Menu

EarningsUpdate

PB Fintech Q2 FY26: Revenue +38% YoY, Profit +165% YoY on Strong Insurance Premium Growth
Equities, Markets, Result Updates - December 16, 2025

PB Fintech Q2 FY26: Revenue +38% YoY, Profit +165% YoY on Strong Insurance Premium Growth

PB Fintech Q2 FY26: Revenue +38% YoY, Profit +165% YoY on Strong Insurance Premium Growth

PB Fintech, the parent of Policybazaar and Paisabazaar, reported robust quarterly results for the quarter ended September 30, 2025. Operating revenue grew meaningfully, driven by higher insurance premiums and better performance in protection products. Net profit expanded sharply as the business scaled and operating efficiency improved. The quarter reflects sustained strength in online insurance distribution and a gradual recovery in credit and new initiatives.

*Key Highlights*
* Revenue from Operations: ₹1,613.5 crore in Q2 FY26: +38% YoY from ₹1,167.2 crore in Q2 FY25.
* Profit After Tax (PAT): ₹135 crore in Q2 FY26: +165% YoY from ₹50.7 crore in Q2 FY25.
* Sequential Growth: Revenue up ~20% QoQ and PAT up ~59% QoQ.
* Total Insurance Premium (ARR): ₹304 billion in Q2 FY26 (a high premium run-rate figure from company investor page).
* Insurance Policies Sold: ~59 million total policies sold cumulatively till Sep 2025, showing scale of the platform.
* Loan Disbursals (Credit Marketplace): ₹343 billion (annualised run rate).
* Credit Score Customers: ~54.8 million users in credit ecosystem.

*Revenue & Profit Analysis*
For Q2 FY26, PB Fintech reported ₹1,613.5 crore in operating revenue, a 38% increase over the same quarter last year. This growth was largely driven by strong performance in insurance brokerage (the core business) and higher insurance premium collections. Sequentially the company also grew ~20%, suggesting healthy momentum beyond year-ago base effects. Profit jumped more sharply: PAT rose 165% YoY to ₹135 crore, as the company scaled revenue and improved operating leverage. Margin improvements reflected not only higher volumes but also cost discipline in marketing and employee spending relative to revenue growth. This indicates that PB Fintech is now converting scale into more profitable operations, moving away from the earlier low-margin or loss phases typical of growth-stage fintech firms.

*Segment & Business Performance*
Insurance Broking (Policybazaar) remains the biggest revenue engine. Growth in insurance premium (up ~40% YoY) and protection verticals (like health & term plans) drove topline strength. The surge in insurance premium helped revenue and profit expand in Q2.
Credit Marketplace (Paisabazaar) also showed signs of recovery. Credit revenue was reported at ~₹106 crore and loan disbursals were strong (₹2,280 crore in credit disbursals for core online business per some reports), showing activity picking up in lending products within the PB ecosystem.
The PB Partners agent aggregator network expanded significantly, with presence across most of India’s pincodes. This expansion broadens reach and supports future revenue from both insurance and credit verticals.

*Cost & Efficiency Trends*
While company filings do not break down all expenses in detail, external filings indicate that employee costs and marketing expenses grew at a much slower pace than revenue, aiding margin expansion. This improved cost efficiency contributed to stronger EBITDA and PAT growth.

*Balance Sheet & Scale Metrics*
PB Fintech’s insurance premium run rate is ₹304 billion and loan disbursals run rate is ₹343 billion. These high run rates highlight the scale of policy sales and credit distribution the platform is generating. Credit score customer base of ~54.8 million underscores the depth of the company’s ecosystem in the financial-services market.

*Management Commentary & Outlook*
The company’s press release indicated broad-based growth across insurance protection products (health & term insurance) and improved contribution from renewal revenue streams. Management also highlighted the expansion of the agent network through PB Partners and stronger performance from Paisabazaar’s credit marketplace. These initiatives are aimed at diversifying revenue streams and improving customer engagement across financial products. Overall, the outlook is positive: the core insurance business remains strong, and newer initiatives show early signs of contributing more meaningfully to revenue.

*Valuation Outlook*
PB Fintech’s Q2 performance places it on a clearer path to profitability, which historically was a concern for many tech-led marketplaces. The +38% revenue growth and +165% profit increase suggest improving operational leverage. This means a company that is still growing its top line strongly while starting to deliver sustainable profits. However, valuation is viewed in the context of the company’s business model and risk profile:
* PB Fintech earns most of its revenue from insurance brokerage, which is a high-growth but competitive sector.
* The credit and Paisabazaar segment, while growing, has regulatory and credit risk elements.
* Profit margins are improving, but continued invest-to-grow strategy (e.g., marketing, new initiatives) can weigh on near-term margins.

*Conclusion*
PB Fintech’s Q2 FY26 results were strong and investor-friendly. Revenue grew ~38% YoY while profit expanded ~165% YoY, driven by a stronger insurance business and improving operating efficiency. Scale metrics like insurance premium run rate and large policy count reinforce the company’s leadership in online insurance. While new segments like credit and agent aggregator platforms are evolving, the core business continues to drive profitable growth. For long-term investors, the results reflect both growth and improving profitability, a combination that supports confidence, provided market conditions remain stable.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Chalet Hotels Q2 FY26: Revenue Nearly Doubles Year-on-Year and Profit Turns Positive After Last Year’s Loss

, , , , , , 0 Comment
Read More
Shree Renuka Sugars Q2 FY26: Revenue Holds Up Seasonally, But Loss Widened Sharply as Costs Bite
Equities, Markets, Result Updates - December 12, 2025

Shree Renuka Sugars Q2 FY26: Revenue Holds Up Seasonally, But Loss Widened Sharply as Costs Bite

Shree Renuka Sugars Q2 FY26: Revenue Holds Up Seasonally, But Loss Widened Sharply as Costs Bite

Shree Renuka Sugars saw a modest uptick in its revenue this quarter compared with the previous quarter, but the business remains under severe strain. Inputs costs, weak realisations and operating losses caused the company to report a large net loss. While the revenue bump suggests some seasonal/ operational resilience, the sharp loss underscores deep challenges in the sugar and allied businesses. The quarter signals caution: revenue isn’t enough, margins and cost structure remain weak.

