Sheela Foam Ltd

Sheela Foam Limited (SFL) announced that House of Kieraya Limited (HOK/Furlenco) has changed its status from a jointly controlled entity to a subsidiary of SFL, effective October 1, 2026. This change resulted from an amendment agreement signed on October 1, 2026, modifying the Affirmative Vote Matters in their Shareholders’ Agreement. HOK, a leading furniture company operating in cities like Bengaluru, Mumbai, and Delhi NCR, reported a turnover of ₹375 Crore for FY 2025-26. This move allows Sheela Foam to enter the fast-growing branded furniture market. The amendment did not involve any transfer of shares, payment of consideration, or monetary consideration. SFL holds 34.53% equity shares in HOK, and this percentage remains unchanged.

Sheela Foam Ltd has announced the closure of its trading window from October 01, 2026. This closure will remain in effect until 48 hours after the company makes public its financial results for the quarter and half-year ended September 30, 2026. The measure is in compliance with the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015, and the company's internal Code of Conduct. This ensures that designated persons within the company do not trade in its shares during sensitive periods leading up to and immediately following the announcement of financial performance.

Sheela Foam Ltd announced the resignation of its Chief Human Resources Officer (CHRO), Ms. Shaili Tyagi, effective August 31, 2026. The company stated that the CHRO has been relieved from her services due to her resignation from employment. In the interim, the responsibilities of the CHRO will be managed by the Managing Director until a suitable replacement is found. The resignation is reportedly due to personal reasons, and the company is ensuring a smooth transition.

Sheela Foam Ltd announced the appointment of Ms. Avantika Singh Gautam as a non-executive, non-independent director for a term of five years, effective August 4, 2026. This appointment is subject to shareholder approval. Ms. Gautam is a seasoned broadcast journalist and media professional with extensive experience. She also has a background in strategy and execution from her work with Teach For India. Her educational background includes programs from Harvard Kennedy School and The Fletcher School at Tufts University. Ms. Gautam is related to existing directors of the company.

Sheela Foam Ltd. reported a strong Q1 FY27 performance, with consolidated revenue exceeding ₹1000 crore for the first time in a Q1, reaching ₹1,032 crore, a 26% year-on-year growth. Consolidated Profit After Tax (PAT) surged by 9.5 times to ₹62 crore, compared to ₹7 crore in Q1 FY26. EBITDA also saw a significant increase of 45% YoY to ₹109 crore, with margins expanding by 139 basis points to 10.6%. The company highlighted strong growth in its mattress and foam segments, with volume increases of 6% and 4% respectively, and value growth of 15% and 26%. E-commerce sales also showed robust growth. The Chairman & Managing Director expressed optimism for sustained growth and profitability.

Sheela Foam's consolidated PAT for Q1 FY27 came in at ₹62.3 Cr against ₹6.55 Cr a year ago — the ~9.5x jump management itself highlighted — on revenue of ₹1,031.9 Cr, up 25.6% YoY though down 1.7% QoQ from Q4 FY26's ₹1,050.1 Cr. YoY is the right lens here: Q1 FY26 was an unusually weak quarter (NPM just 0.86%), so even after stripping the ₹6.26 Cr exceptional gain on the Haridwar land sale, adjusted PAT of ~₹56 Cr is still up roughly 756% YoY — real recovery, not just base-effect optics, but the raw 9.5x headline overstates the underlying run-rate. Standalone PAT, by contrast, grew a much smaller ~3.1x YoY (₹43.9 Cr vs ₹10.7 Cr) — the gap versus consolidated is driven by a 42% YoY jump in overseas subsidiary revenue (₹262.7 Cr vs ₹184.9 Cr) and an 81% YoY rise in the Furlenco/House of Kieraya JV profit share (₹3.11 Cr vs ₹1.72 Cr), both of which sit only in the consolidated books. Margins tell a more mixed story than the PAT headline suggests. Consolidated NPM improved sharply YoY (6.0% vs 0.86%) but slipped QoQ from 8.7%, while EBITDA-level margin (PBT before exceptionals + finance cost + depreciation, over revenue) was ~12.1% this quarter versus ~12.6% in Q4 FY26 and ~9.2% a year ago — expanding YoY but giving back some of the sequential gain. That keeps margins within the '11-12% bracket' management flagged as the current level on the Q4 FY26 call, rather than showing the clear step-up toward improvement it had guided for; the 6.26 Cr one-off gain also flatters the reported bottom line versus the underlying margin trend. On guidance and Street: management's FY27 call was for value growth exceeding 15%, and Q1's 25.6% YoY revenue growth already clears that bar. Pre-result brokerage estimates (Univest) had pegged Q1 revenue at ₹907-1,044 Cr and PAT at just ₹6-8 Cr — actual revenue landed near the top of that range, but PAT beat the estimate by roughly 8x, a sharp street beat on profitability even allowing for the low comparison base and the one-off gain. Management's own release framed the quarter as a continuation of 'healthy momentum' in mattress and foam, with e-commerce and U2O initiatives 'gaining scale' — the 25.6% topline growth and Kurlon-driven consolidated strength support that framing, though the flat-to-lower QoQ margin undercuts any claim of margin momentum this specific quarter. Corporate developments this quarter — completion of the Kurlon-related subsidiary integration, board reconstitution with Avantika Singh Gautam's appointment as Non-Executive Director, and payment of the ₹1/share FY26 final dividend on July 30, 2026 — are largely structural and don't materially move this quarter's P&L, but the board addition follows through on the governance changes flagged in the pre-result watch list.

Sheela Foam Ltd has announced that its Board of Directors will convene on August 4, 2026. The primary agenda item for this meeting is to consider and approve the un-audited standalone and consolidated financial results for the quarter ending June 30, 2026. In line with SEBI regulations, the company has also informed about the closure of the trading window for designated persons and their immediate relatives, effective from April 1, 2026, until 48 hours post the declaration of the financial results.

Sheela Foam Ltd has submitted an updated Annual Report for the financial year 2025-26, following its initial submission on June 20, 2026. The update includes a revised 'Corporate Overview' section, specifically adding the statement 'Mattress volumes grew by 12% during the year' on page 54 under Management Discussion and Analysis. The report details the company's integrated operations, market leadership, and forward-looking statements. The updated report is also available on the company's website.

Sheela Foam Ltd has announced the closure of its trading window for dealing in the company's shares. This closure is in accordance with the SEBI (Prohibition of Insider Trading) Regulations, 2015, and the company's internal code of conduct. The window will remain shut for designated persons from July 01, 2026, until 48 hours after the financial results for the quarter and year ending June 30, 2026, are publicly disclosed. This measure is standard practice to prevent potential insider trading during periods when material non-public information may be available.

Sheela Foam Ltd has issued a communication regarding Tax Deduction at Source (TDS) on dividend payouts. The company's Board recommended a final dividend of Re. 1/- (20%) per equity share for FY 2025-26, subject to shareholder approval at the AGM on July 16, 2026. The dividend will be payable on July 9, 2026. The communication details the TDS applicability based on the Income Tax Act, 2025, outlining varying tax rates for resident and non-resident shareholders depending on their status and submitted documentation. For resident individual shareholders, no tax will be deducted if the total dividend does not exceed ₹10,000 during FY 2026-27. Specific forms and declarations are required for nil or lower TDS rates for different shareholder categories.