Diversified agri firm DCM Shriram Ltd on Thursday (March 12) said the board has approved an equity investment of up to ₹87 crore, in one or more tranches, for a minimum 26% stake in one or more special purpose vehicles (SPVs) to set up a renewable energy power project for its Bharuch plant.
The board also approved a proposal to incur capital expenditure of up to ₹130 crore towards related infrastructure development. The investment will enable the company to obtain around 48 MW of additional renewable power supply for the Bharuch plant, including about 30 MW of round-the-clock power at a 75% capacity utilisation factor.
With this addition, the total renewable energy power provision for the Bharuch plant will increase from the present peak of 50.4 MW to 98.4 MW. The company said the equity investment will be made in one or more SPVs that will be created for the renewable power project. The indicative timeline for completion of the project is around June 2027.
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Third quarter results
DCM Shriram reported a 19% decline in net profit to ₹212 crore for Q3FY26, compared with ₹262 crore in the same quarter last year. The decline came despite a healthy rise in revenue, which grew 13.8% YoY to ₹4,003 crore from ₹3,519 crore.
Operating performance remained robust, with EBITDA increasing 7.1% YoY to ₹531.5 crore, though margins narrowed to 13.3% from 14.1% in Q3FY25. The company also declared a second interim dividend of 180%, or ₹3.60 per share (face value ₹2), for FY26. The record date is January 24, 2026, and the payout will be made within 30 days
The decline in profit was partly linked to the implementation of India’s four new labour codes, which consolidate 29 existing labour laws covering wages, industrial relations, social security, and occupational safety. Based on draft rules and available guidance, DCM Shriram made an additional provision of ₹55 crore for the quarter and nine months ended December 31, 2025.
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Shares of DCM Shriram Ltd ended at ₹1,018, up by ₹28, or 2.83%, on the BSE today March 12.
(Edited by : Shoma Bhattacharjee)
First Published: Mar 12, 2026 5:42 PM IST
