Integrated Filing — IndAS



General information about company

Scrip Code 544264
NSE Symbol DIFFNKG
MSEI Symbol NOTLISTED
ISIN INE184O01015
Name of company DIFFUSION ENGINEERS LIMITED
Type of company Main Board
Class of security Equity
Date of start of financial year 01-04-2026
Date of end of financial year 31-03-2027
Date of board meeting when results were approved 11-08-2026
Date on which prior intimation of the meeting for considering financial results was informed to the exchange 05-08-2026
Description of presentation currency INR
Level of rounding used in financial results Lakhs
Reporting Type Quarterly
Reporting Quarter First quarter
Nature of report standalone or consolidated Consolidated
Whether results are audited or unaudited for the quarter ended Unaudited
Whether results are audited or unaudited for the Year to date for current period ended/year ended
Segment Reporting Single segment
Description of single segment Welding Fabrication Technology and Engineering
Start date and time of board meeting 11-08-2026   12:15:00
End date and time of board meeting 11-08-2026   13:40:00
Whether cash flow statement is applicable on company
Type of cash flow statement
Declaration of unmodified opinion or statement on impact of audit qualification Not applicable



Financial Results Ind-AS

Amount in (Lakhs)

Particulars 3 months/ 6 months ended (dd-mm-yyyy) Year to date figures for current period ended (dd-mm-yyyy)
A Date of start of reporting period 01-04-2026 01-04-2026
B Date of end of reporting period 30-06-2026 30-06-2026
C Whether results are audited or unaudited Unaudited Unaudited
D Nature of report standalone or consolidated Consolidated Consolidated
1 Income
Revenue from operations 11,010.80 11,010.80
Other income 409.80 409.80
Total income 11,420.60 11,420.60
2 Expenses
(a) Cost of materials consumed 6,914.70 6,914.70
(b) Purchases of stock-in-trade 543.20 543.20
(c) Changes in inventories of finished goods, work-in-progress and stock-in-trade (1,094.20) (1,094.20)
(d) Employee benefit expense 1,260.90 1,260.90
(e) Finance costs 69.70 69.70
(f) Depreciation, depletion and amortisation expense 187.80 187.80
(f) Other Expenses
1 Other expenses 801.50 801.50
2 Manufacturing expenses 1,169.40 1,169.40
Total other expenses 1,970.90 1,970.90
Total expenses 9,853.00 9,853.00
3 Total profit before exceptional items and tax 1,567.60 1,567.60
4 Exceptional items 0.00 0.00
5 Total profit before tax 1,567.60 1,567.60
6 Tax expense
7 Current tax 327.30 327.30
8 Deferred tax 18.50 18.50
9 Total tax expenses 345.80 345.80
10 Net movement in regulatory deferral account balances related to profit or loss and the related deferred tax movement 0.00 0.00
11 Net Profit Loss for the period from continuing operations 1,221.80 1,221.80
12 Profit (loss) from discontinued operations before tax 0.00 0.00
13 Tax expense of discontinued operations 0.00 0.00
14 Net profit (loss) from discontinued operation after tax 0.00 0.00
15 Share of profit (loss) of associates and joint ventures accounted for using equity method 445.90 445.90
16 Total profit (loss) for period 1,667.70 1,667.70
17 Other comprehensive income net of taxes (6.00) (6.00)
18 Total Comprehensive Income for the period 1,661.70 1,661.70
19 Total profit or loss, attributable to
Profit or loss, attributable to owners of parent 1,660.70 1,660.70
Total profit or loss, attributable to non-controlling interests 7.00 7.00
20 Total Comprehensive income for the period attributable to
Comprehensive income for the period attributable to owners of parent 1,652.20 1,652.20
Total comprehensive income for the period attributable to owners of parent non-controlling interests 9.50 9.50
21 Details of equity share capital
Paid-up equity share capital 3,742.60 3,742.60
Face value of equity share capital 10 10
27 Details of debt securities
22 Reserves excluding revaluation reserve
23 Earnings per share
i Earnings per equity share for continuing operations
Basic earnings (loss) per share from continuing operations 4.47 4.47
Diluted earnings (loss) per share from continuing operations 4.47 4.47
ii Earnings per equity share for discontinued operations
Basic earnings (loss) per share from discontinued operations 0 0
Diluted earnings (loss) per share from discontinued operations 0 0
ii Earnings per equity share
Basic earnings (loss) per share from continuing and discontinued operations 4.47 4.47
Diluted earnings (loss) per share from continuing and discontinued operations 4.47 4.47
24 Debt equity ratio
25 Debt service coverage ratio
26 Interest service coverage ratio
27 Disclosure of notes on financial results Textual Information(1)



