Menu

EarningsUpdate

Dr Reddy’s Q2 FY26: Revenue Up 9.8% but Margin Under Pressure
Business, Markets, Result Updates - November 24, 2025

Dr Reddy’s Q2 FY26: Revenue Up 9.8% but Margin Under Pressure

Dr Reddy’s Q2 FY26: Revenue Up 9.8% but Margin Under Pressure

Dr Reddy’s delivered healthy top-line growth in Q2 FY26, consolidated revenue of ₹88,051 Mn (+9.8% YoY, +3% QoQ), but profitability shows strain: gross margin fell to 54.7% and PBT margin slipped, reflecting product mix shifts, one-offs and pricing pressure in key markets.

*Key numbers*
* Revenue (consolidated): ₹88,051 Mn (Q2 FY26), +9.8% YoY and +3% QoQ
* EBITDA: ₹23,511 Mn, 26.7% of revenues
* Profit before tax (PBT): ₹18,350 Mn, PBT margin 20.8% (down ~310 bps YoY)
* Profit after tax (PAT) attributable to equity holders: ₹14,372 Mn, +14% YoY and +1% QoQ
* Gross margin: 54.7% (Q2 FY25: 59.6%), down ~492 bps YoY and 223 bps QoQ.
* SG&A: ₹26,436 Mn, 30% of revenues, +15% YoY (company notes one-offs and NRT investments)
* R&D: ₹6,202 Mn, 7% of revenues (down YoY)
* Impairment (non-current assets, net): ₹662 Mn (noted as related to discontinued pipeline/ product issues)
* Global Generics: ₹78,498 Mn (+10% YoY): broken down as North America ₹32,408 Mn (–13% YoY), Europe ₹13,762 Mn (+138% YoY, driven by NRT acquisition/ excluding NRT growth is 17% YoY), India ₹15,780 Mn (+13% YoY), Emerging Markets ₹16,548 Mn (+14% YoY)

*What accelerated the revenue*
Growth came from a broad mix: branded markets (India, Emerging Markets) and the recently acquired Nicotine Replacement Therapy (NRT) business (a strong contributor to Europe growth) offsetting weakness in certain U.S. generics like Lenalidomide. In short, new product launches and M&A (NRT) and volume growth in emerging markets powered top-line expansion.

*Rationale behind margin compression*
1. Product mix/ pricing headwinds in North America: Lower Lenalidomide sales and price erosion in U.S. generics reduced gross margin contribution.
2. One-offs and provisions: The company recorded inventory provisions and an impairment related to discontinued pipeline products (₹662 Mn) and mentioned a potential VAT liability (~₹700 Mn) that lifted SG&A. These items dented margins this quarter.
3. PSAI operating leverage: PSAI (Pharmaceutical Services & Active Ingredients: APIs & services) margins are lower than Global Generics and a larger share or weaker performance in PSAI pulls consolidated gross margin down.
Net result: gross margin fell to 54.7%, and while EBITDA remains at 26.7%, PBT and effective margins are lower than last year. The firm emphasises these are partly transient and linked to mix and one-offs.

*Mixed outlook for the U.S. and Europe*
* United States: the U.S. generics franchise is still material (North America ~₹32,408 Mn this quarter) but faces pricing erosion and product-specific declines (Lenalidomide). Management flagged that NA pressures continue to be the primary margin headwind.
* Europe: Headline growth in Europe looks strong (₹13,762 Mn, +138% YoY) but a large part is acquisition-driven (NRT). Forex and product launches helped QoQ gains. Europe is a growth story for Dr Reddy’s, but sustainability depends on integration of the NRT asset and continued new product wins.

*Conclusion*
Dr Reddy’s posted solid revenue growth but faced a clear margin dip due to U.S. pricing pressure, product mix, and one-offs. The core business remains strong and diversified, but near-term profitability will depend on stabilising the U.S. portfolio and successfully scaling the Europe NRT business. Medium-term margin recovery is possible if execution stays on track.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Apollo Hospitals Q2 FY26: Double-Digit Growth Across Healthcare, Digital & Diagnostics as Core Businesses Expand

, , , , , , 0 Comment
Read More
Alkem Labs Q2 FY26: Strong 17% Revenue Growth and Healthy Profit Gains Across India & Global Markets
Equities, Markets, Result Updates - November 22, 2025

Apollo Hospitals Q2 FY26: Double-Digit Growth Across Healthcare, Digital & Diagnostics as Core Businesses Expand

Apollo Hospitals Q2 FY26: Double-Digit Growth Across Healthcare, Digital & Diagnostics as Core Businesses Expand

Apollo Hospitals delivered a strong performance in Q2 FY26, with growth visible across core healthcare services, digital health initiatives and its distribution businesses. The quarter reflects not just operational stability, but also the benefits of scale, cost discipline and more predictable performance across business lines.

