Nandan Denim shares climbed to a day high of Rs 2.43 on the NSE on Thursday, even as the company posted a sharp June quarter revenue decline.

Net profit for Q1 FY27 rose 31.8% year on year to Rs 14.79 lakh, up from Rs 11.20 lakh in the same quarter last year.

Revenue from operations went the other way entirely, dropping 40.6% to Rs 622.39 lakh from Rs 1,047.68 lakh a year earlier.

The profit jump had little to do with how the core business actually performed. Profit before tax fell to Rs 10.32 lakh from Rs 14.82 lakh a year ago.

What pushed the final number higher was a Rs 5.07 lakh credit tied to a correction in earlier years’ tax provisions.

Deferred tax expense for the quarter came in at Rs 58.98 lakh, and earnings per share ticked up slightly to Rs 0.10 from Rs 0.08.

On leadership, the board approved reappointing Jyotiprasad Devkinandan Chiripal as Managing Director for another five years, running from June 2027 to May 2032, pending shareholder approval.

Chiripal has led the company since 2017 and brings over four decades of experience in fabrics and yarn. He’s also the father of Deepak Chiripal, who serves as the company’s CEO.

The company made another move worth noting in mid July. Nandan Denim picked up a 6.1% stake in Opera Vayu, a renewable energy firm, for around Rs 4 crore, as part of a plan to source wind and solar power for its own operations.

As of 11:25 am on Thursday, Nandan Denim shares were trading at Rs 2.36 on the NSE, up 0.85% for the day.

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