Soma Textiles reports full-year revenue of ₹81 cr, but profit drops on lower one-offs
The highway construction business drove a revenue surge, but the net profit drop reflects fading exceptional gains from the prior year.
What's new
- FY26 audited results show revenue grew to ₹80.88 cr from ₹9.49 cr in FY25.
- Net profit fell to ₹9.83 cr from ₹69.27 cr, mainly because last year had large exceptional gains.
- Profit before exceptional items turned around to a gain of ₹4.78 cr, up from a loss last year.
Why this matters
The revenue story is straightforward: a full year of highway construction replaced a sliver of textile trading. The profit story is about comparability. The prior year's ₹69.27 cr profit was inflated by one-time gains; this year's core operational result, while positive at ₹4.78 cr, is what the business actually earns. The transformation is real, but it's not new.
What we're watching
- The pace of new project wins for the construction business.
- Whether core operating profit grows in FY27.
- Any further moves away from the textile trading legacy.
The full read
Soma Textiles is now a highway construction company. That's the story in these FY26 numbers. Revenue jumped from ₹9.49 cr to ₹80.88 cr as the new business operated for a full year. But the net profit headline is misleading. It dropped from ₹69.27 cr to ₹9.83 cr because the prior year was bloated by exceptional gains. Strip those out, and the underlying profit before exceptional items swung from a loss to a gain of ₹4.78 cr. That's the real operational trajectory. The transformation from textiles to infrastructure was already visible in the quarterly disclosures, so these annual numbers confirm what the market had seen. The question now is whether the construction order book can sustain and grow this base.
Questions answered
- Why did net profit drop so sharply even though revenue grew?
- The FY25 net profit of ₹69.27 cr included large exceptional gains. FY26 net profit of ₹9.83 cr does not have those gains, so the comparison is distorted. Underlying profit actually improved.
- What is driving the revenue growth?
- The company has transitioned from textile trading to highway construction. The ₹80.88 cr FY26 revenue comes from this new business, compared to just ₹9.49 cr in total revenue last year.
- Is the underlying business profitable?
- Yes. Profit before exceptional items was ₹4.78 cr in FY26, compared to a loss in FY25. The core construction business is generating positive earnings.
- Was this financial result already known to the market?
- The filing is the formal annual result, but the core operational performance was evident in earlier quarterly disclosures and followed the change in management control. The headline numbers are in line with that trajectory.