National Oxygen Limited reported a standalone net loss of ₹2.01 crore for the quarter ended June 30, 2026, compared to a net loss of ₹1.87 crore in the corresponding quarter of the previous financial year. According to the company's unaudited financial results approved by the Board of Directors on August 12, 2026, the company's financial performance showed a marginal deterioration despite the company's efforts to improve operational efficiency. The total comprehensive income also decreased to ₹2.01 crore for the quarter, reflecting the challenging operating environment faced by the company. The results were reviewed by the Audit Committee and accompanied by a limited review report issued by the statutory auditors, PSDY & Associates.
The company's revenue from operations contracted sharply by 59.85% to ₹304.50 lakh in Q1 FY27, down from ₹758.45 lakh recorded in the same quarter of the previous financial year. As reported by Business Standard, this substantial revenue decline indicates challenging market conditions or operational disruptions that impacted the company's top-line performance during the quarter. The total income stood at ₹328.81 lakh, compared to ₹763.90 lakh in the corresponding previous period. The Earnings per Equity Share (Basic and Diluted) for the quarter were ₹3.98, reflecting the impact of the company's operational challenges on shareholder returns.
In a significant operational development, National Oxygen Limited has ceased its liquid plant operations in Pondicherry effective April 6, 2026. The company attributed this decision to severe competition and a steep hike in various operating expenses, including power costs, maintenance, and transportation. This strategic closure represents a major operational restructuring as the company seeks to optimize its cost structure and focus on more profitable segments. The company now operates only one reportable primary business segment: Industrial Gases, marking a significant shift in its operational portfolio. The Paid Up Equity Share Capital remained constant at ₹504.24 lakh, indicating stability in the company's capital structure despite the operational challenges.
The company's total expenses amounted to ₹529.45 lakh, down from ₹950.92 lakh in Q1FY25, representing a 44.32% reduction in operational costs. However, the reduction in expenses did not offset the drop in revenue, leading to the widened net loss. Key expense components included employee benefit expenses of ₹56.73 lakh, financial costs of ₹46.03 lakh, and depreciation & amortisation of ₹54.56 lakh. Power and fuel costs remained significant at ₹91.37 lakh, while other expenditure stood at ₹150.74 lakh. The operating profit margin (OPM) deteriorated to -40.66% in Q1 FY27, compared to -13.59% in the corresponding quarter of the previous year, indicating increased operational challenges and cost pressures.
Despite the challenging financial performance, National Oxygen Limited shares showed modest positive movement, rising 0.2% to ₹59.50 from the previous close of ₹59.38 as of August 12, 2026. The company maintains a market capitalization of ₹30 crore and operates in the chemicals sector as a small-cap company. The stock has traded within a 52-week range of ₹42.50 to ₹137.90, reflecting significant volatility in recent periods. The company's Basic EPS for the quarter was ₹3.98, while the company spent 6.15% of operating revenues towards interest expenses and 11.72% towards employee costs in the year ending March 31, 2026.