*Key Highlights*
* Revenue from operations (standalone): ₹ 2,323.3 crore in Q2 FY26.
* Quarterly total income (consolidated): ₹ 2,422.8 crore in Q2 FY26.
* Net loss (PAT) (consolidated): ₹ 368.6 crore in Q2 FY26 (vs a small loss of ₹22.3 crore in Q2 FY25).
* Profit-before-tax (PBT): Loss of ₹ 401.3 crore in Q2 FY26.
* EPS (diluted): -₹1.73 per share (vs -₹0.10 per share in Q2 FY25).
* Operating profit (PBDIT, excluding other income): Loss of ₹ 182.2 crore (vs profit of ₹227.4 crore in Q2 FY25).
* Segment-wise: Sugar refinery division revenue was ₹ 1,667.2 crore, but it made a PBT loss of ₹ 35.6 crore (vs profit of ₹ 300.8 crore a year ago). Sugar-milling business also reported a loss.

*Revenue & Profit Analysis*
Revenue from operations this quarter at ₹ 2,323.3 crore shows small change compared with last year, indicating that demand or sales volume for their products didn’t collapse completely. However, the profit side was painful. The company swung into a heavy loss ₹368.6 crore because operating costs far outstripped revenue. The PBDIT loss of ₹182.2 crore (versus a profit last year) shows that core operations are under stress. The slide in profitability shows up in EPS too: from a small negative in Q2 FY25 to -₹1.73 this quarter. This signals that shareholders’ capital is under pressure and returns remain negative. So, while the company managed to sell sugar/ products worth similar value as last year, the cost structure and business environment turned unfavourable resulting in sharp losses instead of modest results.

*Business Segment Performance & What Went Wrong*
Shree Renuka runs multiple businesses: sugar-milling and refining, distillery, power/ co-generation, trading etc. In Q2 FY26:
* Sugar-refinery business: Revenue ~₹1,667.2 crore. But it reported a PBT loss of ₹35.6 crore (versus profit of ~₹300.8 crore a year ago).
* Sugar-milling: Also loss-making this quarter. Milling business posted a loss of ₹68.7 crore.
* Distillery: This was a small positive, some profit (₹1.4 crore) but tiny compared with overall losses.
* Co-generation (power from bagasse/ mills) and trading businesses did not offset the losses, co-generation saw a loss, trading gave small profit.
In effect: most of their core sugar-refining and milling businesses are loss-making this quarter. The small gains in distillery/ trading are not sufficient to offset the losses.
Likely reasons: weak sugar realisations, high input costs (raw material, labour, fuel), possibly GST/ levy/ stock-price issues and adverse industry-level conditions.

*Risk & Key Challenges*
* Negative margins and heavy losses: The loss of ₹ 368.6 crore is a clear red flag. If this continues, risk to solvency and shareholder value increases.
* Volatile commodity and sugar price cycles: Sugar prices globally and domestically fluctuate widely. Company’s profitability is very sensitive to sugar price and raw-material cost swings.
* Dependence on allied businesses: Distillery or power business may not always perform; they are small now. Sugar milling/refining remains the mainstay but that is weak this quarter.
* Working-capital and debt burden: Losses erode internal accruals, liquidity & debt-repayment capacity may be under stress.

*Management Actions & Other Developments*
One positive note: the company’s board has approved a conversion of a loan of one subsidiary into equity (KBK Chem-Engineering Pvt Ltd). This may help clean up the balance sheet slightly. But this alone is unlikely to offset the large operating losses. Until the sugar business recovers (better prices, lower costs), the company will remain under pressure.

*Conclusion*
This quarter for Shree Renuka Sugars was tough and disappointing. While the top-line was relatively stable, the business is significantly loss-making. That means a lot of concern around their core business viability in current market conditions. The key takeaway is: this is a high-risk situation. Unless sugar prices firm up or company restructures operations/ cost base, the losses may continue. At present, this stock seems speculative and would need a catalyst (price recovery, turnaround in costs, favourable policy) to think of it as a buy.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Netflix vs Paramount in the Fight for Warner Bros- What Investors Need to Know

, , , , , , 0 Comment
Read More
Bank of Baroda Q2 FY26: Strong Loan & Deposit Growth but Profit Softens on Lower Other Income
Banking, Markets, Result Updates - December 12, 2025

Bank of Baroda Q2 FY26: Strong Loan & Deposit Growth but Profit Softens on Lower Other Income

Bank of Baroda Q2 FY26: Strong Loan & Deposit Growth but Profit Softens on Lower Other Income

Bank of Baroda reported a healthy quarter with growth in loans and deposits that reflects continued demand for credit and strong franchise build-up. However, profit for the quarter was lower on a YoY basis mainly because non-interest income fell sharply and recoveries were weaker. Core earnings from net interest income improved, margins are holding up and asset quality showed signs of improvement.

*Key Highlights*
* Net Profit (PAT): ₹4,809 crore in Q2 FY26: down ~8.2% YoY (vs ₹5,238 crore in Q2 FY25).
* Net Interest Income (NII): ₹11,954 crore: +2.7% YoY.
* Net Interest Margin (NIM): 2.96% in Q2 FY26: modest improvement sequentially, slightly lower YoY.
* Non-Interest Income: ₹3,515 crore: down ~32% YoY due to weaker recoveries and treasury gains.
* Advances (Loans): ₹12.79 trillion: +11.9% YoY, showing broad credit growth including retail.
* Deposits: ₹15.00 trillion: +9.3% YoY.
* Retail Lending Growth: Retail advances up ~17.5% YoY.
* Asset Quality: Gross NPA improved to ~2.16% and Net NPA fell to ~0.57%.
* Slippage Ratio: ~0.91% showing stable credit control.
* Capital Adequacy (CRAR): ~16.54% with Tier-I at ~14.15%.

