Elecon Engineering Company

Other income rose 8.02% to Rs 19.79 crore.  PBIDT rose 16.48% to Rs 167.69 crore.  Provision for interest rose 81.55% to Rs 10.33 crore.   PBDT rose 13.81% to Rs 157.36 crore.  Provision for depreciation rose 28.96% to Rs 32.6 crore.   Profit before tax grew 10.42% to Rs 124.76 crore.  Share of profit/loss were nil in both the periods.  Provision for tax was expense of Rs 28.41 crore, compared to Rs 25.27 crore.  Effective tax rate was 22.77% compared to 22.36%. Minority interest was nil in both the periods.  Net profit attributable to owners of the company increased 9.84% to Rs 96.35 crore.  

• Sales of Material Handling Equipment segment has gone up 8.65% to Rs 158.65 crore (accounting for 24.55% of total sales).  Sales of Transmission Equipment segment has gone up 10.57% to Rs 487.69 crore (accounting for 75.45% of total sales).  
• Profit before interest, tax and other unallocable items (PBIT) has jumped 14.21% to Rs 142.57 crore.  PBIT of Material Handling Equipment segment fell 13.33% to Rs 34.65 crore (accounting for 24.30% of total PBIT).  PBIT of Transmission Equipment segment rose 27.19% to Rs 107.92 crore (accounting for 75.70% of total PBIT).  
• PBIT margin of Material Handling Equipment segment fell from 27.38% to 21.84%.  PBIT margin of Transmission Equipment segment rose from 19.24% to 22.13%.  Overall PBIT margin rose from 21.26% to 22.06%.  
•  

 For year-to-date (YTD) results analysis.

Net sales (including other operating income) of Elecon Engineering Company has increased 8.50% to Rs 1159.5 crore. Operating profit margin has declined from 23.95% to 22.17%, leading to 0.42% rise in operating profit to Rs 257.02 crore.  Raw material cost as a % of total sales (net of stock adjustments) increased from 45.09% to 46.14%.   Employee cost decreased from 10.84% to 10.57%.   Other expenses rose from 20.35% to 21.97%.   Other direct service cost rose from 7.92% to 9.77%.   

Other income fell 6.82% to Rs 41.7 crore.  PBIDT fell 0.66% to Rs 298.72 crore.  Provision for interest rose 55.74% to Rs 18.44 crore.  PBDT fell 2.97% to Rs 280.28 crore.  Provision for depreciation rose 25.17% to Rs 62.36 crore.  Profit before tax down 8.83% to Rs 217.92 crore.  Share of profit/loss were nil in both the periods.  Provision for tax was expense of Rs 51.22 crore, compared to Rs 56.95 crore.  Effective tax rate was 23.50% compared to 17.79%. Minority interest was nil in both the periods.  Net profit attributable to owners of the company decreased 36.65% to Rs 166.70 crore.  

• Sales of Material Handling Equipment segment has gone down 4.94% to Rs 270.29 crore (accounting for 23.03% of total sales).  Sales of Transmission Equipment segment has gone up 13.15% to Rs 903.31 crore (accounting for 76.97% of total sales).  
• Profit before interest, tax and other unallocable items (PBIT) has slumped 2.15% to Rs 247.80 crore.  PBIT of Material Handling Equipment segment fell 36.79% to Rs 65.35 crore (accounting for 26.37% of total PBIT).  PBIT of Transmission Equipment segment rose 21.76% to Rs 182.45 crore (accounting for 73.63% of total PBIT).  
• PBIT margin of Material Handling Equipment segment fell from 36.36% to 24.18%.  PBIT margin of Transmission Equipment segment rose from 18.77% to 20.20%.  Overall PBIT margin fell from 23.39% to 21.11%.  

Commenting on the results, Mr. Prayasvin B. Patel, Chairman & Managing Director of Elecon Engineering Company Ltd. said, ?Q2 FY27 marked another quarter of healthy performance for Elecon, with Consolidated Revenue growing 10.5% Y-o-Y to ?639 crores, while EBITDA increased 17.7% to ?148 crores. EBITDA margin expanded by 140 bps to 23.1%, supported by a higher contribution from the gear division, driven by disciplined execution and the ability to maintain operations through challenges. Profit After Tax stood at ?96 crores, with a PAT margin of 15.1%. For H1 FY27, revenue stood at ?1,160 crores, representing 11.1% growth over adjusted H1 FY26, while adjusted EBITDA grew 11.4% to ?257 crores with a margin of 22.2%. Our Gear Division continued to drive growth, with Q2 revenue increasing 10.6% Y-o-Y to ?488 crores and EBIT growing 27.2% to ?108 crores, resulting in an improved EBIT margin of 22.1%. The division also maintained healthy momentum during H1 FY27, with revenue increasing 13.1% and EBIT growing 21.8%. The open order book for the division stood at ?1,056 crores, providing a strong executable backlog. The Material Handling Equipment (MHE) Division reported Q2 revenue of ?151 crores, registering growth of 10.4% Y-o-Y. However, EBIT margin moderated to 20.2%, due to an unfavorable product mix, and slower project execution. Encouragingly, MHE order intake grew 32.5% Y-o-Y to ?253 crores, including overseas orders of ?68 crores, while the open order book increased 27.3% to ?579 crores. Our overseas business, comprising exports and overseas subsidiaries, continued to gain momentum, with revenue reaching ?159 crores during Q2 FY27, and registering 30.6% Y-o-Y growth. While global macroeconomic and geopolitical uncertainties persist, we remain focused on strengthening our reach across international markets. Our consolidated order intake increased 8.4% Y-o-Y to ?746 crores during Q2 FY27 and 15.3% to ?1,501 crores during H1 FY27. The consolidated open order book stood at ?1,635 crores as of 30th September 2026, up approximately 33% Y-o-Y, with healthy contributions from both divisions. Our robust order book not only provides strong revenue visibility but also reinforces our confidence in continuing to be the preferred choice of our customers. As we mark 75 years of Elecon, we remain focused on strengthening our leadership in industrial gear solutions and material handling equipment, expanding our international presence, and advancing our engineering and manufacturing capabilities to create sustainable long-term value for all our stakeholders.? 

Others

Equity capital stood at Rs 22.44 crore as of 30 September 2026 to Rs 22.44 crore as of 30 September 2025.  Per share face Value remained same at Rs 1.00.  

Promoters? stake was 59.27% as of 30 September 2026 ,compared to 59.27% as of 30 September 2025 .  

Loan funds rose to Rs 361.36 crore as of 30 September 2026 from Rs 257.84 crore as of 30 September 2025.  Inventories rose to Rs 370.50 crore as of 30 September 2026 from Rs 272.19 crore as of 30 September 2025.  Sundry debtors were higher at Rs 602.46 crore as of 30 September 2026 compared to Rs 511.07 crore as of 30 September 2025.  Cash and bank balance declined from Rs 311.26 crore as of 30 September 2025 to Rs 297.46 crore as of 30 September 2026.  Investments rose to Rs 916.67 crore as of 30 September 2026 from Rs 683.96 crore as of 30 September 2025 .  

Fixed assets increased to Rs 1,083.82 crore as of 30 September 2026 from Rs 899.22 crore as of 30 September 2025.  Intangible assets declined from Rs 130.50 crore to Rs 25.96 crore. 

Cash flow from operating activities increased to Rs 241.93 crore for YTD ended September 2026 from Rs 165.20 crore for YTD ended September 2025.  Cash flow used in acquiring fixed assets during the YTD ended September 2026 stood at Rs 111.17 crore, compared to Rs 62.27 crore during the YTD ended September 2025.