HLE Glascoat's Q2 FY 2025-26 Quarterly Results

Result Summary

• HLE Glascoat Ltd reported a 23.2% quarter-on-quarter (QoQ) increase 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 48.7%.
• Its expenses for the quarter were up by 25.5% QoQ and 51.9% YoY.
• The net profit decreased 21.8% QoQ and decreased 3.2% YoY.
• The earnings per share (EPS) of HLE Glascoat Ltd stood at 1.76 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

HLE Glascoat Ltd is a company that operates primarily within the industrial manufacturing sector, focusing on the production and distribution of equipment for chemical and pharmaceutical industries. The company is known for its high-quality glass-lined equipment, which is essential in various manufacturing processes that require corrosion-resistant materials. HLE Glascoat has established a significant presence in its niche market, serving both domestic and international clients. While specific recent major developments are not provided in this analysis, the company's strategic initiatives typically center around expanding its product line and enhancing production capabilities to meet growing industry demands.

Revenue

In Q2FY26, HLE Glascoat Ltd reported a total income of ₹352.71 crores. This marks a robust increase of 23.2% compared to the previous quarter (Q1FY26), where the total income was ₹286.19 crores. Year-over-year, the company experienced a substantial growth of 48.7%, up from ₹237.17 crores in Q2FY25. The rise in revenue reflects HLE Glascoat's strong market position and its ability to capitalize on increased demand within its industry. Such revenue growth is indicative of the company's successful sales strategies and possibly an expanded customer base or product offering.

Profitability

During Q2FY26, the company recorded a profit before tax of ₹19.16 crores, which represents a decrease of 16.3% from the previous quarter (Q1FY26), where profit before tax was ₹22.89 crores. Comparing year-over-year, the profit before tax shows a slight decline of 1.9% from ₹19.53 crores in Q2FY25. After accounting for taxes, the profit after tax for Q2FY26 stood at ₹13.96 crores, down by 21.8% from Q1FY26's ₹17.86 crores and a decrease of 3.2% compared to ₹14.42 crores in Q2FY25. This decline in profitability may be attributed to increased expenses that outpaced revenue growth during the quarter.

Operating Metrics

The company's total expenses for Q2FY26 were ₹330.48 crores, increasing by 25.5% from Q1FY26's ₹263.31 crores and a 51.9% increase from ₹217.63 crores in Q2FY25. The significant rise in expenses on both a quarter-over-quarter and year-over-year basis highlights the company's operational costs and possibly investments into areas such as production capacity or workforce. The earnings per share (EPS) for Q2FY26 was ₹1.76, which is a decrease of 32.8% from the previous quarter's ₹2.62 and a 16.6% decrease year-over-year from ₹2.11 in Q2FY25. This indicates a reduction in per-share earnings despite the increase in total income, suggesting that expenses had a notable impact on net profitability per shareholder.