Nitco Limited Announces Q1 Financial Results; Approves Cost Auditor Re-appointment and Buyer Finance Agreement

Nitco Limited Announces Q1 Financial Results; Approves Cost Auditor Re-appointment and Buyer Finance Agreement​

Nitco Limited has announced the outcomes of its Board meeting held on August 12, 2026, approving the Unaudited Financial Results for the first quarter (Q1) ended June 30, 2026. The company also approved the re-appointment of a Cost Auditor and signed a Buyer Finance Agreement with Desiderata Impact Ventures Private Limited.

The results were reviewed by the Audit Committee and subsequently taken on record by the Board of Directors.

Operational Highlights and Financial Performance​

Nitco reported its Q1 financial standing in both standalone and consolidated forms, which have been subjected to limited review by the Statutory Auditors. The company’s management confirmed that the results were prepared according to Indian Accounting Standards (Ind AS) as notified under the Companies Act, 2013.

Key figures for the three months ended June 30, 2026, are detailed below:

Table 1: Q1 Financial Summary (Three Months Ended June 30, 2026)

Key Corporate Approvals and Appointments​

During the Board meeting, Nitco Limited made several significant corporate decisions:

Cost Auditor Re-appointment: The Board approved the re-appointment of Mr. R. K. Bhandari, proprietor of M/s. R. K. Bhandari and Co., as the Cost Auditor for Financial Year 2026-27. The firm, established in 2012 and based in Jaipur, was selected after consideration by the Audit Committee.

Buyer Finance Agreement: The company considered and approved a Buyer Finance Agreement with Desiderata Impact Ventures Private Limited (referred to as 'Progcap'). The agreement relates to Debtor's bills discounting and is sized at approximately INR 200 Crores for Financial Year 2026-27.

The terms of the agreement confirm that Progcap does not belong to the promoter or the promoter group, and the transaction is deemed to be at arm’s length. The agreement explicitly states that it does not contain any special rights such as a right to appoint directors or first right to share subscription in case of issuance of shares.

Comprehensive Financial Data Overview​

The company provided comprehensive financial data for the quarter ended June 30, 2026. Detailed segmentwise and consolidated results are available, which include revenue streams from Tiles and other related products, as well as Real estate.

Table 2: Segmentwise Revenue and Profit/Loss Before Tax (Q1 Ended June 30, 2026)

The financial statements also highlighted the approval of a joint development agreement (JDA) for land in Alibaug. Under this JDA, which was approved in the previous year, Nitco recognized income of Rs. 5,842.00 lakhs from an interest-free adjustable advance (IFAA). The company had received IFAA totaling Rs. 1,778.00 lakhs, with management expecting the balance to be received during FY 2026-27.

Other operational highlights detailed in the reviewed results included:

• Recognition of an ESOP expense amounting to Rs. 1,057.74 lakhs related to granting stock options to employees.
• A penalty levied by Additional Director General Foreign Trade (ADGFT) amounting to Rs. 17,000.00 lakhs, which the management contends is bad in law and for which no provision has been made in the books of accounts.
• An advance of Rs 14,300.00 lakhs received from a buyer concerning the monetization of its Kanjurmarg property. The sale has not yet been recognized as pending the definitive agreement.

NITCO Stock Price Movement​

Shares of Nitco Limited on Wednesday slipped by 1.17% to settle at ₹96.81, reflecting a moderate downturn during the trading session. The stock had traded within a volatile band, dipping as low as ₹93.85 and reaching an intraday high of ₹98.48.