*Headline Performance*
* Revenue from operations: ₹63,035 million (vs ₹58,421 million in Q1 FY26)
* Other income: ₹547 million
* Total income: ₹63,582 million
* Profit before tax: ₹7,787 million
* Profit after tax: ₹5,508 million
* PAT attributable to owners: ₹5,424 million
* PAT attributable to non-controlling interest: ₹84 million

*Revenue Momentum Driven by Hospitals & Adjacent Businesses*
Apollo recorded ₹63,035 million in revenue from operations during Q2 FY26, up from ₹58,421 million in Q1 FY26 and significantly higher than ₹55,893 million in Q2 of the previous year. Two factors stood out:
* Consistent footfall and occupancy recovery in its hospitals.
* Growing contribution from pharmacy distribution and digital businesses, which continue to scale as part of the larger healthcare ecosystem.

*Cost Structure: Showing Operating Leverage at Scale*
Apollo’s total expenses for the quarter stood at ₹56,898 million, driven by the following major components:
* Cost of materials consumed: ₹7,787 million
* Purchases of stock-in-trade: ₹24,647 million
* Employee benefits expense: ₹13,521 million
* Finance costs: ₹1,096 million
* Depreciation and amortisation: ₹2,178 million
* Other expenses: ₹13,521 million
These figures show a disciplined cost structure. The key takeaway is that revenue grew faster than costs.

*Profitability: Strong Expansion Across Metrics*
1. Profit Before Tax: Apollo posted a PBT of ₹7,787 million in Q2 FY26, above ₹7,443 million recorded in Q1 FY26 and ₹7,401 million in Q2 FY25. Despite rising scale and ongoing expansion, the company continues delivering healthy profitability.
2. Profit After Tax: PAT for the quarter stood at ₹5,508 million, of which ₹5,424 million was attributable to owners, with ₹84 million accruing to non-controlling interests. This is a notable improvement over ₹4,469 million in the previous quarter and ₹3,902 million in the same quarter last year.

*Balance Sheet Strength*
On the consolidated balance sheet (as of 30 September 2025):
* Total assets: ₹219,500 million
* Total equity: ₹95,534 million
* Equity attributable to owners: ₹90,933 million
* Total liabilities: ₹123,967 million
* Long-term borrowings remain stable at ₹44,832 million, with lease liabilities at ₹25,035 million.
* Trade receivables increased to ₹34,648 million and inventory levels grew moderately to ₹5,054 million, indicating activity expansion across service lines.
* Cash and cash equivalents stood at ₹4,884 million.

*Segment & Operational Insights*
Although Apollo reports a single segment (Healthcare Services), the numbers and cost structure suggest:
* Hospitals remain the primary profit engine, mainly benefiting from occupancy recovery.
* Pharmaceutical distribution continues to scale, evident in stock-in-trade purchases (₹24,647 million).
* Digital and analytics investments support long-term growth and future integration plan.
* Depreciation at ₹2,178 million hints at consistent capex into infrastructure and technology.

*Future Outlook: A Constructive Trajectory*
Based on Q2 FY26 performance, Apollo’s outlook appears strong:
1. Continuous Scale-Up Across Verticals: The company is expanding hospitals, strengthening digital operations and deepening its omni-channel health offerings.
2. Stable Profitability Even Through Expansion: Apollo’s ability to maintain strong margins while expanding capex demonstrates operational discipline.
3. Demerger & Strategic Restructuring: The new restructuring plan with Apollo Healthco, Keimed and Apollo Healthtech will help the company bring out more value from its pharmacy and digital businesses.
4. Strong Cash Flows Expected: With revenues rising and costs stabilising, Apollo is well-positioned to generate stronger operating cash flows in the coming quarters.