*Revenue & Profit Analysis*
Bank of Baroda’s revenue mix shows a positive trajectory in core lending income. Net interest income, the difference between interest earned on loans and interest paid on deposits rose +2.7% YoY to ₹11,954 crore, indicating demand for loans remains strong and pricing power has held up reasonably well. However, non-interest income which includes fees, commissions, recoveries and treasury gains fell sharply by roughly a third. A key reason was a lower level of recoveries from written off accounts compared with last year’s strong base quarter. Together, this led to a ~8% decline in net profit even though core banking income from interest improved. For seq­uential context, profit was modestly better than Q1, showing some stabilisation.

*Balance Sheet & Asset Quality*
Business growth was a standout positive:
* Loans (advances) grew ~11.9% YoY to ₹12.79 trillion, led by retail segments.
* Deposits grew ~9.3% YoY to ₹15 trillion, showing confidence in the bank’s funding franchise.
Improving asset quality was another encouraging theme. Gross NPA ratio improved to ~2.16% and Net NPA ratio dropped to ~0.57%, suggesting better credit screening and lower stress in the loan book. The slippage ratio of ~0.91% also points to manageable additions to bad loans. Capital ratios remained comfortable, with CRAR ~16.54% and Tier-I at ~14.15%, giving the bank room to support future loan growth without jeopardizing financial strength.

*Business Drivers & Challenges*
1. Drivers:
* Retail credit momentum (17.5% growth in retail loans) helps diversify the loan mix and supports margins.
* Deposit growth near double digits strengthens the bank’s funding base.
* Improving asset quality reduces provisioning stress.
2. Challenges:
* Non-interest income contraction hurt profitability, emphasizing reliance on interest income.
* NIM pressure remains a common theme in the banking sector, though sequential improvement hints at more stable margins ahead.

*Management View & Outlook*
Management has highlighted that core lending demand remains strong and they aim to sustain loan growth in both retail and corporate segments. The bank expects margins to stay roughly in the current band as deposit repricing benefits continue to flow gradually into earnings. Asset quality improvement is being monitored through disciplined credit evaluation and provisioning policies. Given the competitive deposit environment and fluctuating non-interest earnings, the focus appears to stay on profit stability, balance sheet growth and NIM support in the coming quarters.

*Valuation Perspective*
Bank of Baroda is trading at a discount to private sector peers, which is typical for public sector banks given governance risk perceptions and slower revenue diversification. However:
* Strong franchise growth in advances and deposits suggests earnings can grow sustainably over the next 2–3 years.
* Improving asset quality means credit costs could stay controlled, supporting net profit expansion.
* Margins (NIM) stabilising near ~3% offers reasonable support for earnings sustainability.
For a long-term investor, the bank’s valuation should reflect a mid-cycle correction in profit with a path to earnings improvement over time as non-interest income recovers and the loan book mix improves. Considering sector norms, a moderate P/B (Price to Book) multiple that incorporates future growth (e.g., 0.7x–0.9x book over next 12–18 months, subject to market conditions) could be realistic, balancing strong growth in core loans with short-term profitability headwinds.

*Conclusion*
Overall, Bank of Baroda delivered a steady operational quarter with healthy growth in loans and deposits and improved asset quality, even though net profit softened due to weaker non-interest income and lower recoveries. Core banking performance remains strong: NII is growing, margins are stable and credit quality continues to improve, which keeps the earnings outlook constructive. While near-term profitability may remain uneven because of dependence on recoveries and treasury income, the bank’s balance sheet strength, capital adequacy and consistent loan growth position it well for gradual earnings improvement over the coming quarters.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

From private markets to full-stack investing: Inveniam acquires Swarm, a bet on asset-management evolution

, , , , , , 0 Comment
Read More
Torrent Power Q2 FY26: Profit Surges ~50%, Powered by Strong Generation and Lower Finance Costs
Equities, Markets, Result Updates - December 6, 2025

Torrent Power Q2 FY26: Profit Surges ~50%, Powered by Strong Generation and Lower Finance Costs

Torrent Power Q2 FY26: Profit Surges ~50%, Powered by Strong Generation and Lower Finance Costs

Torrent Power delivered a robust quarter, driven by better generation earnings and lower financial costs. Consolidated revenue rose nearly 10% YoY and net profit jumped about 50%. Generation and merchant power sales from its gas-based and other power plants boosted income, while stable operations in distribution supported underlying stability. Overall, the quarter reflects strong execution and improving financial health.

*Key Highlights*
* Consolidated Revenue from operations: ₹ 7,876 crore in Q2 FY26 (vs ₹ 7,176 crore in Q2 FY25), +9.8% YoY
* Consolidated Net Profit (PAT): ₹ 724 crore in Q2 FY26 (vs ₹ 481 crore in Q2 FY25), +50.5% YoY
* Generation/ Merchant power sales contribution rose, this was a major factor behind profit jump
* Lower finance cost helped improve bottom-line.

*Revenue & Profit Analysis*
Torrent Power’s top line grew by nearly 10% compared to last year, which suggests stable demand for its electricity generation, distribution, and merchant-sales business.
On the profit side, 50% rise in PAT is impressive, significantly outperforming revenue growth. The main reasons: stronger power generation revenues (especially from merchant sales) and lower finance costs. That shows the company is getting more value from its generation assets and managing its debt-servicing costs effectively.

*Business & Operational Performance*
1. Generation & Merchant Power Sales: This quarter, increased generation from gas-based and other plants and higher merchant sales were key. That contributed substantially to growth in total operating income and PAT.
2. Distribution Business (Power Supply & T&D): Torrent Power continues to have a large distribution footprint (serving multiple cities and regions). While generation drove the jump this quarter, the distribution business provides a stable base and recurring revenue, helping stabilise results over cycles.
3. Renewables & Diversification: The company’s renewable generation and other power-generation lines also contributed to income, supporting overall growth beyond conventional business.

