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Earnings · Textile · Micro cap

Arex Industries' audited FY26 results confirm 44% profit decline

Board approves ₹2.50 per share dividend as revenue slips 3%. The numbers were already guided, but the formal audit removes any ambiguity.

1 earlier story on Arex Industries Ltd.
Mkt cap₹41.39 cr
P/E27.92×
ROE10.26%
Debt / eq.0.48
Div yld2.17%
44% Net profit decline in FY26 year-on-year

What's new

  • Audited standalone FY26 results approved by board; revenue down ~3%.
  • Net profit drops 44% YoY, a sharper fall than revenue suggests.
  • Dividend recommended at ₹2.50 per share.

Why this matters

For a nano-cap like Arex, a 44% profit compression is a material deterioration. The audited confirmation removes any scope for revised estimates, locking in a weak year. The dividend provides a modest yield, but the operating story is one of margin stress.

What we're watching

  • Whether revenue stabilises in the next quarter.
  • Any commentary from management on cost actions or demand trends.
  • The outcome of the FY27 first half performance.

The full read

Arex Industries has formally confirmed what the market already priced in: FY26 was a year of top-line softness and sharper profit erosion. Audited standalone numbers show revenue slipped roughly 3% while net profit collapsed 44%, implying significant margin compression. The board also recommended a ₹2.50 per share dividend, offering a partial return to shareholders. For a nano-cap company, such a profit drop is a clear signal of headwinds, but the lack of any surprise means the stock may have already adjusted. The narrative now shifts to FY27 — whether Arex can hold revenue flat and restore margins.

Primary source BSE · NSE · Tijori

An independent reading of the company's own disclosure — the primary filing above is the final word.

Company snapshot

Arex Industries Ltd.

Textiles
₹43 cr
P/E 29.14×

Latest quarter · Mar 2026

Sales₹12 cr
Net profit−₹0 cr
Op. margin+11.3%
EPS−₹0.07

Strength & growth

Debt / equity0.48×
Current ratio1.32×
Sales CAGR+4.4%
EPS CAGR−6.3%
  1. 21 May 2026 · 5:55 PM IST Arex Industries' audited FY26 results confirm 44% profit decline
  2. 62d ago Arex Industries profit slumps 44% in FY26, dividend held at ₹2.50