreciation and amortisation was Rs 2.84 lakh.

How did Unjha Formulations’ balance sheet change by September?

Unjha Formulations reported total assets of Rs 6.29301 crore at 30 September 2026, compared with Rs 5.5104 crore at 31 March 2026. Current assets increased to Rs 4.9972 crore from Rs 4.2120 crore, with the new Rs 1.50 crore current-investment balance more than offsetting the decline in cash. Non-current assets edged down to Rs 1.2958 crore from Rs 1.2984 crore.

Inventory increased to Rs 1.1413 crore at 30 September from Rs 63.08 lakh at 31 March, consistent with the Rs 51.04 lakh inventory-related cash outflow in the half-year statement. Trade receivables rose to Rs 1.4789 crore from Rs 1.3482 crore, while other current assets increased to Rs 72.271 lakh from Rs 58.821 lakh. These asset movements occurred alongside the reduction in cash and cash equivalents.

Total current liabilities rose to Rs 1.7825 crore from Rs 1.6670 crore at the March year-end. Trade payables increased to Rs 1.4390 crore from Rs 1.3109 crore, matching the Rs 12.81 lakh cash contribution from payables in the operating cash-flow statement. Other current financial liabilities declined to Rs 8.80 lakh from Rs 9.64 lakh, while other current liabilities and provisions were Rs 25.55 lakh against Rs 25.97 lakh.

How did Unjha Formulations’ results compare with last year?

Unjha Formulations’ half-year net sales declined to Rs 7.6678 crore for the period ended 30 September 2026 from Rs 7.8994 crore a year earlier. Total income from operations declined to Rs 7.7136 crore from Rs 7.9815 crore, while profit for the period decreased to Rs 66.70 lakh from Rs 1.2078 crore. The company reported one business segment in the results notes.

Total expenditure rose to Rs 7.0466 crore from Rs 6.7737 crore in the comparable half year. Material consumption increased to Rs 5.9878 crore from Rs 5.4818 crore, and employee benefit expense rose to Rs 37.50 lakh from Rs 28.19 lakh. Other expenses fell to Rs 61.97 lakh from Rs 94.96 lakh.

The quarter ended 30 September 2026 showed a sequential increase in sales and profit. Net sales were Rs 4.3603 crore, compared with Rs 3.3075 crore in the June 2026 quarter and Rs 4.2853 crore in the September 2025 quarter. Quarterly profit was Rs 51.01 lakh, compared with Rs 15.69 lakh in the preceding quarter and Rs 81.78 lakh a year earlier.

Conclusion

Unjha Formulations shifted Rs 1.50 crore into fixed deposits in the half year ended 30 September 2026 while operating activities generated Rs 8.28 lakh after working-capital movements and tax payments. Cash and cash equivalents consequently fell to Rs 15.43 lakh, although total current assets increased to Rs 4.9972 crore because the fixed deposit was reported as a current investment.

The next disclosures will be relevant for the status of the Rs 1.50 crore fixed-deposit investment and for changes in inventory and receivables, which stood at Rs 1.1413 crore and Rs 1.4789 crore respectively at 30 September 2026. The filing identifies the fixed-deposit investment but does not state its maturity date or return.