L G Balakrishnan & Bros' Q2 FY 2025-26 Quarterly Results

Result Summary

• L G Balakrishnan & Bros Ltd reported a 19.2% 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 18.8%.
• Its expenses for the quarter were up by 15.7% QoQ and 18.5% YoY.
• The net profit increased 39.8% QoQ and increased 20.7% YoY.
• The earnings per share (EPS) of L G Balakrishnan & Bros Ltd stood at 29.36 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

L G Balakrishnan & Bros Ltd is a company known for its presence in the automotive sector, primarily involved in manufacturing transmission products. The company operates in the industrial equipment industry, focusing on producing high-quality chains, sprockets, tensioners, and belts, which are essential components in vehicles. While specific recent developments are not detailed in the provided data, the company is generally recognized for its commitment to innovation and quality, serving both domestic and international markets. Information regarding any significant changes or strategic initiatives in the recent quarters is not available in the given data.

Revenue

For the second quarter of the fiscal year 2026 (Q2FY26), L G Balakrishnan & Bros Ltd reported a total income of ₹801.53 crores. This marks a substantial increase of 19.2% from the previous quarter (Q1FY26), where the total income was ₹672.20 crores. In comparison to the same quarter in the prior year (Q2FY25), the total income rose by 18.8% from ₹674.89 crores. This growth in revenue over both the quarter-over-quarter (QoQ) and year-over-year (YoY) periods highlights a strong revenue performance. Such growth trends are indicative of the company's continued expansion and ability to generate increased sales.

Profitability

The company's profitability metrics show a positive trajectory, with the Profit Before Tax (PBT) for Q2FY26 standing at ₹120.31 crores. This represents a 31.9% increase from the previous quarter's PBT of ₹91.20 crores and a 16.9% rise from the PBT of ₹102.88 crores in Q2FY25. After accounting for tax expenses, the Profit After Tax (PAT) for Q2FY26 was ₹93.65 crores, which is a 39.8% increase from the ₹66.97 crores reported in Q1FY26, and a 20.7% increase from ₹77.58 crores in Q2FY25. These figures reflect a notable improvement in profitability, supported by an EPS of ₹29.36 in Q2FY26, compared to ₹21.00 in Q1FY26 and ₹24.31 in Q2FY25, showcasing a 39.8% QoQ and 20.8% YoY enhancement in earnings per share.

Operating Metrics

The financial data indicates that L G Balakrishnan & Bros Ltd had total expenses of ₹681.78 crores in Q2FY26, which is an increase from ₹589.38 crores in Q1FY26 and ₹575.22 crores in Q2FY25. The QoQ rise in expenses is 15.7%, while the YoY increase is 18.5%. Despite the increase in expenses, the company's ability to maintain a higher income growth rate relative to expenses suggests effective cost management strategies. The tax expense for Q2FY26 amounted to ₹26.65 crores, slightly above the ₹24.23 crores in Q1FY26 and ₹25.30 crores in Q2FY25, indicating a 10% QoQ and 5.3% YoY rise. These metrics provide insights into the operational efficiencies and cost structures impacting the company's financial performance.