*Conclusion*
Apollo Hospitals’ Q2 FY26 results is maturing in efficiency, scale and financial discipline. Revenue momentum, strong PAT growth, cost control and balance sheet stability signal to a business operating with confidence. The quarter underscores Apollo’s transition from a hospital chain into a comprehensive healthcare platform, one that is expanding steadily across clinical services, digital health and distribution.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

BHEL Posts Strong Q2 FY26 Comeback as Profit Rebounds

 

, , , , , , 0 Comment
Read More
BHEL Posts Strong Q2 FY26 Comeback as Profit Rebounds
Business, Equities, Markets, Result Updates - November 22, 2025

BHEL Posts Strong Q2 FY26 Comeback as Profit Rebounds

BHEL Posts Strong Q2 FY26 Comeback as Profit Rebounds

BHEL staged a clear comeback in Q2 FY26, reporting a return to profitability after a loss in the prior quarter. Revenue, margins and segment performance all improved quarter-on-quarter, driven largely by better execution in the Power segment, lower “other expenses”, and positive working-capital movement in a few areas.

*Headline numbers (quarter ended 30 Sep 2025)*
* Revenue from operations: ₹7,511.80 crore (Q2 FY26) vs ₹5,486.91 crore (Q1 FY26) and ₹6,584.10 crore (Q2 FY25)
* Other income: ₹181.75 crore; Total income: ₹7,693.55 crore
* Total expenses: ₹7,201.54 crore
* Profit before tax (PBT): ₹492.01 crore (positive), after a loss of ₹607.43 crore in Q1 FY26 and vs PBT of ₹131.94 crore in Q2 FY25
* Net profit (PAT): ₹367.67 crore vs loss of ₹454.89 crore in Q1 FY26 and ₹96.67 crore in Q2 FY25
* Basic & diluted EPS (not annualised): ₹1.06 vs (₹1.31) in Q1 FY26 and ₹0.28 in Q2 FY25
* Total assets (30 Sep 2025): ₹72,361.98 crore
* Total liabilities: ₹47,577.63 crore

*What Sparked the Q2 Turnaround*
* Revenue recovered strongly QoQ: Revenue rose ~37% sequentially (₹5,487 crore to ₹7,512 crore). That alone gives headroom for profit recovery, provided costs are controlled.
* Expenses were contained: Total expenses in Q2 were ₹7,201.54 crore, only modestly higher than Q1 in absolute terms, but the combination of higher sales and relatively controlled overheads pushed operating profitability to positive levels.
* Big swing in segment profits, especially Power: The Power segment reported a turnaround in segment profit (profit before tax & finance cost) to ₹593.76 crore in Q2 from a loss of ₹510.00 crore in Q1, that swing is the main operational story behind the group PBT recovery. Industry segment also contributed ₹280.04 crore.
* Finance costs stayed elevated but manageable: Finance cost was ₹195.21 crore in the quarter, material but well covered given the operating profit.

*Breakdown of Key Numbers*
* Cost of materials & services: ₹5,741.38 crore (Q2)
* Change in inventories: Negative ₹527.87 crore (this negative number indicates inventory drawdown that supported revenue recognition)
* Employee benefit expense: ₹1,479.97 crore
* Depreciation & amortisation: ₹75.46 crore
* Other expenses: ₹237.39 crore in Q2, notably much lower than Q1’s ₹675.05 crore (this fall materially helped the profit recovery)

*Balance sheet & cash-flow highlights*
* Total assets: ₹72,361.98 crore
* Total liabilities: ₹47,577.63 crore
* Net assets remain healthy with other equity ~₹24,087.94 crore
* Working capital: For the six months ended 30 Sep 2025, OCF was under pressure, inventories and trade receivables movements created headwinds (inventories movement ~₹2,594.79 crore used, trade receivables ~₹655.30 crore increase)
* Net cash from operating activities for H1 was negative ~₹1,181.95 crore

*Key Concerns to Monitor*
* Receivables & project execution: BHEL’s business is project heavy, slower collections or project delays can bite cash flow even when the P&L shows profit.
* Foreign receivables: Auditor’s emphasis notes reference some overdue overseas amounts (e.g., amounts stuck due to geopolitical issues). It doesn’t change Q2 profit but is a contingent concern.

