Vinayak Polycon Generates Rs 1.33 Crore Operating Cash Flow

Vinayak Polycon International Limited generated Rs 1.33 crore of net operating cash in the half year ended September 30, 2026, as a Rs 1.19 crore reduction in inventory outweighed cash absorbed by Rs 15.88 lakh higher trade receivables and Rs 20.13 lakh higher other current assets. Taxes paid were Rs 7.10 lakh.

How did Vinayak Polycon produce operating cash?

Vinayak Polycon generated Rs 1.33 crore of net cash from operating activities in the half year ended September 30, 2026. It reported Rs 1.40 crore of cash generated from operations before taxes, and the Rs 7.10 lakh tax payment reduced that amount to the reported operating cash inflow.

Profit before exceptional items and tax was Rs 7.55 lakh, while operating profit before working-capital changes was Rs 44.62 lakh. The cash-flow statement added back Rs 26.61 lakh of depreciation and Rs 10.78 lakh of finance cost, and deducted Rs 32,000 of interest received, to bridge the gap between accounting profit and the pre-working-capital operating measure.

Working-capital movements then added Rs 95.44 lakh to the Rs 44.62 lakh pre-working-capital amount. The statement shows no exceptional-item cash adjustment for the half year, leaving cash generated from operations at Rs 1.40 crore before taxes.

For comparison, operating profit before working-capital changes was Rs 90.91 lakh in the year ended March 31, 2026, while net cash from operating activities was Rs 32.29 lakh. The comparison is between a six-month unaudited period and a full audited financial year, rather than equivalent periods.

Which working-capital changes drove Vinayak Polycon's cash flow?

Vinayak Polycon's Rs 1.19 crore inventory reduction was the largest contributor to operating cash in the half year ended September 30, 2026. This inventory release was larger than the aggregate Rs 95.44 lakh cash contribution from all reported working-capital movements because several other changes absorbed cash.

Trade payables contributed Rs 15.27 lakh and other financial liabilities contributed Rs 1.75 lakh. Current tax assets added Rs 56,000, other current financial assets added Rs 75,000, and other non-current financial assets added Rs 25,000 to cash generated from operations.

The principal offsets were a Rs 20.13 lakh increase in other current assets, a Rs 15.88 lakh increase in trade receivables and a Rs 5.65 lakh decline in other current liabilities. Those items reduced the cash benefit from inventory and payables movements during the September 2026 half year.

The balance sheet is consistent with the inventory movement in the cash-flow statement. Inventories stood at Rs 1.63 crore on September 30, 2026, compared with Rs 2.82 crore on March 31, 2026, while trade receivables rose to Rs 3.04 crore from Rs 2.88 crore over the same period.

How did Vinayak Polycon's cash flows compare with the previous financial year?

Vinayak Polycon reported a Rs 1.33 crore operating cash inflow for the six months ended September 30, 2026, compared with Rs 32.29 lakh for the year ended March 31, 2026. The reported shift coincided with a Rs 1.19 crore inventory reduction in the half year, whereas inventory had used Rs 57.34 lakh of cash in the preceding full year.

Investing activities generated Rs 32,000 in the September 2026 half year through interest received. In the year ended March 31, 2026, investing activities used Rs 38.95 lakh, including Rs 42.71 lakh spent on fixed assets, partly offset by Rs 2.16 lakh of interest received and Rs 1.60 lakh of proceeds from sale or write-off of fixed assets.

Financing activities used Rs 1.41 crore in the September 2026 half year, compared with a Rs 1.09 crore inflow in the preceding full year. The half-year financing outflow comprised a Rs 1.30 crore decrease in working-capital borrowings and Rs 10.78 lakh of interest paid.

In the year ended March 31, 2026, the cash-flow statement recorded a Rs 1.62 crore increase in working-capital borrowings. That was partly offset by Rs 29.46 lakh of borrowings repaid and Rs 22.69 lakh of interest paid, resulting in the full-year financing cash inflow.

Combined operating, investing and financing movements reduced cash and cash equivalents by Rs 7.32 lakh during the half year. Cash and cash equivalents closed at Rs 33.35 lakh on September 30, 2026, down from Rs 40.67 lakh on March 31, 2026, because the financing outflow exceeded the operating inflow.

What do Vinayak Polycon's earnings and balance sheet add to the picture?

Vinayak Polycon reported revenue from operations of Rs 12.27 crore for the half year ended September 30, 2026, up from Rs 10.14 crore in the corresponding period of 2025. Despite the Rs 2.13 crore increase in revenue, profit before tax declined to Rs 7.55 lakh from Rs 11.18 lakh.

Profit for the period was Rs 7.14 lakh, compared with Rs 9.68 lakh a year earlier. Basic and diluted earnings per equity share were Rs 0.23 for the September 2026 half year, against Rs 0.31 for the corresponding half year of 2025, while paid-up equity share capital remained Rs 3.08 crore.

Total assets declined to Rs 8.91 crore on September 30, 2026 from Rs 10.07 crore on March 31, 2026. Current assets fell to Rs 5.45 crore from Rs 6.59 crore, reflecting the reduction in inventory, while non-current assets were Rs 3.46 crore compared with Rs 3.48 crore.

Current borrowings declined to Rs 2.10 crore at September 30, 2026 from Rs 3.40 crore at March 31, 2026. Trade payables rose to Rs 23.40 lakh from Rs 8.13 lakh, a balance-sheet movement that corresponds with the Rs 15.27 lakh payables contribution in the cash-flow statement.

Vinayak Polycon said its business falls within a single operating segment under Indian Accounting Standard 108, or Ind AS 108. The filing therefore provides no separate product, geographic or segment-level cash-flow figures for the Rs 1.33 crore operating inflow.

Conclusion

Vinayak Polycon's operating cash inflow of Rs 1.33 crore in the half year ended September 30, 2026 was principally a working-capital result. The Rs 1.19 crore inventory reduction outweighed cash uses from a Rs 15.88 lakh rise in receivables and a Rs 20.13 lakh rise in other current assets, while profit for the period fell to Rs 7.14 lakh from Rs 9.68 lakh.

The filing discloses no operating cash-flow target, capital-spending plan or management guidance for a subsequent period. Its stated next events are publication of the financial-results extract in newspapers and the reopening of the trading window from November 3, 2026, following board approval of the September 2026 results on October 31, 2026.