Electrotherm (India)'s Q2 FY 2025-26 Quarterly Results

Result Summary

• Electrotherm (India) Ltd reported a 2.3% quarter-on-quarter (QoQ) decrease in its consolidated revenues for the quarter-ended Sep (Q2 FY 2025-26). On a year-on-year (YoY) basis, it witnessed a growth of 0.0%.
• Its expenses for the quarter were up by 5.4% QoQ and 9.8% YoY.
• The net profit decreased 177.9% QoQ and decreased 136.4% YoY.
• The earnings per share (EPS) of Electrotherm (India) Ltd declined at 16.97 during Q2 FY 2025-26.

Financial Statments for Q2 FY 2025-26

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Electrotherm (India) Ltd is a company that operates in the engineering and manufacturing sector, primarily focusing on products and services related to steel, electric vehicles, and renewable energy. As of the latest updates, Electrotherm has been involved in the production of induction melting furnaces, electric arc furnaces, and other industrial equipment. The company also engages in the manufacture of electric vehicles and offers engineering solutions for renewable energy projects. Recent developments include ongoing efforts to expand its market presence in the electric vehicle segment, which is gaining importance due to the global shift towards sustainable transportation solutions. However, specific recent major developments within the company are not available from the provided data.

Revenue

In Q2FY26, Electrotherm (India) Ltd reported a total income of ₹815.61 crores. This represents a slight decrease of 2.3% on a quarter-over-quarter (QoQ) basis from ₹834.82 crores in Q1FY26. When compared to the same quarter in the previous fiscal year, the revenue remained almost flat, showing a negligible year-over-year (YoY) change of 0.0%. The consistent revenue performance YoY suggests stability in income generation despite the QoQ decline. It is crucial to note that the total income has not shown significant growth from Q2FY25 to Q2FY26, maintaining a steady trajectory over the year.

Profitability

For Q2FY26, Electrotherm (India) Ltd experienced a loss in profitability with a Profit Before Tax (PBT) of -₹28.49 crores, a significant decrease from a profit of ₹33.76 crores reported in Q1FY26, marking a decline of 184.4% QoQ. Compared to Q2FY25, when the company had a PBT of ₹59.41 crores, there was a stark decline of 148.0% YoY. The impact on the bottom line is further reflected in the Profit After Tax (PAT), which also showed a loss of ₹21.62 crores for Q2FY26, compared to a profit of ₹27.75 crores in Q1FY26, down by 177.9% QoQ. The YoY comparison also indicates a decrease of 136.4% from a PAT of ₹59.47 crores in Q2FY25. Earnings Per Share (EPS) followed a similar pattern, dropping from ₹21.78 in Q1FY26 to -₹16.97 in Q2FY26, and from ₹46.68 in Q2FY25, reflecting the declines in profitability metrics.

Operating Metrics

The company's financial data for Q2FY26 reveals that total expenses increased to ₹844.10 crores, up from ₹801.06 crores in Q1FY26, representing a 5.4% increase QoQ. Compared to Q2FY25, total expenses rose by 9.8% from ₹768.91 crores, indicating a YoY increase in operating costs. The increase in expenses both QoQ and YoY contrasts with the stable revenue, creating a scenario where the company is experiencing higher costs without a corresponding increase in income. The tax figures for the quarter show a tax credit of ₹6.81 crores in Q2FY26, compared to a tax expense of ₹6.07 crores in Q1FY26, and no tax expense in Q2FY25. This adjustment in tax figures contributes to the overall financial performance and is indicative of the company's tax management strategies during the period.