Shree Ram Twistex Approves Q2 Financial Results; Details Deviation in IPO Fund Utilization
Shree Ram Twistex Limited, a manufacturer of cotton yarn, announced the consideration and approval of its unaudited financial results for the quarter ended June 30, 2026, following a Board meeting held on August 12, 2026. The company also provided detailed information regarding deviations in the utilization of proceeds from its public issue (IPO).The board meeting commenced at 2:00 P.M. and concluded at 3:45 P.M., during which directors reviewed and approved the unaudited financial results for the specified quarter, along with a draft monitoring agency report.
Q2 FY2026 Financial Highlights
The company’s financials provide specific data points across various income statement categories for the quarter ended June 30, 2026, as well as comparisons against previous periods:| Particulars | Quarter Ended June 30, 2026 (Unaudited) | Quarter Ended March 31, 2026 (Audited) | Year Ended March 31, 2026 (Audited) |
|---|---|---|---|
| Revenue from Operations | 7060 | 32060 | 77269355 |
| Other Income | 7861 | 751 | 11718 |
| Total Income (I + II) | 930672 | 740653 | 740653 |
| Cost of materials consumed | 5560 | 0110 | 5019730.42607 |
| Changes of Inventories of Finished Goods | (639531) | 52760 | N/A |
| Employee benefits expense | 356 | N/A | 76 |
| Finance Cost | 77830 | 15890 | 15890 |
| Depreciation and Amortisation Expenses | 24778 | 17418 | 5742 |
| Other Expenses Total | 15011 | 45751 | 757,88 |
| Net Profit / (Loss) After Tax | 36086 | N/A | N/A |
Deviation in Public Issue Fund Utilization
The company reported a deviation or variation in the use of proceeds from its public issue. The funds raised totaled Rs 11,024.00 lakh. The deviation was confirmed to be pursuant to a change in terms of a contract or objects that had been approved by shareholders on June 1, 2026.The IPO funds were allocated across multiple objectives, and the utilization status for the quarter ended June 30, 2026, is as follows:
| Original Object | Modified Object | Original Allocation (Lakhs) | Modified Allocation (Lakhs) | Funds Utilised (Lakhs) | Deviation / Variation (Lakhs) |
|---|---|---|---|---|---|
| Funding for setting up of 6.1 MW Solar Power Plant | NA | 734.55 | N/A | 734.55 | NIL |
| Funding for setting up of 3.1 MW Wind Power Plant | YES | 3,900.00 | 2,511.00 | 1,369.16 | 1,141.84 |
| Repayment and/or pre-payment of Borrowings | YES | 1,489.00 | 2,352.26 | 2,352.26 | NIL |
| Machinery for Expansion | YES | 0 | 525.74 | 0 | 525.74 |
| Funding the working capital requirements of the Company | NA | 4,400.00 | N/A | 4,400.00 | NIL |
| Issue expenses | NA | 500.45 | N/A | 500.00 | 0.45 |
Notes on Fund Reallocation and Project Changes
The company detailed that the deviation in the Wind Power Plant project stemmed from operational considerations. Originally, the proposal was for a 4.2 MW wind power plant (two generators of 2.1 MW each), which had an estimated completion timeframe of 15 months. The company subsequently proposed a revised installation plan: installing one 3.1 MW generator within six months, instead of the original two smaller turbines.This revision resulted in the required utilization for the Wind Power Project being Rs 2,511.00 Lakhs against the initial allocation of Rs 3,900.00 Lakhs. The resulting surplus amount of Rs 1,389.00 Lakhs was reallocated during the quarter ended June 30, 2026:
- Rs 525.74 Lakhs were redirected towards a new object designated as Machinery for Expansion.
- Rs 863.26 Lakhs were directed towards the repayment and/or pre-payment of SBI Bank borrowings.
SRTL Stock Price Movement
Shares of Shree Ram Twistex Limited tumbled on Wednesday, shedding 0.75% to close at ₹39.82. The stock traded a volume of 22,449 shares during the session and reached a day low of ₹39.55.Disclaimer: Due care and diligence have been taken in compiling and presenting news and market-related content. However, errors or omissions may arise despite such efforts.
The information provided is for general informational purposes only and does not constitute investment advice, a recommendation, or an offer to buy or sell any securities. Readers are advised to rely on their own assessment and judgment and consult appropriate financial advisers, if required, before taking any investment-related decisions.
Any views, opinions, or statements expressed, where applicable, are those of the respective analysts or experts and do not reflect the views of this website. The website has no association with such viewpoints and does not assume any responsibility for them.
Last edited by a moderator: