Elgi Equipments reported consolidated revenue of ₹968 crore in Q2 FY26, marking an 11.4% year-on-year growth, alongside a 28.2% surge in net profit to ₹121 crore. Despite robust top-line growth, EBITDA margins contracted amid rising costs, reflecting margin pressures in a competitive environment.
Elgi Equipments Limited unveiled its consolidated financial results for the quarter ended September 30, 2025, showcasing notable growth in top-line and profitability. The company's revenue from operations reached ₹968 crore, up 11.4% compared to the prior year, driven primarily by its core air compressors segment. Meanwhile, net profit soared 28.2% year-on-year to ₹121 crore, signaling improved operational efficiency and better cost controls in key areas.
However, the earnings before interest, taxes, depreciation, and amortization (EBITDA) remained flat at ₹140 crore, leading to a contraction in EBITDA margin from 16.3% to 14.5%. This decline indicates margin pressure due to increasing input costs and competitive pricing dynamics. Operating expenses and employee costs rose, impacting the overall profitability ratios.
Earnings per share (EPS) for the quarter stood at ₹2.99, reflecting strong shareholder returns. The company’s management emphasized ongoing investments in innovation and geographic expansion to sustain growth momentum.
Elgi's diversified product portfolio, primarily led by air compressors, accounted for over 90% of revenues, supplemented by automotive equipment sales. These results reinforce Elgi's position in the industrial machinery sector amid evolving market conditions.
Important points:
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Consolidated revenue rose to ₹968 crore, up 11.4% year-on-year
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Net profit jumped 28.2% to ₹121 crore for Q2 FY26
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EBITDA flat at ₹140 crore; EBITDA margin declined by 184 basis points to 14.5%
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Earnings per share at ₹2.99, reflecting robust profitability
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Core segment air compressors contribute over 90% of revenues
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Increased operational costs led to margin pressures
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Focus on innovation and market expansion remains key strategic priority
Source: NSE Circular, Elgi Equipments official disclosures, Market trusted data providers.