According to reports from Business Standard, Shree Rama Newsprint reported a standalone net loss of ₹10.50 crore in the quarter ended June 2026, compared to a net loss of ₹10.28 crore during the corresponding quarter of the previous financial year. The company's sales revenue increased by 6.00% to ₹9.72 crore in Q1 FY27, up from ₹9.17 crore recorded in Q1 FY26. As per the latest consolidated results, the company's consolidated loss widened slightly to ₹1,049.9 lakh in Q1FY27 from ₹1,027.8 lakh in the corresponding period of FY26, representing a 2.1% increase year-on-year. The company's Board of Directors approved the unaudited financial results on August 13, 2026, alongside the Director's Report for FY26.
As reported by Business Standard, the company's operating profit margin (OPM) declined to -7.61% in the June 2026 quarter compared to -11.01% in the same period last year. The profit before tax (PBT) decreased by 16% to ₹9.38 crore from ₹8.11 crore in the corresponding quarter of the previous financial year. Additionally, PBDT (Profit Before Depreciation and Tax) fell by 17% to ₹8.27 crore from ₹7.07 crore year-on-year. According to the latest consolidated results, total expenses surged to ₹2,077 lakh, driven primarily by finance costs of ₹919.5 lakh, which remained elevated compared to ₹904.8 lakh in the prior year quarter. Finance costs constitute 80.8% of total expenses for the quarter, highlighting a severe dependency on debt servicing relative to operational scale. With revenue from operations at ₹972.2 lakh and finance costs at ₹919.5 lakh, the core operating margin is effectively eroded by interest obligations, leaving minimal buffer for other operational expenditures such as raw materials (₹624.8 lakh) and employee benefits (₹29.8 lakh).
According to the financial data reported by Business Standard, despite the company reporting losses, Shree Rama Newsprint achieved revenue growth of 6% in the quarter ended June 2026. The company's sales increased from ₹9.17 crore to ₹9.72 crore compared to the same quarter in the previous financial year, indicating some operational improvements despite the challenging financial performance. As per the latest consolidated results, revenue from continuing operations stood at ₹972.2 lakh, up from ₹917.3 lakh in Q1FY26, with total income reaching ₹1,138.8 lakh supported by other income of ₹166.7 lakh. The company incurred a loss before tax from continuing operations of ₹938.2 lakh, representing a 15.7% decrease from ₹810.8 lakh in the corresponding quarter of the previous financial year.
Statutory auditors Batliboi & Purohit issued an unmodified conclusion but included a "Material Uncertainty Related to Going Concern" paragraph in their audit report. They noted that current liabilities pertaining to continuing operations exceeded current assets by ₹12,626 lakh, creating significant going-concern risks. The financial statements have been prepared on a going-concern basis, contingent on management's plan to dispose of non-core assets and explore funding options. During FY26, the company recognized a further impairment loss of ₹2,784.3 lakh on assets held for sale within the discontinued Paper Division, with management stating it does not foresee further impairment in this regard. In other developments, the Board appointed M/s. A. H. Jain & Co., Chartered Accountants, as Internal Auditor for FY27. The company also scheduled its 35th Annual General Meeting for September 25, 2026, with September 18, 2026, as the cut-off date for remote e-voting.
