Karnika Industries Initiates Main Board Migration Process via Postal Ballot

Key numbers

Market Cap	₹781.17 CrCap size
P/E TTM	29.28xSector 49.5x
Promoter Holding	73.39%Steady QoQ
RSI	52.23Neutral Zone

Key highlights

• Voting for the proposed migration is open from October 29 to November 27, 2026
• Approval requires public shareholder votes in favour to be at least double the votes against
• Company reported Q2 FY27 revenue of ₹81.83 crore, a 36.9% sequential increase
• Management has guided for a consolidated revenue target of ₹500 crore by FY29
• Proposal includes the appointment of Priyanka Hirawat as an Independent Director for five years

Strategic Move to NSE and BSE Main Boards

Karnika Industries, currently listed on the NSE Emerge platform since October 12, 2023, intends to transition to the Main Board of both the NSE and BSE. In accordance with SEBI ICDR Regulations, the migration can proceed after an initial SME listing period of three years. To pass the resolution, the company requires that votes cast by public shareholders in favour of the proposal must be at least two times the number of votes cast against it.

This move is designed to provide the company with enhanced recognition and access to a larger pool of potential institutional and retail investors.

Q2 FY27 Performance and Financial Trajectory

The company reported robust financial growth for the quarter ended September 30, 2026, with quarterly revenue reaching ₹81.83 crore, representing a 17.35% growth year-on-year and a 47.13% increase in net profit sequentially. Operating margins stood at 18.53% for the same period. While the company operates on a make-to-order wholesale model and does not maintain a formal long-term order book, its annual revenue for the previous year was ₹224.28 crore, reflecting a 32.16% year-on-year growth.

The transition to the Main Board aligns with its current trajectory of consistent business expansion and transparency.

Growth Guidance and Operational Targets

• Management targets consolidated revenue between ₹350 crore and ₹370 crore for FY27
• A long-term revenue goal of ₹500 crore has been set for FY29
• CAGR guidance for revenue and profit before tax is projected at 30% to 35% through FY28
• EBITDA margins are expected to be maintained between 17% and 20%
• The board recently approved increasing borrowing and investment limits to ₹500 crore each on September 8, 2026

Enhanced Liquidity and Market Recognition

The proposed listing of Equity Shares of the Company on Main Board of National Stock Exchange of India Limited as well as Main Board of BSE Limited will not only act as a catalyst in the growth and expansion of the Company apart from taking company to a different league altogether with enhanced recognition and will also result in participation of a larger pool of potential investors thereby help to increase the liquidity of Shares of our Company.

What to watch next

• Declaration of postal ballot results on or before November 30, 2026
• Filing of formal migration applications with NSE and BSE following shareholder approval
• Progress toward the FY27 revenue guidance of ₹350 to ₹370 crore

Karnika Industries · financial snapshot

Share price	₹126
Market capitalisation	₹781.17 Cr
Revenue (annual)	₹224.28 Cr
Net profit (annual)	₹26.68 Cr
Revenue (latest quarter)	₹81.83 Cr+36.89% vs previous quarter
Net profit (latest quarter)	₹10.82 Cr+47.13% vs previous quarter
P/E (TTM)	29.28×Sector 49.51×
Promoter holding	73.39%0.00% QoQ
FII holding	0%Current quarter

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