*Strengths and Key Risks to Monitor*
1. Strengths:
* Merchant/ generation sales are high, which boosts margins vs distribution.
* Lower finance cost is benefiting profitability.
* Diversified business mix: generation, distribution and renewables helps absorb fluctuations in any single line.
2. Risks:
* Generation-business profits often depend on fuel costs, merchant-tariff environment and regulatory conditions — any adverse change could hurt margins.
* Distribution business has its own risks (demand patterns, payment receivables, regulatory/tariff pressure).
* As the company grows capacity, depreciation and interest costs may rise, these need to be balanced by sustained utilisation and sales.

*Management Moves & Strategic Signals*
According to recent disclosures, the company is investing to expand generation capacity and continues to explore renewable energy and other long-term projects. The improved performance this quarter reinforces the strategy of balancing generation, merchant sales and stable distribution, giving the company flexibility and income diversification.

*Conclusion*
Torrent Power’s Q2 FY26 results are strong and confidence-boosting. The ~50% jump in profit demonstrates that the company is benefiting from generation assets and effective cost control. Torrent Power is not just a distribution-based utility but a diversified power play with generation, merchant sales, and renewables — which can yield good returns when execution holds. If the company continues to manage fuel costs, maintain high plant utilisation and balance debt repayment with growth, future quarters could deliver further upside.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

RVNL Q2 FY26: Revenue Creeps Up, But Profit and Margins Take a Hit

, , , , , , 0 Comment
Read More
RVNL Q2 FY26: Revenue Creeps Up, But Profit and Margins Take a Hit
Equities, Markets, Result Updates - December 6, 2025

RVNL Q2 FY26: Revenue Creeps Up, But Profit and Margins Take a Hit

RVNL Q2 FY26: Revenue Creeps Up, But Profit and Margins Take a Hit

RVNL saw a small rise in revenue during Q2 FY26, but profitability dropped notably. The construction and rail-infrastructure company delivered growth in topline, yet rising expenses and weaker operating margin dragged down net profit. The quarter signals steady work flow (orders and execution), but near-term earnings and cash flow remain under pressure, making it a mixed result, with better clarity needed in coming quarters.

*Key Highlights*
* Revenue from operations: ₹ 5,333.36 crore in Q2 FY26, up +3.8% YoY compared with ₹ 5,136.07 crore in Q2 FY25.
* Quarter-on-Quarter (QoQ) growth in revenue: +28.9% (vs Q1 FY26) reflects some recovery from a soft first quarter.
* Total Expenses: ₹ 5,015.00 crore (↑6.0% YoY, ↑26.2% QoQ), showing that cost pressures increased.
* Profit Before Tax (PBT): ₹ 318.36 crore, down ~21% YoY (from ₹ 404.55 crore last year), but up ~94% QoQ (from ₹ 164.04 crore in Q1 FY26).
* Profit After Tax (PAT): ₹ 230.52 crore in Q2 FY26, down ~19.7% YoY (vs ₹ 286.90 crore in Q2 FY25).
* Earnings Per Share (EPS): ₹ 1.10 in Q2 FY26 vs ₹ 1.38 in Q2 FY25 (YoY decline) but up vs Q1 FY26.
* EBITDA: ₹ 216.9 crore (or ~₹ 217 crore), down ~20.3% YoY; margin fell to ~4.2% (from ~5.6% in Q2 FY25).
* Order-book: The company reportedly has an order book worth around ₹ 90,000 crore, which provides 3–4 years of revenue visibility.

*Revenue & Profit Analysis*
RVNL’s topline grew modestly: +3.8% on a year-on-year basis. On a quarterly basis, revenue saw a healthy rebound, mainly due to pick-up in order execution after a muted Q1. But expenses rose faster than revenue, which squeezed operating margin significantly, EBITDA dropped ~20% YoY, and margin compressed to 4.2%. As a result, although PBT increased from Q1, PAT fell nearly 20% compared with the same quarter last year. This suggests cost dynamics and contract mix (more lower-margin EPC work) weighed on profitability, offsetting stable execution and revenue growth.

*Business & Order-Book Position*
RVNL is the infrastructure-arm of Indian railways: building new lines, doubling/tripling tracks, electrification, railway bridges, metro/ urban-rail projects, etc. As of Q2 FY26, RVNL’s order book is around ₹ 90,000 crore, giving it visibility for the next 3–4 years. About half of these are newer, competitively bid contracts, the rest are legacy railway projects. This backlog is a strong positive: it means even if this quarter was weak, RVNL has enough work lined up that can help revenue over the medium term, provided execution remains on track and cost control improves.

*Areas of Concern*
* Operating margin shrinking: falling to ~4.2% from ~5.6% last year. This indicates cost pressures (raw material, labour, project delays, higher overheads) or a shift towards lower-margin contracts.
* Profit drop despite revenue growth: a nearly 20% fall in PAT shows that topline growth alone isn’t enough, profitability depends heavily on project mix and execution efficiency.
* Negative cash flow trend: some reports suggest cash flow from operations turned negative this quarter, which can raise concerns about working capital and liquidity if it persists.
* Market reaction: following the results, RVNL shares dropped around 3%, indicating investor disappointment with margins and profit drop.

*What Could Help Going Forward*
* Better order execution with focus on higher-margin contracts (metro projects, electrification, rolling stock, O&M, etc.) rather than low-margin EPC. RVNL is expanding into such higher-value segments (rolling stock manufacturing, O&M, non-rail infrastructure) which may improve margin profile in future.
* Working capital and cost management: faster project completion, timely billing and collections and lean overhead can help margin recovery.
* Utilising strong order backlog: with ₹90,000 crore orders waiting, consistent execution and disciplined cost control could turn the long-term outlook positive again.

