SKP Securities Reports Modest FY26 Growth, Announces Rs 2 Dividend

SKP Securities Ltd. has reported a standalone net profit of Rs 10.35 crore for the financial year 2025-26, a slight increase from Rs 9.99 crore in the previous year. Total income for FY26 rose to Rs 41.02 crore, up from Rs 37.21 crore in FY25.

Reader Takeaway: Operational growth maintained; leverage for margin trading needs monitoring.

What just happened

SKP Securities Ltd. released its annual report for the fiscal year 2025-26, detailing a rise in total income to Rs 41.02 crore and a net profit of Rs 10.35 crore. The company also proposed a final dividend of Rs 2 per share.

The 36th Annual General Meeting is scheduled for September 12, 2026, to be held via Video Conferencing.

Why this matters

Shareholders will receive a dividend, reflecting the company's profitability. The re-appointment of directors and their remuneration are key governance points. However, a notable concern is the decrease in coverage ratios due to increased borrowing for the Margin Trading Facility (MTF).

The backstory

For FY 2024-25, SKP Securities had reported a total income of Rs 37.21 crore and a net profit of Rs 9.99 crore. The company has been expanding its Margin Trading Facility, which has led to increased borrowings.

What changes now

Key management positions, including Anil Shukla as Director and Nikunj Pachisia as Executive Director, are set for re-appointment. Nikunj Pachisia's remuneration will be revised. The company plans to continue leveraging its balance sheet for the MTF business.

Risks to watch

The primary concern highlighted is the significant drop in the Interest Service Coverage Ratio (to 8.88 times from 14.84 times) and the Debt Service Coverage Ratio (to 0.58 times from 1.10 times). This is due to increased leverage for the MTF business. The board also remains cautious about future macroeconomic and geopolitical challenges.

Peer comparison

(No specific peer comparison data was provided in the filing.)

Context metrics (time-bound)

• Total Income: FY26 Rs 41.02 crore vs. FY25 Rs 37.21 crore (up 10.2%).
• Net Profit: FY26 Rs 10.35 crore vs. FY25 Rs 9.99 crore (up 3.6%).
• Basic EPS: FY26 Rs 15.20 vs. FY25 Rs 14.67.
• Interest Service Coverage Ratio: FY26 8.88 times vs. FY25 14.84 times (down 40%).
• Debt Service Coverage Ratio: FY26 0.58 times vs. FY25 1.10 times (down 47%).
• Interest Income from MTF: Increased by 44%.

What to track next

Investors should monitor the company's ability to manage its increased debt levels and the performance of its Margin Trading Facility, alongside its overall profitability and dividend payouts.