SIS Ltd Q3 Loss: Rs 138 Crore, Labour Code Impact

New Delhi, Jan 29 (PTI) SIS Ltd, leading security and facility management services provider, on Thursday reported a loss of Rs 138.37 crore for December quarter FY26, mainly on account of exceptional expenses as cost of implementation of new Labour Codes.

The company had posted a net profit of Rs 102.11 crore in the October-December period a year ago, according to a regulatory filing from SIS.

SIS has reported an exceptional items (net loss) totalling Rs 290.02 crore in the December quarter. This is due to increase in employee benefits after implementation of new Labor Codes primarily attributable to higher provisions for gratuity, towards the past service cost, and long-term compensated absences arising from the revised definition of wages.

Its profit before exceptional items and tax was Rs 99.21 crore. The operating profit after tax was Rs 100.8 crore.

Revenue from operations was up 24.46 per cent to Rs 4,185.22 crore in the December quarter. Total expenses were at Rs 4,100.29 crore, up 24.74 per cent.

Commenting on the result, Group Managing Director Rituraj Sinha said:"Q3 FY26 has been a milestone quarter with quarterly revenue crossing Rs 4,000 crore for the first time and the highest ever operating EBITDA of Rs 196 crore."

Total consolidated income of SIS, which includes other income, was at Rs 4,192.1 crore, up 23.5 per cent year-on-year.

Revenue from 'Security Services - India' was at Rs 1,897.98 crore, up 33.7 per cent on year-on-year basis.

This growth was "on the back of new wins of around Rs 32 crore of monthly revenue with major contributions from the E-commerce, Education, Media and Entertainment and IT/ITES," it said.

Similarly, its revenue from Security Solutions – International was also up 20.8 per cent to Rs 1,670.36 crore.

Revenue from 'Facilities Management' segment was also up 10.3 per cent at Rs 635.7 crore. This is "on the back of new wins of around Rs 27 crore of monthly revenue with major contributions from the Automotive, BFSI, real estate, and oil and gas sectors."

Meanwhile, in a separate filing SIS informed that its board has declared an interim dividend of Rs 7 per equity share of Rs 5 each for financial year 2025-26.

Shares of SIS Ltd on Thursday settled at Rs 326.10 apiece on BSE, down 0.23 per cent from the previous close.