*Conclusion*
RVNL’s Q2 FY26 results are mixed. On one hand, the company continues to secure and hold a solid order backlog, and revenue showed growth, implying that demand and project pipeline remain intact. On the other hand, profitability and cash flow are under pressure, signalling that cost control, contract mix and execution efficiency need urgent attention. RVNL remains a long-term play on India’s rail and infrastructure push, but near-term performance may remain volatile. The stock could bounce back if management delivers on backlog efficiently and restores margins. Until then, the company presents a case of underlying strength with short-term execution risk.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Bosch Ltd Q2 FY26: Auto Demand Boosts Sales, Profit Inches Up Despite Higher Costs

, , , , , , 0 Comment
Read More
Bosch Ltd Q2 FY26: Auto Demand Boosts Sales, Profit Inches Up Despite Higher Costs
Autos, Business, Result Updates - December 6, 2025

Bosch Ltd Q2 FY26: Auto Demand Boosts Sales, Profit Inches Up Despite Higher Costs

Bosch Ltd Q2 FY26: Auto Demand Boosts Sales, Profit Inches Up Despite Higher Costs

Bosch posted a steady quarter: sales rose on the back of good demand in auto-parts and two-wheeler segments, helping overall revenue grow ~9% YoY. Profit after tax grew modestly as well, despite a rise in raw material and other costs. The performance reflects resilience in core demand, though cost inflation and material-price pressure remain visible.

*Key Highlights*
* Revenue from operations: ₹4,795 crore in Q2 FY26, up +9.1% YoY (vs ₹4,394 crore in Q2 FY25)
* Net Profit (PAT): ₹554 crore, up +3.4% YoY (vs ₹536 crore in same quarter last year)
* Total expenses: ₹4,274 crore, up +8.9% YoY — cost of materials consumed rose by ~10.6%
* Automotive segments (passenger car, off-highway, two-wheelers) saw healthy demand, power-solutions and other product categories also contributed.

*Revenue & Profit Analysis*
Bosch’s 9% jump in revenue shows demand held up well, especially in its auto-components business. Despite input-cost headwinds (material costs rising ~10.6%), the company managed to stay profitable. The modest +3.4% increase in net profit suggests margins have been squeezed, but Bosch appears to have absorbed the cost impact reasonably, helped by volume growth and perhaps a favourable product mix. Overall, the quarter reflects operational resilience rather than windfall gains.

*Business Segments & Demand Trends*
* Automotive & Mobility Parts: This continues to be Bosch’s bread-and-butter. Demand picked up in passenger cars, off-highway vehicles and two-wheelers, providing a stable base for revenue.
* Power-Solutions/ Consumer-Electronics & Other Businesses: These verticals also contributed, supporting the overall diversified structure of the company. Bosch’s wide product range beyond just auto parts helps cushion volatility in any single business.
Given its diversified business lines (auto parts, industrial products, consumer goods), Bosch is better placed than many peers to ride through short-term cycles.

*Costs & Challenges*
Cost of materials consumed rose notably (+10.6% YoY), contributing to the rise in total expenses. That squeezed margins a bit, explaining why profit growth (+3.4%) lagged behind revenue growth (+9.1%). As input costs remain volatile globally and domestically (for metals, plastics, etc.), Bosch, like many in auto-components space, will need to manage supply chains and cost efficiency tightly to keep profitability stable.

*Implications for Investors*
1. Positives to note:
* Demand for automobiles and two-wheelers seems stable, which supports Bosch’s core business.
* Diversified product mix (automotive and non-automotive) provides a cushion during downturns.
* A steady though modest profit growth indicates the company is navigating material-cost pressures reasonably well.
2. Risks to monitor:
* Input cost inflation (raw materials, components) remains a headwind, could squeeze margins if demand weakens.
* Auto-industry cycles: slowdowns in vehicle production or consumer demand may hit order books and sales.
* Need to keep a close eye on order backlog to assess sustainability.

*Conclusion*
Bosch’s Q2 FY26 results offer a picture of steady stability rather than dramatic growth. The company managed to grow sales and maintain profits despite cost headwinds, showing decent operational resilience. For long-term exposure in auto-components and diversified industrial businesses, Bosch appears to remain a solid bet, provided raw-material inflation and auto-sector cycles are handled carefully.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Alkem Labs Q2 FY26: Strong 17% Revenue Growth and Healthy Profit Gains Across India & Global Markets

, , , , , , 0 Comment
Read More
Alkem Labs Q2 FY26: Strong 17% Revenue Growth and Healthy Profit Gains Across India & Global Markets
Health, Markets, Result Updates - December 6, 2025

Alkem Labs Q2 FY26: Strong 17% Revenue Growth and Healthy Profit Gains Across India & Global Markets

Alkem Labs Q2 FY26: Strong 17% Revenue Growth and Healthy Profit Gains Across India & Global Markets

Alkem delivered a good quarter: its total revenue rose 17.2% YoY, led by healthy demand in India and robust international sales. EBITDA grew even faster, up 22.3% on better margins and operating leverage. Net profit rose by 11.1%, delivering a steady bottom line despite global market volatility. Both its domestic and international businesses contributed meaningfully, showing that Alkem’s diversified pharma footprint is working.

*Key Highlights*
* Total Revenue from Operations: ₹ 40,010 million, +17.2% YoY.
* India sales: ₹ 27,660 million, +12.4% YoY.
* International sales: ₹ 11,890 million, +29.5% YoY.
* Earnings Before Interest, Tax, Depreciation & Amortisation (EBITDA): ₹ 9,208 million, +22.3% YoY
* EBITDA margin: 23.0% (vs 22.0% a year ago).
* Net Profit (after minority interest): ₹ 7,651 million, +11.1% YoY.
* R&D expenses: ₹ 1,302 million, or 3.3% of total revenue (improved from 4.3% in Q2 FY25).

