Texmaco Rail & Engineering Ltd. announced its unaudited financial results for the quarter and nine months ended December 31, 2025, on February 9, 2026. The Board also approved a variation in the objects relating to the utilization of funds from a Preferential Issue approved in April 2024. This variation redirects Rs. 103.43 Crores of unutilized funds from capital expenditure towards working capital requirements, pending further shareholder approval.
Board Meeting Outcome and Financial Disclosure
The Board of Directors of Texmaco Rail & Engineering Limited convened on February 9, 2026, concluding its meeting at 03:45 p.m. The primary outcomes included the approval of the Unaudited Standalone and Consolidated Financial Results for the quarter and nine months ended December 31, 2025, which were accompanied by an unmodified Limited Review Report.
Variation in Preferential Issue Object
The Board approved a crucial variation concerning the utilization of funds raised via a Preferential Issue, initially approved on April 8, 2024. This modification, subject to shareholder approval, reallocates Rs. 103.43 Crores. The original objective of “Capital Expenditure for expansion of capacity… at Paradip, Odisha, & Kolkata/Howrah, West Bengal” has been revised to “Funding working capital requirements of the Company.”
Monitoring Agency Report Noted
Additionally, the Board noted the Monitoring Agency Report from CARE Ratings Limited pertaining to the preferential issue for the quarter ended December 31, 2025.
Key Financial Highlights (Standalone)
For the quarter ended December 31, 2025:
- Total Income stood at Rs. 1,09,743.27 Lakhs.
- Profit before Tax from Continuing Operations was Rs. 5,943.21 Lakhs.
- Net Profit After Tax attributable to owners of the Parent was Rs. 3,865.21 Lakhs.
- Basic Earnings Per Share (EPS) was reported at 0.96.
Key Financial Highlights (Consolidated)
For the quarter ended December 31, 2025:
- Total Income reached Rs. 1,33,423.10 Lakhs.
- Profit before Tax was Rs. 6,607.60 Lakhs.
- Net Profit After Tax attributable to owners of the Parent was Rs. 4,227.40 Lakhs.
- Basic Earnings Per Share (EPS) was 1.07.
Warrant Conversion Update (Note 4)
It was noted that following the exercise of warrants by promoters on October 8, 2025, the remaining 3,74,750 Warrants lapsed, resulting in the forfeiture of the upfront subscription amount of Rs. 1.81 Crores. The issued, subscribed, paid-up capital now stands at Rs. 40,68,64,572 equity shares.
Impact of Labour Codes (Note 5)
The company assessed the impact of the consolidation of 29 labour laws into four Labour Codes, leading to an incremental increase in gratuity and leave encashment liabilities of Rs. 302.26 lakhs, treated as an exceptional item.
Monitoring Agency Report Details (Annexure B/Page 10-14)
The report on the Preferential Issue proceeds for the quarter ended December 31, 2025, indicated that no amount has been utilized during the quarter, against a total original object cost of Rs. 150.00 Crore. The unutilized balance stands at Rs. 138.43 Crore after accounting for lapsed warrants (Rs. 5.42 Crore). The Board confirmed that the shortfall in object utilization will be met via internal accruals.
Source: BSE
