Loyal Textile Mills Limited has reported a significant loss of ₹3,479 lakhs for the second quarter of the fiscal year 2025, ending September 30, 2025. The company's total income for the quarter stood at ₹12,522 lakhs, a substantial decline compared to ₹20,071 lakhs in the same quarter of the previous year. Key factors contributing to this downturn include a sharp decrease in revenue from operations, which fell to ₹10,654 lakhs from ₹18,528 lakhs in Q2 FY2024. The company’s operational challenges were compounded by rising costs, with total expenses reaching ₹12,931 lakhs, resulting in a loss before tax of ₹3,251 lakhs.

The independent auditor’s review report emphasized that the financial results were prepared in compliance with Indian Accounting Standards and the SEBI listing regulations. However, the auditors noted the company's ongoing efforts to address liquidity issues and enhance operational efficiency through asset monetization and cost optimization measures. These initiatives are aimed at improving profitability and ensuring the company’s operations remain sustainable in the long run. The management remains optimistic about achieving operational profitability as they prioritize high-value segments and rationalize operations.

Despite the current losses, the management of Loyal Textile Mills is focused on recovery strategies. The company has committed to implementing various measures to streamline operations and enhance revenue generation. They anticipate that these initiatives will yield positive results in the near future and strengthen overall financial performance. As the textile industry continues to face challenges, Loyal Textile Mills is working diligently to navigate this difficult landscape and return to profitability.