Microcap stock skyrockets after reporting 529% QoQ increase in net profits

Synopsis:
Sandesh Limited reports 7% YoY revenue growth and a 529% QoQ net profit surge in Q1 FY26 results

This micro-cap stock, engaged in editing, printing, and publishing newspapers and operating a news TV channel, digital media, bullion trading, and construction in Gujarat, India, hit a 20 percent upper circuit after the company reported June quarterly results with a 529 percent QoQ increase in net profit.

With a market capitalization of Rs. 1,051.47 crores, the shares of Sandesh Limited hit a 20 percent upper circuit of Rs. 1,389.10 per share on Wednesday, up from its previous closing price of Rs. 1,157.60 per share. 

Q1 FY26 Result Walkthrough

Coming into the quarterly results of Sandesh Limited, the company’s consolidated revenue from operations increased by 6.80 percent YOY, from Rs. 68.65 crore in Q1 FY25 to Rs. 73.32 crore in Q1 FY26, and decreased by 3.12 percent QoQ from Rs. 75.68 crore in Q4 FY25.

Sandesh Limited generated 57.73 percent of its total revenue from the media segment, 0.86 percent from the finance segment, and 41.41 percent from unallocated in Q1 FY26.

In Q1 FY26, Sandesh Limited’s consolidated net profit increased by 14.98 percent YOY, reaching Rs. 58.04 crore compared to Rs. 50.48 crore during the same period last year. As compared to Q4 FY25, the net profit has increased by 528.82 percent, from Rs. 9.23 crore. The basic earnings per share increased by 14.96 percent and stood at Rs. 76.68 as against Rs. 66.70 recorded in the same quarter in the previous year, 2025.

Financial Highlights: Sandesh Limited’s revenue has decreased from Rs. 322 crore in FY24 to Rs. 294 crore in FY25, which is a drop of 8.70 percent. The net profit has also decreased by 59.26 percent, from Rs. 189 crore in FY24 to Rs. 77 crore in FY25.

In terms of return ratios, the company’s ROCE and ROE stand at 7.53 percent and 5.87 percent, respectively. Sandesh Limited has an earnings per share (EPS) of Rs. 112, and it’s a debt-free company.

Business Overview

Sandesh Limited is one of the largest media houses in Gujarat, India, primarily engaged in the business of editing, printing, and publishing newspapers and periodicals. It publishes “SANDESH,” a premier Gujarati daily newspaper with about six editions across Gujarat. The company also operates “Sandesh Telecast,” a Gujarati news television channel, and has a digital presence through mobile applications and websites.

Sandesh Limited was incorporated in 1943 and is headquartered in Ahmedabad, Gujarat. Besides its media operations, Sandesh Limited also has business interests in bullion trading and construction. It operates through two main segments: Media and Finance.

Written By – Nikhil Naik

Disclaimer

The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.