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Latest filing: 2026-07-28 14:01
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Q1 Net Profit at ₹5.95 Lakhs, down 60% YoY; recovers from previous quarter loss
Modern Shares & Stockbrokers reported a net profit of ₹5.95 Lakhs for Q1 FY27, a 60% decline compared to ₹14.90 Lakhs in the same quarter last year. Revenue from operations fell 12.5% YoY to ₹86.71 Lakhs, primarily driven by a drop in brokerage and commission income. Despite the YoY decline, the company returned to profitability after a loss of ₹6.20 Lakhs in the preceding March 2026 quarter. The company remains engaged in a long-standing legal dispute with Bata India Limited over property mesne profits, currently pending in the Bombay High Court.
Confidence: HIGH
What changedThe company has returned to a marginal profit after reporting a loss in the previous quarter, though it remains below the performance levels of the previous year.
Why it mattersFor a micro-cap company with a ₹10 Cr market cap, small fluctuations in operational income and legal outcomes can significantly impact the thin profit margins.
Net Profit (Q1): ₹5.95 LakhsRevenue (Q1): ₹86.71 LakhsBrokerage Income: ₹59.86 LakhsEPS (Q1): ₹0.17Revenue vs TTM Revenue: ~21.6%
📅 Short termThe stock is likely to remain range-bound given the small absolute profit and lack of immediate growth triggers.
📈 Long termLimited structural significance unless the company significantly scales its brokerage operations or receives a favorable court ruling in its pending litigation.
⚠ Risk flags
- High dependence on cyclical brokerage income
- Micro-cap liquidity risk
- Ongoing legal uncertainty
Key Highlights
Net Profit stood at ₹5.95 Lakhs for the quarter ended June 30, 2026, vs ₹14.90 Lakhs YoY.
Total Revenue from operations decreased to ₹86.71 Lakhs from ₹99.05 Lakhs in the year-ago period.
Brokerage and Commission income, the core business driver, fell 18.7% YoY to ₹59.86 Lakhs.
Employee benefit expenses accounted for a significant portion of costs at ₹41.74 Lakhs.
Ongoing litigation against Bata India Limited regarding mesne profits remains pending in the Hon'ble High Court of Bombay.
👀 What to Watch
Investors should monitor the stability of brokerage income and any potential one-time gains from the long-pending legal suit against Bata India Limited.