Chaman Lal Setia Exports Q2 Net Profit Soars 198% YoY to ₹56.3 Crore as Margins Expand

Key numbers

P/E Ratio	11.83Sector PE 29.01
Market Cap	₹1,480.6 CrSmall Cap
Promoter Holding	74.05%Zero Pledged
RSI	65.8Strong Zone

Key highlights

• Net profit surged by 197.9% year-on-year to ₹56.3 crore from ₹18.9 crore
• Revenue from operations grew 20.5% to ₹329 crore compared to the year-ago period
• Operating margins expanded to 22.2%, up from 9.1% in Q2 of the previous year
• Profit before tax for the quarter reached ₹75.2 crore, a 199.6% year-on-year increase
• Other income rose significantly to ₹10.1 crore from ₹3.8 crore in the corresponding quarter
• Earnings per share (EPS) jumped to ₹11.33 for the quarter from ₹3.81 in Q2-26

Operational Efficiency Drives Profitability

Chaman Lal Setia Exports demonstrated strong operational leverage in the September quarter, with its net profit nearly tripling to ₹56.3 crore. While revenue from operations saw a modest sequential decrease of 4.9% to ₹329 crore compared to the June quarter, the year-on-year growth stood at a healthy 20.5%. The standout metric was the operating margin, which reached 22.2%, a sharp increase from the 12.3% reported in the previous quarter and 9.1% in the same period last year.

This expansion suggests improved cost management and potentially better realisations in the export markets for basmati rice.

Balance Sheet and Cash Flow Strength

• Total assets as of September 30, 2026, reached ₹1,148.72 crore compared to ₹1,039.70 crore in March
• Inventories reduced significantly to ₹131.33 crore from ₹427.25 crore reported at the end of the previous fiscal year
• Other bank balances saw a substantial increase, totaling ₹506.39 crore as of the end of the half-year
• Net cash flow from operating activities for the first half of the year was recorded at ₹54.16 crore
• Total equity of the company strengthened to ₹925.38 crore, reflecting retained earnings growth
• Non-current borrowings remained stable at ₹72.97 crore compared to ₹73.88 crore in March 2026

Segment Specifics and Statutory Review

The Company's business activity falls within a single primary reportable business segment i.e. business of manufacturing, trading and marketing of the rice only.

Industry Context and Strategic Guidance

The company's performance coincides with shifting dynamics in the Indian rice export sector. Management had previously stated a long-term annual revenue target of ₹1,800 crore, supported by the easing of export restrictions on non-basmati varieties. Although the company remains focused on its core rice processing and marketing segment, the current quarter's results outperformed the sustainable full-year EBITDA margin target of 12.6% reaffirmed in August 2026.

The stock has reflected this optimism with a 9.87% one-year price change and maintains a high durability score of 80, indicating a strong financial position within the agricultural products industry.

What to watch next

• Post-results earnings conference call scheduled for 13 Nov 2026
• Monitoring of export volume trends following recent policy changes in the rice sector
• Progress towards the long-term annual revenue target of ₹1,800 crore
• Next quarterly board meeting for Q3 FY27 results expected in February 2027

“The meeting of the Board of Directors commenced at 02:00 p.m. and concluded at 04:30 p.m.”

Chaman Lal Setia Exports · financial snapshot

Share price	₹297.75
Market capitalisation	₹1,480.58 Cr
Revenue (annual)	₹1,439.58 Cr
Net profit (annual)	₹114.78 Cr
Revenue (latest quarter)	₹345.92 Cr-19.25% vs previous quarter
Net profit (latest quarter)	₹31.99 Cr-16.41% vs previous quarter
P/E (TTM)	11.83×Sector 29.01×
Promoter holding	74.05%0.00% QoQ
FII holding	3.44%Current quarter

Reference market data from a third-party provider, as of the story. Not a valuation or a recommendation.