*Conclusion*
BHEL’s Q2 FY26 shows a real and measurable rebound: strong sequential revenue growth, a large swing in Power segment profitability and a return to positive PAT (₹367.7 crore). That’s the operational comeback. The caveat is cash conversion: the company’s cash flow and working-capital lines need attention (inventory and receivables movements), and certain debtor issues flagged in auditor notes need attention.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Larsen & Toubro Q2 FY26: Robust Order Inflows Drive Double-Digit Revenue Growth

, , , , , , 0 Comment
Read More
Suzlon Energy Ltd: PAT rose 538% YoY to ₹1,279 crore, revenue jumped 85%
Equities, Markets, Result Updates - November 21, 2025

Suzlon Energy Ltd: PAT rose 538% YoY to ₹1,279 crore, revenue jumped 85%

Suzlon Energy Ltd: PAT rose 538% YoY to ₹1,279 crore, revenue jumped 85%

Suzlon had a very strong Q2 FY26. Revenue grew sharply and operating profit (EBITDA) rose a lot, which together with a deferred tax benefit resulted in a very large jump in PAT to ₹1,279 crore. The company also reported higher deliveries, a much bigger orderbook and a healthy net cash position. All figures below are from Suzlon’s Q2 FY26 press release on the company’s website.

*Headline numbers (Q2 FY26 vs Q2 FY25)*
* Revenue from operations: ₹3,866 crore (up 85% YoY)
* EBITDA: ₹721 crore (up 145% YoY)
* EBITDA margin: 18.6% (vs 14.1% in Q2 FY25)
* Net finance cost: ₹83 crore (vs ₹38 crore in Q2 FY25)
* Profit before tax (PBT): ₹562 crore (up 179% YoY)
* Profit after tax (PAT): ₹1,279 crore (up 538% YoY). The PAT includes recognition of incremental Deferred Tax Assets (DTA) of ₹717 crore recognised in Q2
* Net volumes (deliveries): 565 MW in Q2 FY26 (vs 256 MW in Q2 FY25 and 444 MW in Q1 FY26)
* Orderbook: Crossed 6.2 GW (2+ GW additions in H1 FY26)
* Net cash position: ₹1,480 crore as of 30th September 2025
* Manufacturing capacity: India’s largest domestic wind manufacturing capacity at 4.5 GW.

*Financial takeaways*
* Topline jump: Revenue increasing 85% YoY to ₹3,866 crore shows much higher deliveries and stronger WTG (wind turbine generator) sales. This is the main driver of the quarter.
* Operating leverage: EBITDA rose 145% to ₹721 crore and margin improved to 18.6% (from 14.1%). That means Suzlon earned more from each rupee of sales.
* Tax benefit amplified PAT: The PAT surge to ₹1,279 crore is materially helped by a ₹717 crore deferred tax asset recognition in the quarter — this is a one-time accounting benefit that boosted reported PAT. Underlying PBT was ₹562 crore (up 179%), which is strong but smaller than the PAT jump implies.
* Delivery momentum and demand: Highest-ever Q2 India deliveries (565 MW) and an orderbook crossing 6.2 GW indicate robust near-term revenue visibility.
* Balance sheet: Net cash of ₹1,480 crore is a positive — it suggests Suzlon is in a net liquidity position going into the rest of FY26.

*Deeper financial insight (Q2 FY26 vs Q2 FY25 vs Q1 FY26)*
* Net volumes: 565 / 256 / 444 MW
* Revenue: ₹3,866 / ₹2,093 / ₹3,117 crore
* EBITDA: ₹721 / ₹294 / ₹599 crore
* EBITDA margin: 18.6% / 14.1% / 19.2%
* Net finance cost: ₹83 / ₹38 / ₹70 crore
* PBT: ₹562 / ₹202 / ₹459 crore
* PAT: ₹1,279 / ₹201 / ₹324 crore

*Management commentary*
Management highlighted record Q2 deliveries in India and a 6.2 GW orderbook, and said the strategy of separating project development and execution would help scale.

