Indong Tea Company Reports FY26 Loss and Leadership Transition

Revenue fell to Rs 23.35 crore in FY 2025-26 from Rs 30.46 crore in FY 2024-25.
Net profit shifted to a loss of Rs 0.83 crore from a profit of Rs 0.32 crore last year.

Reader Takeaway: Management transition occurs during a fiscal downturn caused by rising labor costs and adverse weather conditions.

What just happened

Indong Tea Company released its annual results for FY 2025-26, reflecting a challenging fiscal year. The company posted a net loss of Rs 0.83 crore, compared to a profit of Rs 0.32 crore in the previous year. Revenue saw a contraction, dropping to Rs 23.35 crore. Alongside these figures, the company filed notice for its Annual General Meeting to be held on September 28, 2026, to discuss key leadership restructuring and auditor appointments.

Management and Governance Update

A significant transition is underway as Hariram Garg, the Chairman and Managing Director, steps down from his MD role due to health concerns. He will transition to the position of Chairman and Executive Director effective October 1, 2026, with a proposed annual remuneration of Rs 42 lakh. Rajesh Garg is set to assume the position of Managing Director starting September 28, 2026, on a non-remunerated basis, excluding board meeting sitting fees. Additionally, the company has proposed re-appointing M/S Agarwal Kejriwal & Co as statutory auditors for another five-year term.

Risks to watch

Operations were heavily impacted by labor costs and unfavorable weather conditions. Investors should monitor how the new leadership team plans to manage these input price fluctuations and operational inefficiencies, which have directly contributed to the current year's losses.

What to track next

The upcoming AGM on September 28, 2026, remains the primary focal point for shareholders, as it will determine the approval of the proposed leadership changes and the continuation of the current audit firm.