Somi Conveyor Beltings reported a significant decline in profitability for the quarter ended June 2026, with net profit falling 50.4% to ₹59.64 lakh compared to ₹1.20 crore in the corresponding quarter of the previous year. According to the company's unaudited financial results approved by the Board of Directors on August 11, 2026, this substantial profit decline reflects challenging market conditions for the conveyor beltings manufacturer during the first quarter of fiscal 2027. The Board of Directors approved the unaudited financial results pursuant to Regulation 33 and 52 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, with the results limited reviewed by M/s Singhvi & Mehta, the statutory auditors of the company.
The company's revenue from operations declined 40.5% to ₹1,561.85 lakh in Q1 FY2027, down from ₹2,624.31 lakh in the same quarter of the previous financial year. As reported in the company's latest financial results, this substantial revenue decline indicates significant operational challenges faced by the company during the quarter. Other income remained relatively stable at ₹19.88 lakh, up slightly from ₹19.50 lakh in the previous quarter but down from ₹26.96 lakh in Q1FY26. Total revenue for the quarter stood at ₹1,581.73 lakh, compared to ₹2,651.27 lakh in the same period last year, reflecting weaker demand or pricing pressures in the sector.
Profit before tax (PBT) decreased 51% to ₹79.71 lakh from ₹162.79 lakh in Q1 FY2025, while net profit after tax fell 50.4% to ₹59.64 lakh compared to ₹120.38 lakh in the same quarter last year. According to the company's financial data, these declines across all profitability metrics demonstrate the company's challenging operating environment during the June 2026 quarter. Total expenses fell proportionally to revenue, with total expenses decreasing 39.6% YoY to ₹1,502.02 lakh, however, the cost of materials consumed increased significantly to ₹1,348.91 lakh from ₹827.33 lakh in Q4FY26, indicating potential input cost inflation or changes in inventory management.
The company's debt-equity ratio improved to 0.19 from 0.27 in the corresponding quarter last year, suggesting better capital structure management. Outstanding debt stood at ₹1,528.42 lakh, down from ₹2,063.40 lakh in Q1FY26. However, return on equity fell to 2.91% from 6.24% in Q1FY26, mirroring the decline in net profit. Inventory turnover ratio slowed to 1.36 times from 2.33 times in the previous year's corresponding quarter, indicating slower stock movement relative to sales. The interest service coverage ratio weakened to 3.40 times from 6.06 times in Q1FY26, highlighting reduced operational buffer against debt obligations.