*Conclusion*
The company delivered a strong operational performance this quarter, more turbines delivered, higher revenue and much better EBITDA. That’s clear from the volume and margin numbers. The huge PAT number is partly because of accounting recognition of deferred tax assets (₹717 crore). So, when you look at underlying earnings, PBT growth (179%) and EBITDA improvement are the cleaner signals of business momentum. The orderbook (6.2 GW) and net cash (₹1,480 crore) are reassuring for future quarters — plenty of work in the pipeline and liquidity to execute.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Bajaj Finserv Q2 FY26: 11% Income Growth, 24% Stake Dividend Boost

, , , , , , 0 Comment
Read More
Bajaj Finserv Q2 FY26: 11% Income Growth, 24% Stake Dividend Boost
Equities, Markets, Result Updates - November 20, 2025

Bajaj Finserv Q2 FY26: 11% Income Growth, 24% Stake Dividend Boost

Bajaj Finserv Q2 FY26: 11% Income Growth, 24% Stake Dividend Boost

* Consolidated revenue/ total income: ₹37,402.93 crore — +11.0% YoY.
* Profit after tax (PAT): ₹2,244.10 crore — +7.5% YoY.
* Profit before tax (PBT): ₹6,825.13 crore — +14.4% YoY.
* Interest/ finance income (group level driver): ₹19,599 crore — +18% YoY (driven by loan growth and consumer finance traction).
* AUM (where reported for group lending businesses): advanced strongly — media notes AUM growth of ~24% YoY (Bajaj Finance consolidation effect).

*What moved the top line and P&L*
* The group’s revenue rose ~11% because its lending and insurance subsidiaries continued to grow volumes (more loans, more fees and interest). The sharp growth in interest income (+18%) shows lending businesses were the key engine this quarter.
* PBT grew faster (+14.4%) than PAT (+7.5%), indicating items below PBT (tax, minority interest, and some non-operating items) moderated the PAT growth. The investor note/disclosure also highlights mark-to-market swings in insurance investments that affected PAT comparatives.

*Important segment/ subsidiary moves*
* Bajaj Life Insurance (Bajaj Life): Value of New Business (VNB) jumped to ₹367 crore — a ~50% increase YoY. New Business Margin (NBM) expanded sharply to 17.1% (19.3% excluding GST). However, Bajaj Life’s reported quarterly PAT fell (GST impact of ~₹112 crore was cited) — results here are mixed: strong sales economics but short-term PAT hit from tax/GST timing.
* Bajaj General/ Life MTM: The filings/investor note mention unrealised MTM losses (for the quarter) — around ₹70 crore (Bajaj General) and ₹91 crore (Bajaj Life) — this is a part of the lower-level volatility in PAT this quarter.

*Key ratios & efficiency*
* PBT growth (14.4%) > Revenue growth (11%) — suggests margin expansion at operating profit level (or one-off gains in PBT).
* AUM growth ~24% (for lending businesses) implies strong balance sheet expansion — this supports future interest income but requires watching asset quality and funding costs.

*Positive points*
* Healthy growth in underlying finance business (interest income up and AUM growth) — shows demand and distribution strength.
* Bajaj Life’s VNB/ NBM improvement — good for long-term value creation even if near-term PAT was hit by GST timing.

*Risks*
* MTM swings in insurance investments (₹70–₹91 crore style items) can cause quarter-to-quarter volatility in consolidated PAT — keep an eye on investment mark-to-market and any one-offs.
* Funding & asset quality: higher AUM is positive, but monitor loan-losses/ provisions and cost of funds in coming quarters (pressures there can compress margins). Company commentary and investor presentations will clarify management’s view.

*Conclusion*
Bajaj Finserv delivered a steady quarter — double-digit income growth (~11%) and stronger PBT (+14.4%), while PAT rose ~7.5%. The numbers show healthy franchise growth (AUM +24%, interest income +18%) and improving insurance economics (VNB up 50%), but near-term PAT was affected by MTM and GST items. Overall, operational momentum is visible but watch volatility in insurance investments and near-term tax/ GST impacts.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Delhivery Q2 FY26 — Revenue Up 17% Yet Back in the Red

, , , , , , 0 Comment
Read More
HAL Q2 FY26: Revenue ₹6,628 Crore (+11%), PAT ₹1,662 Crore (+11.6%) — Margin Pressure Visible
Equities, Markets, Result Updates - November 19, 2025

HAL Q2 FY26: Revenue ₹6,628 Crore (+11%), PAT ₹1,662 Crore (+11.6%) — Margin Pressure Visible

HAL Q2 FY26: Revenue ₹6,628 Crore (+11%), PAT ₹1,662 Crore (+11.6%) — Margin Pressure Visible

HAL delivered steady revenue growth at ₹6,62,846 lakh (₹6,628 crore, +11% YoY) and a profit of ₹1,66,252 lakh (₹1,662 crore, +11.6% YoY) in Q2 FY26. However, EBITDA margin contracted, indicating early signs of cost pressure.

