Suraj Limited — Results, 26-06-2025: Reply to Clarification- Financial results

Suraj Limited has announced a board meeting on July 9, 2025. The Board has approved the financial results for the quarter and year ended March 31, 2025, showing the following key highlights (all figures in Rs. Lakhs):

**Standalone Performance:**

- Revenue from operations declined to 5,875 in Q4 FY25 from 7,616 in Q4 FY24; full-year revenue dropped to 23,374 vs. 33,067 last year.

- Total expenses eased to 6,581 in Q4 FY25 from 6,888 in Q4 FY24.

- The company reported a loss before tax of (540) in Q4 FY25 versus a profit of 866 in Q4 FY24.

- PAT stood at (388) in Q4 FY25 compared to a profit of 599 in Q4 FY24; full-year PAT was 1,171 against 2,066.

- Basic and diluted EPS was negative at (2.11) for Q4 FY25 (3.26 in Q4 FY24) and 6.37 for the full year (11.25 prior year).

**Consolidated Performance including Associate:**

- Revenue and expenses broadly mirror standalone, with total income at 6,041 in Q4 FY25 vs. 7,753 last year.

- Loss before tax widened to (744) in Q4 FY25 from a profit of 874 in Q4 FY24.

- PAT was (592) in Q4 FY25 vs. 607 in Q4 FY24; full-year PAT stood at 1,330 compared to 2,152.

- EPS on consolidated basis was (3.22) for Q4 FY25 and 7.24 for the year.

**Balance Sheet & Cash Flow:**

- Total assets increased to Rs. 220 Cr from Rs. 185 Cr YoY, supported by higher inventories at Rs. 52.33 Cr versus Rs. 24.19 Cr.

- Borrowings rose sharply to Rs. 64.08 Cr from Rs. 33.66 Cr.

- Cash and cash equivalents reduced to Rs. 0.16 Cr from Rs. 0.31 Cr.

- Operating cash flow turned negative at Rs. (2.01) Cr (standalone) and Rs. (9.01) Cr (consolidated), impacted by increased working capital.

- Capex stood at Rs. 15.49 Cr (standalone and consolidated).

- Net cash from financing activities improved significantly with higher borrowings.

**Management and Governance updates:**

- Re-appointment of Mr. Gunvantkumar Tarachand Shah as Whole-time Director and Vice Chairman for three years from March 2026.

- Appointment of new Secretarial Auditor, Internal Auditor (for FY26), and Cost Auditor (for FY26).

The audited results carry an unmodified opinion from the statutory auditors. The company continues to focus on its core segment of stainless steel seamless pipes, tubes, flanges, and fittings. The decline in revenue and profitability in FY25 is notable and linked to industry challenges and working capital pressures. The rise in borrowings and inventory signals cautious capital management amid these headwinds.

Investors should keep an eye on inventory and working capital trends and the company’s efforts to improve operational efficiencies going forward.