JTL Defence Limited Reports FY26 Audited Results: Turnaround to Profit After CIRP Resolution

JTL Defence Limited (erstwhile RCI Industries & Technologies Limited) reported a significant financial turnaround in its audited standalone and consolidated results for the quarter and year ended March 31, 2026, as approved by its Board of Directors at a meeting held on May 06, 2026. The company, engaged in the manufacturing of metals and metal products, emerged from the Corporate Insolvency Resolution Process (CIRP) — which concluded on December 8, 2025 — and resumed full operations during the year under review. The statutory auditors, R. Bansal & Co., Chartered Accountants, issued an unmodified opinion on both the standalone and consolidated financial results.

Standalone Financial Performance

The company's standalone financials reflect a decisive recovery, with revenue from operations rising sharply to Rs. 1,928.77 lakhs in FY26 from Rs. 97.99 lakhs in FY25. Total income, including other income of Rs. 173.28 lakhs, stood at Rs. 2,102.05 lakhs for FY26, compared to Rs. 117.72 lakhs in FY25. The company posted a standalone net profit of Rs. 26.78 lakhs for FY26, reversing a net loss of Rs. 644.04 lakhs in the previous year. The following table summarises the key standalone financial metrics:

Metric: Q4 FY26 (31.03.2026) Q3 FY26 (31.12.2025) Q4 FY25 (31.03.2025) FY26 (Year Ended 31.03.2026) FY25 (Year Ended 31.03.2025) Revenue from Operations (Rs. Lakhs): 1,524.08 46.87 15.06 1,928.77 97.99 Other Income (Rs. Lakhs): - 5.98 0.50 173.28 19.73 Total Income (Rs. Lakhs): 1,524.08 52.84 15.56 2,102.05 117.72 Total Expenses (Rs. Lakhs): 1,383.31 52.92 218.72 2,096.53 754.77 Profit/(Loss) Before Tax (Rs. Lakhs): 140.76 (0.08) (203.16) 5.51 (637.05) Net Profit/(Loss) After Tax (Rs. Lakhs): 169.70 (2.64) (204.95) 26.78 (644.04) Basic EPS (Rs.): 1.21 (0.02) (1.31) 0.19 (4.11) Diluted EPS (Rs.): 1.21 (0.02) (1.31) 0.19 (4.11)

On the expense side, the cost of material consumed for FY26 stood at Rs. 3,288.49 lakhs, while changes in inventories of finished goods, WIP and stock-in-trade provided a credit of Rs. (2,536.44) lakhs. Depreciation and amortisation expense for FY26 was Rs. 481.12 lakhs, and finance costs amounted to Rs. 107.93 lakhs. Total expenses for FY26 were Rs. 2,096.53 lakhs, compared to Rs. 754.77 lakhs in FY25.

Revaluation of Assets and Comprehensive Income

A notable development during the year was the revaluation of the company's Land, Buildings and Plant & Machinery. The revaluation resulted in a gain of Rs. 18,921.26 lakhs on Property, Plant and Equipment (PPE), net of an income tax impact of Rs. (4,762.10) lakhs, yielding total other comprehensive income of Rs. 14,159.16 lakhs for FY26. Consequently, total comprehensive income for FY26 stood at Rs. 14,185.94 lakhs, compared to a total comprehensive loss of Rs. (644.04) lakhs in FY25. This revaluation is also reflected in the standalone balance sheet, where Property, Plant and Equipment increased to Rs. 23,627.89 lakhs as at March 31, 2026, from Rs. 4,213.85 lakhs as at March 31, 2025.

Balance Sheet and Cash Flow Highlights

The standalone balance sheet as at March 31, 2026 shows a marked improvement in the company's financial position following the conclusion of the CIRP. Total assets stood at Rs. 33,046.91 lakhs, up from Rs. 9,141.32 lakhs as at March 31, 2025. Total equity turned positive at Rs. 19,621.04 lakhs, compared to a negative equity of Rs. (15,440.47) lakhs in the prior year, reflecting the impact of the revaluation surplus and the resolution plan.

Balance Sheet Item: As at 31.03.2026 (Rs. Lakhs) As at 31.03.2025 (Rs. Lakhs) Total Non-Current Assets: 25,688.64 6,461.56 Total Current Assets: 7,358.27 2,679.76 Total Assets: 33,046.91 9,141.32 Total Equity: 19,621.04 (15,440.47) Total Non-Current Liabilities: 10,849.80 2,043.86 Total Current Liabilities: 2,576.06 22,537.92 Total Equity and Liabilities: 33,046.91 9,141.32

From a cash flow perspective, net cash used in operating activities for FY26 was Rs. (1,548.43) lakhs, compared to Rs. (839.58) lakhs in FY25. Net cash used in investing activities was Rs. (785.58) lakhs, primarily on account of purchase of property, plant and equipment of Rs. (786.96) lakhs. Cash flow from financing activities was Rs. 2,338.97 lakhs, supported by proceeds from new borrowings of Rs. 5,981.64 lakhs and proceeds from the issue of equity shares under the Resolution Plan of Rs. 1,000.00 lakhs, offset by payment to financial creditors under the Resolution Plan of Rs. (4,514.09) lakhs. Cash and cash equivalents at the end of FY26 stood at Rs. 19.26 lakhs, compared to Rs. 14.30 lakhs at the beginning of the year.

