Sonaselection India Ltd reported strong FY26 performance, with revenue climbing 63.6% to Rs 516.95 crore and net profit rising 83.3% to Rs 34.02 crore. The company expanded its capital base through a 1:1.6 bonus issue and debenture conversions, and remains focused on growth through its new garment subsidiary, Sionnah Enterprises.
Sonaselection India Reports FY26 Revenue of Rs 516.95 Crore and Profit of Rs 34.02 Crore
Reader Takeaway
Strong revenue and profit growth driven by expansion; company prioritizes capital reinvestment over dividend payouts this year.
What just happened
Sonaselection India Limited posted significant financial growth for the fiscal year ending March 31, 2026. Revenue from operations reached Rs 516.95 crore, up 63.6% from Rs 315.95 crore in the prior year. Net profit after tax reached Rs 34.02 crore, an 83.3% increase compared to Rs 18.56 crore in FY25. The company’s Return on Net Worth improved to 39.05% from 34.08%.
Why this matters
The jump in profitability and revenue highlights strong operational momentum. The company also successfully executed a 1:1.6 bonus issue in November 2025 and converted Compulsorily Convertible Debentures (CCDs) into equity, strengthening its capital structure to support its growing asset base of Rs 465.94 crore.
The backstory
During the fiscal year, the company increased its authorized share capital from Rs 22 crore to Rs 60 crore. It also incorporated a 100% subsidiary, Sionnah Enterprises Private Limited, in July 2025, which focuses on the ready-made garments segment.
Risks to watch
Investors should note that the company has not recommended a dividend for the year, signaling a strategy of prioritizing capital retention for future expansion. While revenue is growing, maintaining high operating margins amidst scaling operations remains critical.
Context metrics
- EBITDA: Rs 84.77 crore in FY26 (up 45.9% YoY).
- Credit Rating: Maintained at CRISIL BBB/Stable.
- Auditor: M/s Pokharna Somani & Associates confirmed no material fraud or regulatory orders reported.