Modern Engineering's Q4 profit crashes 96% even as the full year grows
A strong year is undermined by a catastrophic final quarter, where net profit fell to ₹0.37 crore despite higher revenue.
— 3 earlier stories on Modern Engineering And Projects Ltd. →What's new
- FY26 revenue rose 25% to ₹119.8 crore; net profit grew 16.5% to ₹8.5 crore.
- Q4 net profit plunged 96% to ₹0.37 crore from ₹9.36 crore, even as quarterly revenue rose 13% to ₹47.6 crore.
- Board approved a registered-office move to Bandra East and appointed a new company secretary.
Why this matters
The full-year growth is real but masks a Q4 collapse that demands explanation. For a nano-cap with a ₹62 crore market cap, a quarterly profit crash to ₹0.37 crore from ₹9.36 crore while revenue grows is a severe signal. The filing discloses no cause for the cost surge.
What we're watching
- Management explanation for the Q4 margin collapse.
- Whether the Q4 profitability issue is a one-off or a structural shift.
- Stock reaction at a ₹62 crore market cap to a quarterly miss of this magnitude.
The full read
Modern Engineering reported a year of two stories. For the full year, revenue climbed 25% to ₹119.8 crore and net profit grew 16.5% to ₹8.5 crore. Then there was Q4. Revenue rose 13% to ₹47.6 crore, but net profit fell 96% to ₹0.37 crore from ₹9.36 crore a year earlier. For a company with a ₹62 crore market cap, that quarterly miss is enormous. The annual growth is real, but it is being flattered by earlier quarters. The new company secretary and office move are footnotes. The single number that matters is the Q4 profit collapse, and the filing offers no explanation for the cost surge that caused it.
Questions answered
- How can full-year profit rise 16.5% while Q4 profit falls 96%?
- The strong performance in the first three quarters offset the Q4 collapse. Annual net profit reached ₹8.5 crore because the damage was concentrated in the final quarter.
- What caused the Q4 profit collapse despite 13% revenue growth?
- The filing provides no cost breakdown. Revenue grew to ₹47.6 crore but net profit fell to ₹0.37 crore, indicating a massive and unexplained surge in expenses during the quarter.
- Are the office relocation and new secretary appointment material?
- No. The move to Bandra East and appointment of Anisha Suraj Rajbhar are routine corporate changes with no disclosed financial impact.
Modern Engineering And Projects Ltd.
Latest quarter · Mar 2026
Leverage & growth
Story so far
All notes on MEAPL →- 26 May 2026 · 4:54 PM IST Modern Engineering's Q4 profit crashes 96% even as the full year grows
- 6d ago CFO exits Modern Engineering, replacement lined up
- 41d ago Modern Engineering approves routine Q4 and FY26 results
- 41d ago Modern Engineering posts FY26 profit, but Q4 profit fell 96%.