Disclosure of notes on financial results

Textual Information(1) Notes to unaudited consolidated financial results for quarter ended 30th June, 2026 1. These unaudited consolidated financial results have been prepared in accordance with Indian Accounting Standards (IND-AS) prescribed under Section 133 of the Companies Act.2013 and other accounting principles generally accepted in India and in terms of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. 2. The above unaudited consolidated financial results for the quarter ended 30th June, 2026 in respect of Diffusion Engineers Limited have been reviewed by the Audit Committee and approved by the Board of Directors of the Company at the meetings held on 10th August, 2026 and 11th August, 2026 respectively. The Statutory auditors have expressed unmodified opinion on unaudited financial results for the quarter ended 30th June, 2026. 3. The consolidated Financial Results for the quarter ended 31st March, 2026 is the balancing figures between audited consolidated figures in respect of the year ended 31st March, 2026 and unaudited consolidated figures for nine-months ended 31st December, 2025. The figures for the year ended 31st March, 2026 are extracted from the audited Financials Statement of that period. 4. The Statement also includes the share of net profit after tax Rs. 44.59 million for the period from 1st January 2026 to 30th June 2026 as considered in the Statement, in respect of the foreign associates Mecdiff Sdn Bhd. and LSN Diffusion Ltd. 5. As a result of the Management review mechanism, the Company has one segment “Welding Fabrication Technology and Engineering” which includes Manufacturing, Trading and Job Work. 6. Exceptional item in the quarter and period and 31st March, 2026 On 21 November 2025, the Government of India notified the four Labour Codes - the Code on Wages, 2019, the Industrial Relations Code, 2020, the Code on Social Security, 2020, and the Occupational Safety, Health and Working Conditions Code, 2020 - consolidating 29 existing labour laws (collectively referred to as the New Labour Codes). The Ministry of Labour & Employment published draft Central Rules and FAQs to clarify certain aspects and enable assessment of the financial impact due to changes in regulations. Amongst other things, the New Labour Codes prescribes a uniform definition of wages based on which certain employee benefits such as gratuity, leave encashment, contributions to provident fund and statutory bonus are required to be computed. The Group has assessed and disclosed the incremental impact of these changes on the basis of the best information available, consistent with the guidance provided by the Institute of Chartered Accountants of India. Considering the materiality and the non-recurring nature of the impact of the New Labour Codes, the Group has presented the one-time impact of the New Labour Codes, primarily pertaining to provisions for long-term employee benefits such as gratuity and compensated absences, as an exceptional item in the consolidated financial results for the year ended 31st March, 2026. The Group continues to monitor the developments pertaining to the New Labour Codes and will evaluate the impact, if any, on the measurement of liabilities pertaining to employee benefits. 7. The shareholders of the Company, by way of Postal Ballot through remote e-voting concluded on June 29, 2025, approved the creation, offer, issue, grant and allotment of up to 7,00,000 (Seven Lakh) Employee Stock Options (“Options”) to eligible employees of the Company and its subsidiaries under the Diffusion Engineers Limited – Employee Stock Option Scheme 2025, and further approved the secondary acquisition of equity shares through an employee welfare trust, namely “Diffusion ESOP Trust” (“Trust”), including the grant of a loan to the irrevocable Trust to enable it to acquire equity shares of the Company by way of secondary acquisition for implementation of the said Scheme. Pursuant to the above approvals, the Nomination and Remuneration Committee (“NRC”), through a resolution passed by circulation on December 25, 2025, approved the grant of 3,00,000 (Three Lakh) Employee Stock Options to eligible employees under the Scheme at an exercise price of Rs.325/- per Option. Diffusion ESOP Trust holds 3,00,000 equity shares of face value Rs.10 each under the Company’s ESOP scheme and the grant letters dated 27th December 2025 were given to eligible employees of which 1,00,000 options were accepted by eligible employees, at an exercise price of Rs.325 per equity share. The options granted under the scheme vest in four tranches of 25% each, subject to satisfaction of applicable vesting conditions. The fair value of stock options (at grant date) is recognised as an expense in the Statement of Profit and Loss within employee benefits as employee compensation cost over the vesting period, with a corresponding increase in ESOP Reserve (a component of equity). The Company’s equity shares held by a trust, which is consolidated as a part of the Company, are classified as Treasury shares. Treasury shares are carried at acquisition cost and presented as a deduction from total equity as “Treasury share reserve” 9. The figures of previous periods / year are reclassified, regrouped and rearranged wherever necessary so as to make them comparable with current period's figures.



Remarks

Debt equity ratio
Debt service coverage ratio
Interest service coverage ratio


Format for Reporting Segment wise Revenue, Results and Capital Employed along with the company results

Amount in (Lakhs)

Particulars 3 months/ 6 month ended (dd-mm-yyyy) Year to date figures for current period ended (dd-mm-yyyy)
Date of start of reporting period 01-04-2026 01-04-2026
Date of end of reporting period 30-06-2026 30-06-2026
Whether results are audited or unaudited Unaudited Unaudited
Nature of report standalone or consolidated Consolidated Consolidated
1 Segment Revenue (Income)
(net sale/income from each segment should be disclosed)
Total Segment Revenue
Less: Inter segment revenue
Revenue from operations
2 Segment Result
Profit (+) / Loss (-) before tax and interest from each segment
Total Profit before tax
i. Finance cost
ii. Other Unallocable Expenditure net off Unallocable income
Profit before tax
3 (Segment Asset - Segment Liabilities)
Segment Asset
Total Segment Asset
Un-allocable Assets null null
Net Segment Asset null null
4 Segment Liabilities
Segment Liabilities
Total Segment Liabilities
Un-allocable Liabilities null null
Net Segment Liabilities null null
Disclosure of notes on segments



Other Comprehensive Income

Amount in (Lakhs)

Particulars 3 months/ 6 months ended (dd-mm-yyyy) Year to date figures for current period ended (dd-mm-yyyy)
A Date of start of reporting period 01-04-2026 01-04-2026
B Date of end of reporting period 30-06-2026 30-06-2026
C Whether results are audited or unaudited Unaudited Unaudited
D Nature of report standalone or consolidated Consolidated Consolidated
Other comprehensive income [Abstract]
1 Amount of items that will not be reclassified to profit and loss
1 Remeasurements of the defined benefit plans (6.00) (6.00)
Total Amount of items that will not be reclassified to profit and loss (6.00)
2 Income tax relating to items that will not be reclassified to profit or loss (1.50) (1.50)
3 Amount of items that will be reclassified to profit and loss
1 Foreign currency translation of foreign operations (1.50) (1.50)
Total Amount of items that will be reclassified to profit and loss (1.50)
4 Income tax relating to items that will be reclassified to profit or loss 0.00 0.00
5 Total Other comprehensive income (6.00) (6.00)