What’s new

• Net profit down 62% to ₹6.98 cr from ₹18.24 cr
• Q4 net loss of ₹2.37 cr vs profit ₹3.59 cr
• Fire at Khalapur plant caused ₹24.98 cr exceptional charge

Why it matters

The fire was already disclosed, but the final audited number confirms a ₹25 cr hit on a ₹334 cr market cap, material for a nano-cap. Revenue flat at ₹249 cr suggests underlying margin pressure that the fire only exacerbated. The dividend hold offers little comfort.

What we’re watching

• Any insurance recovery to offset the ₹24.98 cr loss
• Revenue growth in FY27—flat sales signal demand or competitive headwinds
• Margin recovery trajectory post-fire

The full read

HP Adhesives FY26 net profit fell 62% to ₹6.98 crore from ₹18.24 crore, the Jan fire at Unit I in Khalapur taking a ₹24.98 crore exceptional charge. Revenue stayed flat at ₹249 crore, a sign of margin pressure that preceded the blaze. Q4 alone saw a net loss of ₹2.37 crore. The market had already priced in the hit, so the confirmation changes little. But for a ₹334 crore market cap, a ₹25 crore loss is material. The dividend hold at ₹0.40 per share shows the board sees no cash crisis. The open question is when revenue starts growing again.

Primary source: BSE · NSE