Consolidated Financial Results

The consolidated audited financial results for FY26, which include the wholly-owned subsidiary RCI World Trade Link DMCC, are substantially similar to the standalone results. Consolidated revenue from operations for FY26 was Rs. 1,928.77 lakhs (FY25: Rs. 97.99 lakhs), and consolidated net profit after tax for FY26 was Rs. 26.79 lakhs (FY25: net loss of Rs. 644.04 lakhs). Total consolidated comprehensive income for FY26 was Rs. 14,185.94 lakhs. The auditors noted that the audited financial statements of the subsidiary RCI World Trade Link DMCC were not made available, and the consolidated results in respect of the subsidiary are based on management-certified financial information.

Board Decisions and Corporate Governance Updates

At the Board meeting held on May 06, 2026, the following key decisions were taken in addition to the approval of financial results:

Re-appointment of Cost Auditors: M/s Balwinder & Associates, Cost Accountants (FRN: 000201), were re-appointed as Cost Auditors of the company for FY 2026-27.

Policy Updates: The Board approved updates to eight policies, including the Related Party Transaction Policy, Policy for Materiality of Events, Policy for Determining Material Subsidiaries, Prevention of Sexual Harassment (POSH) Policy, Anti-Bribery and Anti-Corruption Policy, Environment, Health Safety Policy, Customer/Consumer Value and Customer Policy, and Terms & Conditions of Appointment of Independent Directors.

Website Change: The company's official website was changed from www.rciind.com to www.jtldefence.com .

Auditor Emphasis of Matter

The statutory auditors, R. Bansal & Co., while issuing an unmodified opinion, drew attention to several matters:

Revaluation of PPE: The company carried out a revaluation of Land, Buildings and Plant & Machinery during the year ended March 31, 2026, with the resultant surplus recognised in accordance with Ind AS 16.

Recovery of Financial Assets: Certain trade receivables and other financial assets outstanding at the time of the CIRP remain subject to ongoing recovery efforts by management.

Settlement of Liabilities: Gains arising on settlement of certain outstanding liabilities have been transferred to Capital Reserve.

Taxation Notices: The company has received notices from taxation authorities for periods prior to the NCLT order approving the Resolution Plan; management considers these covered by the immunity granted under the NCLT order. The CIRP was completed on December 8, 2025.

Long-Standing Investments: Investments in Ace Matrix Solutions Limited, Kay Kay Exim Private Limited, and MetalRod Private Limited, aggregating to Rs. 1,186.17 lakhs as at March 31, 2026, continue to be carried at book value pending balance and shareholding confirmations from the investee companies.

We’re building Scanx - to help you express your trading & investing idea, to help you analyse the markets better.

Stock Markets are the true indicator of the growth of any country's economy. We are bullish on India, we are bullish on India's prospects to be one of largest economies of the world. We believe that Stock Markets provide an unique opportunity for all Indians to participate in the growth story of India. We are enabling the same for Indians.

As financial services are becoming more accessible, there is now a large set of Indians today who are financially aware and literate. They value time and seek high quality products & services. Most screening, trading, investing platforms available today are more or less similar to each other, and they have not evolved with time. While both traders & investors have gotten smart about how they make money and build wealth, as users they have continued to use the same products, features, and platforms that were available for years with little or no innovation.

We plan to change that - a technology-led and artificial intelligence enabled platform built for super traders and long term investors.

Disclaimer:

The data and information provided on this website is for general informational and research purposes only. While we strive to ensure that the content is accurate, up-to-date, and reliable, this platform utilizes artificial intelligence (AI) tools to generate, curate, and summarize information. As such, the content may occasionally contain errors, omissions, or outdated information. All users are therefore advised to cross verify the source of the data and information.

This website does not constitute professional, legal, financial, medical, or any other form of licensed advice. Users are encouraged to independently verify any information before relying on it, especially for decisions that may have legal, financial, or personal consequences.

The views, analyses, and summaries presented on this platform may be generated or assisted by AI and do not necessarily reflect the opinions of the website owners, operators, editors, or affiliates.

We make no warranties or representations, express or implied, regarding the completeness, accuracy, reliability, suitability, or availability of the information contained on this website. Any reliance you place on such information is strictly at your own risk.

This website may include links to third-party sources or content. We do not control or endorse the nature, accuracy, or availability of those external sites and are not responsible for any content or damages arising from their use.

By using this website, you acknowledge and agree that the use of AI-generated content involves inherent limitations, uncertainties and inaccuracies, and you accept full responsibility for how you interpret and use the information provided.

We reserve the right to modify, update, or remove content and this disclaimer at any time without prior notice.