*Revenue & Profit Analysis*
Alkem’s revenue growth is broad-based: domestic business grew steadily (+12.4%), but international markets showed stronger momentum (+29.5%). This suggests demand from export markets remains robust, and Alkem’s global reach is paying off. EBITDA has grown more than revenue, up 22.3% vs 17.2% indicating that margins improved, likely due to better efficiencies or product mix. The EBITDA margin rose to 23.0%. Net profit rose 11.1%. The smaller rise compared to EBITDA likely reflects depreciation, interest, taxes and other non-operating costs, but overall profitability remains healthy. R&D spend decreased as a percentage of revenue (from ~4.3% to 3.3%), perhaps indicating improved scalability or prioritisation of high-return launches.

*Business Mix: Domestic vs International & Therapy-Level Strength*
1. Domestic Business:
* Domestic revenue contributed ~ 69.9% of total sales in Q2 FY26, down slightly from ~72.8% in Q2 FY25, reflecting relatively stronger growth in the international business.
* According to market-data from IQVIA (SSA), in the acute therapy segment, Alkem became the first company in the Indian Pharmaceutical Market (IPM) during Q2 FY26.
* In six of the important therapy areas: Anti-infectives, Gastrointestinal, Vitamins/ Minerals/ Nutraceuticals (VMN), Pain, Respiratory, Dermatology, Alkem out-performed the broader market by 2–3 times, underscoring strength in core therapy areas.
2. International Business:
* International sales rose nearly 30% YoY to ₹ 11,890 million.
* US sales (key global market) grew 28% YoY to ₹ 7,649 million, a sign that Alkem’s global generics and CDMO business is performing well.
* Non-US international sales also rose 32.4% YoY to ₹ 4,241 million, showing stable diversification into other geographies.

*What Looks Good & What to Watch*
1. Positives:
* Strong revenue growth, especially internationally, showing Alkem’s global business model is working.
* Margin expansion (higher EBITDA margin), indicates efficient operations or better product mix.
* Leadership in domestic acute therapy segment, gives confidence about core India business stability.
* Controlled R&D spend relative to revenue, could mean better capital efficiency or product maturity.
2. Points to Watch:
* Rising global competition and regulatory scrutiny in global generics markets (especially US) could pressure margins or approvals.
* R&D is still modest (3.3%), which may limit innovation or ability to launch novel drugs; long-term growth could need more investment.
* Forex/ global market risks: given a sizable portion of revenue comes from overseas, currency fluctuations or regulatory changes abroad could impact earnings.

*Management Outlook & What’s Ahead*
The company, via its CEO, noted that Q2 FY26 was “another strong quarter,” driven by robust demand across India, the US and other global markets along with healthy new product launches. The company appears confident about leveraging its global footprint, scaling up its international generics and CDMO business, while maintaining its core strength in India. Continued focus seems to be on product launches, operating leverage and market expansion. If Alkem can sustain this dual growth path (domestic and international) and navigate global regulatory/ competition challenges, it could keep delivering solid revenue and margin growth in coming quarters.

*Conclusion*
Alkem’s Q2 FY26 results show a well-balanced, growing pharmaceutical company. The strong growth in revenue and EBITDA, combined with a healthy mix of domestic and global markets, suggests that Alkem is not just riding local demand, it’s building a global presence too. While net profit growth is more modest, the underlying business looks stable and growing. Alkem appears to be a company with good execution, diversified markets, and potential for steady returns, provided global competition and regulatory pressures are managed well.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

TCS Q2 FY26: Broad-based Gains, Margin Edge and Bold AI Bets Amid Soft Growth

, , , , , , 0 Comment
Read More
TCS Q2 FY26: Broad-based Gains, Margin Edge and Bold AI Bets Amid Soft Growth
Equities, Markets, Result Updates - December 2, 2025

TCS Q2 FY26: Broad-based Gains, Margin Edge and Bold AI Bets Amid Soft Growth

TCS Q2 FY26: Broad-based Gains, Margin Edge and Bold AI Bets Amid Soft Growth

TCS posted a steady but not standout quarter: revenue inched up, profit improved slightly and margins strengthened, even as the company began pressing ahead with a long-term AI-focused investment plan. Revenue from operations came in at ₹65,799 crore, while consolidated net profit stood at ₹12,075 crore (+1.4% YoY). Operating margin improved to 25.2%, showing disciplined cost management despite only moderate volume growth. The company also announced an interim dividend of ₹11 per share and unveiled plans for a 1-GW AI data centre, signalling its ambition to lead enterprise AI services over the coming years.

*Key Highlights*
* Revenue from operations: ₹65,799 crore, up +2.4% YoY (vs ₹64,259 crore in Q2 FY25)
* QoQ revenue growth: +3.7%; constant-currency growth: +0.8%
* Operating margin: 25.2%, up +70 bps QoQ
* Net profit (PAT): ₹12,075 crore, up +1.4% YoY
* Net margin: ~19.6%
* Cash flow from operations: ~110% of net income
* Dividend declared: ₹11 per share (interim)
* Total Contract Value (TCV): US$10 billion added in the quarter.

*Revenue & Profit Analysis*
TCS delivered modest but steady revenue growth: +2.4% YoY and +3.7% QoQ indicate the company is holding its ground in a rough global IT environment. Constant-currency growth of 0.8% also points to a gradual return of momentum after earlier currency-related pressures.
The standout metric this quarter is margin performance. Operating margin at 25.2% (up 70 bps QoQ) and a net margin close to 19.6% show tight cost control and better utilisation. Profit growth remains mild but positive.
Cash generation stayed strong too, with operating cash flow higher than net income, reinforcing the company’s balance-sheet strength.

*Segment & Business Mix Performance*
Growth in Q2 came from multiple verticals and geographies:
1. Vertical trends (CC QoQ):
* BFSI: +1.1%
* Life Sciences & Healthcare: +3.4%
* Manufacturing: +1.6%
* Technology & Services Solutions (TSS): +1.8%
2. Geography mix:
North America remains the largest market (nearly 48.8% of revenue) though growth continues to be soft. Europe, Asia-Pacific and MEA added to the overall momentum. The diversified performance helps cushion volatility in any one segment. The US$10 billion TCV also points to a healthy deal pipeline for the coming quarters.

