Cello World Limited’s Board of Directors approved the Unaudited Standalone and Consolidated Financial Results for the Third Quarter ending December 31, 2025. Key approvals also included an internal capital restructuring involving a wholly-owned subsidiary, Cello Consumerware Private Limited (CCPL). This restructuring involves converting existing inter-company loans of INR 500 crore into equity and a fresh infusion of INR 100 crore.

Cello World Limited: Q3 FY2026 Financial Disclosure

Board Meeting Outcome and Approval

The Board of Directors of Cello World Limited held a meeting on February 14, 2026, from 02:30 p.m. to 05:00 p.m. At this meeting, the Board approved the Unaudited Standalone and Consolidated Financial Results for the Third Quarter ended December 31, 2025, along with the corresponding Limited Review Report from M/s Deloitte Haskins & Sells LLP.

Internal Capital Restructuring Details

A significant item approved was the internal capital restructuring of its wholly-owned subsidiary, Cello Consumerware Private Limited (“CCPL”). The key steps involve:

• Conversion of pre-existing inter-company loans aggregating to INR 500 crore into equity shares.
• A fresh capital infusion of INR 100 crore into CCPL for the issuance of additional equity shares.

The management confirmed that this transaction will have no impact on the ownership or control of the subsidiary.

Standalone Financial Highlights (Q3 FY2026 vs. Previous Periods)

For the quarter ended December 31, 2025, the key standalone figures (in Lakhs) were:

• Total Income: 26,564.78 Lakhs (compared to 29,134.29 Lakhs in Q3 FY2025).
• Profit Before Tax (PBT): 1,235.44 Lakhs (compared to 3,643.65 Lakhs in Q3 FY2025).
• Profit After Tax (PAT): 855.41 Lakhs (compared to 2,661.44 Lakhs in Q3 FY2025).
• Earnings Per Share (Basic): 0.39 (compared to 1.23 in Q3 FY2025).

For the nine-month period ended December 31, 2025, the Standalone PBT was 6,277.80 Lakhs.

Consolidated Financial Highlights (Q3 FY2026 vs. Previous Periods)

The Group consolidated performance for the quarter ended December 31, 2025 (in Lakhs):

• Total Income: 57,025.50 Lakhs (compared to 56,922.68 Lakhs in Q3 FY2025).
• Profit Before Tax (PBT): 9,438.68 Lakhs (compared to 12,434.65 Lakhs in Q3 FY2025).
• Profit After Tax (PAT): 6,940.57 Lakhs (compared to 9,249.91 Lakhs in Q3 FY2025).
• Total Comprehensive Income: 6,923.83 Lakhs.
• Earnings Per Share (Basic): 2.88 (compared to 3.99 in Q3 FY2025).

For the nine-month period ended December 31, 2025, the Consolidated PBT stood at 32,320.93 Lakhs.

Exceptional Items and Accounting Notes

In the standalone results, an Exceptional Item of 198.13 Lakhs was recorded, related to the estimated incremental impact on retiral benefits due to the newly notified Labour Codes of 2020.

In the consolidated results, the Exceptional Item amounted to 743.82 Lakhs, similarly relating to the impact of the new Labour Codes across the Group entities.

Deviation in Fund Utilization (QIP of July 2024)

The company filed a statement detailing the utilization of funds raised via a Qualified Institutional Placement (QIP) on July 05, 2024, amounting to INR 738 Crores. No material deviations were found concerning the major objects (Investment in Subsidiaries and Inter-company repayment).

However, a minor adjustment occurred in the Working Capital allocation:

• Initial estimated QIP issue expenses were INR 24.00 Crores, which increased by INR 0.20 Crores to a total of INR 24.20 Crores.
• This increase was adjusted against the working capital allocation, reducing the approved working capital amount from INR 80.00 Crores to INR 79.80 Crores. This adjustment was approved by the QIP Committee on July 9, 2024.

Source: BSE