Alps Industries Reports ₹62 Cr Profit Post-NCLT Revival, Readies for Share Listing

Alps Industries Limited reported a profit after tax (PAT) of ₹62.04 crore for the quarter ended December 31, 2025. This figure, ₹6,204.17 lakh on a standalone basis and ₹6,203.74 lakh consolidated, reflects the company's performance following its revival.

Financial Results

Alps Industries' Board of Directors met on March 20, 2026, to approve financial results for the third quarter and the first nine months of the fiscal year ending December 31, 2025. The company posted ₹62.04 crore in PAT for the quarter, both standalone and consolidated. For the nine months, PAT was also reported at ₹62.04 crore. Total comprehensive income for the quarter reached ₹62.83 crore (₹62.82 crore consolidated). The board also re-appointed the internal auditor for FY2027 and approved moving the company's registered office. Alps Industries operates solely in the Textile Segment.

Turnaround Story

This profit signals a major turnaround for Alps Industries after a difficult period. It follows the successful implementation of its Corporate Insolvency Resolution Process (CIRP) under the National Company Law Tribunal (NCLT). The financial results are primarily due to liabilities being written off as part of the approved resolution plan, marking a new beginning after significant financial restructuring.

Company Background

Alps Industries, a textile maker founded in 1962, has undergone extensive financial restructuring. It entered CIRP on September 13, 2024, after a petition from Edelweiss Assets Reconstruction Company Ltd. The NCLT approved a resolution plan on November 4, 2025. This plan included a 99% capital reduction and share consolidation. As a result, the board was restructured, with new directors appointed on December 1, 2025, to guide operations under the new ownership. The company had previously experienced severe financial distress and negative total equity.

Key Changes Post-Restructuring

• New Shares to List: Alps Industries is preparing to list 73,002,000 newly issued equity shares on the BSE and NSE, marking a fresh start after its restructuring.
• Registered Office Moved: The company has moved its registered office, with necessary approvals to keep all accounting records at the new site.
• Management Overhaul: The Board of Directors and management team have been reorganized as part of the NCLT plan.
• Financial Restructuring: Key financial liabilities have been cleared, and the share capital structure has been reorganized.

Potential Risks

• Auditor's Concern: The auditor's report for the quarter ending September 30, 2025, noted a qualification concerning the non-provision for interest and principal on waived loans totaling ₹2219.49 crore. This could have affected previously reported losses.
• Unreviewed Subsidiaries: Consolidated results include interim financials from subsidiaries Alps Energy Private Limited and Alps USA Inc. which have not undergone auditor review, though management considers them non-material.
• Future Tax Impact: While the current profit benefits from liability write-offs, upcoming annual accounts will include income tax provisions, taking into account substantial carried-forward business losses and unabsorbed depreciation.
• Promoter Pledges: A significant portion of promoters' shareholdings has been pledged.

Industry Peers

Alps Industries competes in India's vital textile sector, alongside established players like Vardhman Textiles Limited, Arvind Limited, and Trident Limited. These peers benefit from rising incomes and export demand. In contrast, Alps Industries is focused on rebuilding its financial and operational strength after severe distress. The sector's growth potential, evidenced by strong CAGRs in peers like Arvind Ltd., offers a path Alps aims to follow.

Past Performance

Alps Industries reported cash losses in recent years, including ₹1.85 crore in FY23 and ₹17.35 crore in FY22.

Looking Ahead

• New Share Listing: Investors will watch for the official listing of the newly issued shares on the NSE and BSE.
• Annual Accounts: Future annual filings will clarify the impact of tax provisions and significant carried-forward losses.
• Operational Profitability: The market will assess the company's capability to achieve consistent operational profits post-restructuring.
• Cash Flow and Debt: Monitoring how Alps Industries manages remaining liabilities and cash flow will be critical.