*Cost, Restructuring & Risks to Monitor*
This quarter included a one-time restructuring charge of ₹1,135 crore related to organisational changes and employee optimisation. Adjusted for this charge, underlying profitability would have been stronger. However, global macro uncertainty, muted spending in certain verticals and pressure on large discretionary IT deals continue to act as potential headwinds for faster revenue growth.

*Strategic Moves & Management Commentary*
TCS is clearly positioning itself for long-term, AI-led transformation. It announced plans to build a 1-GW AI data centre in India, signalling intent to scale AI-driven enterprise solutions. The acquisition of Salesforce specialist ListEngage strengthens its cloud, CRM and digital transformation capabilities.
Management highlighted continued investments in people, technology infrastructure and partnerships as demand for cloud, data and AI solutions continues to rise.

*Conclusion*
Q2 FY26 reflects a stable, well-run TCS: growth is moderate, margins have edged up and cash flows remain strong. Net profit rose +1.4%, supported by disciplined cost controls. The long-term bet on AI infrastructure and digital capabilities could become a major growth engine, though near-term acceleration may still depend on a revival in global tech spending and quicker deal conversions.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Adani Power Q2 FY26: Revenue Edges Up, EBITDA Steady and Profit Down ~11% on Higher Costs & Taxes

, , , , , , 0 Comment
Read More
Adani Power Q2 FY26: Revenue Edges Up, EBITDA Steady and Profit Down ~11% on Higher Costs & Taxes
Equities, Markets, Result Updates - December 2, 2025

Adani Power Q2 FY26: Revenue Edges Up, EBITDA Steady and Profit Down ~11% on Higher Costs & Taxes

Adani Power Q2 FY26: Revenue Edges Up, EBITDA Steady and Profit Down ~11% on Higher Costs & Taxes

Adani Power delivered a modestly better quarter in terms of topline and stable operations, but bottom-line profit declined owing to higher expenses and tax burden. Electric-power sales volume increased, revenue rose slightly, and EBITDA remained steady, showing core business resilience. However, net profit at ₹ 2,906-2,953 crore declined by about 11% YoY, underlining pressure from cost inflation and depreciation on recent capacity additions.

*Key Highlights*
* Total Revenue: ₹ 14,308 crore in Q2 FY26, up +1.7% YoY (vs ₹ 14,063 crore in Q2 FY25)
* Electric-power sales volume (consumption by customers): 23.7 BU (billion units), up +7.4% YoY (vs 22 BU in Q2 FY25)
* EBITDA: ₹ 6,001 crore in Q2 FY26 (vs ₹ 6,000 crore in Q2 FY25)
* Net Profit (PAT): ₹ 2,906 – 2,953 crore for Q2 FY26, down ~11% YoY (from ~₹ 3,332–3,331.8 crore in Q2 FY25)
* Earnings Per Share (EPS): ₹ 1.53 in Q2 FY26 (from ₹ 1.66 in Q2 FY25)
* New Power Purchase Agreements (PPA) added: 4.5 GW of long-term PPAs under SHAKTI scheme (2,400 MW, Bihar; 1,600 MW, Madhya Pradesh; 570 MW, Karnataka) by Oct 2025
* Total capacity (post-acquisition of Vidarbha Industries Power Ltd under Corporate Insolvency Resolution): 18,150 MW as on Q2 FY26

*Revenue & Profit Analysis*
Revenue grew only marginally (+1.7% YoY), reflecting slightly improved power sales volume. The increase in volume (electricity sold) helped counter the impact of softened merchant tariffs and softer demand under seasonal and weather pressures. EBITDA remained stable at ~₹ 6,001 crore, indicating that operational costs and efficiencies held up despite volatility in fuel and input costs.
However, the bottom line took a hit: net profit fell by ~11%, primarily because of higher depreciation (on new plants and capacity additions) and increased tax expense. This suggests that while operations are stable, the returns on newer capacity are yet to fully overcome cost and depreciation drag.

*Business & Operational Performance*
* Power Sales & Volume: The company reported 23.7 BU of power sales in Q2, a healthy +7.4% YoY growth despite monsoon-related demand softness and a high base quarter. This underscores steady demand from DISCOMs and industrial customers under long-term PPAs.
* PPA Book & Capacity Expansion: Securing 4.5 GW of fresh long-term PPAs under the SHAKTI scheme is a key positive. It improves visibility on future demand and revenue flows. Post the resolution-process acquisition, total generation capacity stands at ~18,150 MW, giving Adani Power a sizeable base for long-term generation and supply.
* Cost & Tariff Environment: Despite lower merchant-tariff realisation and import-coal cost volatility, the company maintained stable EBITDA, implying moderate fuel and input cost control.
* Balance-sheet moves & Consolidation: The quarter saw consolidation: several wholly-owned subsidiaries (e.g. power generation/ fuel management entities) were merged under Adani Power (appointed date April 1, 2025), which may improve administrative efficiency and reduce inter-company overhead.

*Risk Factors to Monitor*
* Tariff and Demand Volatility: Merchant-tariff volatility and demand fluctuations (especially due to monsoon, fuel cost or DISCOM payment delays) can affect realisation.
* High Depreciation & Interest Costs: Recent capacity additions increase depreciation and interest burden, so sustained utilisation and long-term PPAs are key for return on capital.
* Fuel & Coal Price Risk: As a thermal-power generator dependent on coal/imported fuel, global coal price swings or supply disruptions could impact margins.
* Capex & Debt Risk: Further expansions to reach 42 GW target by 2031–32 means more capex and possible debt.

*Management Commentary & Strategic Outlook*
According to the company, the quarter demonstrates Adani Power’s “robust and stable performance” even amid weather-driven demand fluctuations and lower merchant tariffs. The management highlights the securing of fresh long-term PPAs (4.5 GW) under the SHAKTI scheme as a strong signal of future demand stability.
The company is also working on its long-term growth goal: expanding capacity toward ~42 GW by FY 2031–32, backed by acquisition of stressed assets and future project pipelines. The consolidation of subsidiaries under the parent company is meant to simplify operations and reduce overhead.

*Conclusion*
Adani Power’s Q2 FY26 is a steady yet muted quarter. On one hand, power sales volume increased, revenue rose modestly and core operations held up, reflecting resilience in demand and execution. On the other hand, profitability dipped by ~11% because of higher depreciation, taxes and cost pressures, highlighting that scaling up capacity brings fixed-cost burden. In short, Adani Power remains a high-potential but cyclical power play, suitable if you’re comfortable with sectoral & commodity fluctuations, but needs careful monitoring of demand, costs and regulatory/ fuel risks.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Fortis Healthcare Q2 FY26: Strong Hospital & Diagnostics Growth Push Revenue and Profit Up Sharply

, , , , , , 0 Comment
Read More
Fortis Healthcare Q2 FY26: Strong Hospital & Diagnostics Growth Push Revenue and Profit Up Sharply
Business, Health, Result Updates - December 2, 2025

Fortis Healthcare Q2 FY26: Strong Hospital & Diagnostics Growth Push Revenue and Profit Up Sharply

Fortis Healthcare Q2 FY26: Strong Hospital & Diagnostics Growth Push Revenue and Profit Up Sharply

Fortis Healthcare delivered a robust quarter, with healthy growth across both its hospital and diagnostics businesses. Consolidated revenue rose ~17% YoY, while PAT surged around 70–82% compared to last year’s same quarter. The improvement reflects better occupancy, higher volumes in specialty care and diagnostics and improved margins. The company also continues to expand its bed capacity and diagnostic-service footprint, setting up a favorable base for future growth.

*Key Highlights*
* Consolidated revenue: ₹ 2,331 crore in Q2 FY26 (up +17.3% YoY)
* Operating EBITDA: ₹ 556–556 crore (up ~28% YoY)
* Operating EBITDA margin: 23.9% in Q2 FY26, vs 21.9% in Q2 FY25
* Profit After Tax (PAT): ₹ 322–329 crore in Q2 FY26 (up ~70–82% YoY)
* Hospital-business revenue: ₹ 1,974 crore (up +19.3% YoY)
* Diagnostics business net revenue: ₹ 357 crore (up +7.1% YoY)
* Key specialty care growth: Oncology and Renal Sciences grew ~29% and ~22% YoY respectively
* Increased bed occupancy: occupied beds rose ~13% QoQ; hospital occupancy improved to 71% (from 69% in Q1 FY26).

*Revenue & Profit Analysis*
Fortis’s 17% growth in consolidated revenue shows healthy demand for its services. The rise came from more patients, higher bed utilisation and increased uptake of specialized treatments. With EBITDA up ~28% and margin expanding to nearly 24%, the company seems to have managed cost structure efficiently, even while volumes rose. The large jump in PAT (70–82%) implies that operational gains translated well into bottom-line growth.
This suggests that Fortis didn’t just see more patients, it also delivered services more profitably due to improved occupancy, higher share of specialty cases and perhaps better cost control in both hospital operations and diagnostics.

*Business Segments: Hospital & Diagnostics*
1. Hospital Business:
* Revenue rose ~19.3% YoY to ₹ 1,974 crore
* Bed occupancy improved; occupied beds rose by ~13% QoQ
* Complex treatments are up: Oncology grew ~29% YoY; Renal Sciences up ~22%
* International patient revenue also grew ~26% YoY, contributing a larger share of overall hospital revenue.
2. Diagnostics Business:
* Net revenue rose to ₹ 357 crore (from ₹ 334 crore a year ago), +7.1% YoY
* The diagnostics arm continues network expansion, more “customer touch points” (CTPs), giving it wider reach.
Together, both segments contributed to balanced growth, hospital business driving major revenue, and diagnostics adding stability and recurring cash flow.

*Balance Sheet & Debt Position*
As of 30 September 2025, Fortis has a net debt of ₹ 2,219 crore. Net-debt to EBITDA ratio stands at ~0.96x (versus just 0.16x on 30 Sept 2024), reflecting that debt has increased due to recent acquisitions and expansions (such as taking stake in a diagnostics-business PE stake and acquiring a hospital).
Although leverage went up, the ratio remains under control, and with improving EBITDA and cash flow, Fortis appears to manage its balance sheet prudently while funding growth.

*Strategic Moves & Growth Outlook*
Fortis entered a 15-year lease agreement to operate a ~200-bed multi-specialty hospital in Greater Noida, expanding its footprint in the Delhi-NCR region. It continued to integrate newly acquired hospitals and expanded bed capacity in existing facilities, supporting future volume and revenue growth. Moreover, it expanded its diagnostics network, including new customer-touchpoints, which supports stability and allows it to capture more outpatient test demand. Given the strong uptick in specialty care demand (e.g. oncology, renal, surgeries) and growing diagnostics demand, the company seems well-positioned to ride long-term growth in India’s healthcare consumption.

*Conclusion*
Fortis Healthcare’s Q2 FY26 results look solid and encouraging. With strong growth in both hospital and diagnostics businesses, improved margins and a sharp rise in PAT, the company demonstrates that it can scale operations while remaining profitable. Key positives are: rising patient volumes, growth in specialty and international-patient segments, expanding bed capacity and diagnostics footprint, and a manageable debt level considering expansion. Whereas, some factors to watch include continued performance of newly added hospitals, maintaining occupancy and specialty-case mix, efficient integration of acquisitions and controlling leverage while growing.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

GAIL Q2 FY26: Gas & Pipeline Volumes Steady, Revenue Rises, Profit Rebounds Sequentially Despite Segment Pressures

, , , , , , 0 Comment
Read More