*Detailed Quarterly Overview*
* Revenue from operations: ₹6,62,846 lakh vs ₹5,97,655 lakh in Q2 FY25
→ YoY growth: +10.9%
* Sequential (QoQ) growth: from ₹4,81,914 lakh in Q1 FY26
→ +37.5% QoQ, reflecting higher execution and deliveries.
* Other Income: Other income rose to ₹88,894 lakh (vs ₹54,400 lakh YoY)
→ Driven by higher treasury income, interest, and miscellaneous credits.
* Total Income: ₹7,51,740 lakh (vs ₹6,52,055 lakh YoY).
→ +15.3% YoY growth.

*Expense Breakdown — Where Margins Got Pressured*
* Cost of materials consumed: ₹4,07,204 lakh
* Employee benefit expenses: ₹1,33,187 lakh
* Other expenses: ₹51,525 lakh
* Provisions: ₹51,731 lakh
* Depreciation & amortisation: ₹22,540 lakh
* Finance cost: ₹34 lakh
* Total gross expenses: ₹5,63,331 lakh
* ⁠Capital-related adjustments: ₹33,636 lakh
* Net expenses: ₹5,29,695 lakh

*Why margins tightened*
* Material cost increased sharply in line with execution.
* Employee cost rose due to pension and wage-related adjustments.
* Provisions jumped to ₹51,731 lakh (vs ₹25,074 lakh YoY), cutting operating margin.
Together, these factors caused EBITDA margin contraction despite higher revenues.

*Profitability Analysis*
* Profit Before Tax (PBT): ₹2,22,045 lakh vs ₹1,99,668 lakh YoY
→ 11.2% YoY growth
* Tax Expense: ₹55,793 lakh (Q2 FY26)
* Profit After Tax (PAT): ₹1,66,252 lakh vs ₹1,49,036 lakh YoY
→ +11.6% YoY
* QoQ growth from ₹1,37,715 lakh
→ +20.7% QoQ
* Basic & diluted EPS: ₹24.86 (vs ₹22.28 YoY)

*Balance Sheet Highlights (as of 30 Sept 2025)*
1. Assets
– Total Assets: ₹1,22,97,854 lakh
– Non-current assets: ₹16,71,693 lakh
– Current assets: ₹1,06,26,161 lakh
– Inventories surged to ₹28,41,990 lakh (vs ₹21,67,570 lakh in Mar 2025). This indicates build-up for future execution.
2. Cash & Bank Balances
– Cash & cash equivalents: ₹3,13,774 lakh
– Bank balances: ₹41,32,219 lakh
3. Liabilities & Net Worth
* Equity
– Share capital: ₹33,439 lakh
– Other equity: ₹36,62,813 lakh
– Total equity: ₹36,96,252 lakh
* Liabilities
– Total liabilities: ₹86,01,602 lakh
– Non-current liabilities: ₹37,57,725 lakh
– Current liabilities: ₹48,43,877 lakh
– Other current liabilities: ₹32,10,651 lakh

*Cash Flow (H1 FY26)*
* Operating Cash Flow (OCF): Positive ₹7,38,156 lakh
→ Strong collections + working capital movements
* Investing Cash Flow: Negative ₹7,78,408 lakh
→ Heavy investment in capex, intangibles (₹35,587 lakh) and large bank deposits (₹7,69,836 lakh)
* Financing Cash Flow: Negative ₹1,00,667 lakh
→ Due to dividend payout

*Key Disclosures from Management and Auditors*
* Pension cost impact: Additional employee cost due to pension contribution revision: ₹2,175 lakh
* Salary refixation case: Recovery adjustments for workmen: ₹1,193 lakh recognized.
* Inventory flood loss revision: Earlier inventory loss reversed partly; final loss retained: ₹3,664 lakh.
* FPQ (pricing) still provisional: FY24 & FY25 prices pending final approval; sales recognized based on provisional indices.

*Caveats and catalysts*
* Positives
– Strong revenue and PAT growth
– High operational cash generation
– Big inventory buildup signals strong order execution in coming quarters
– Strong liquidity (huge bank balances)
* Concerns
– Margin contraction due to higher material & provision costs
– Pricing uncertainty due to pending FPQ finalisation
– Employee cost volatility due to pension and wage adjustments
– Large working capital requirement as inventory climbs

*Conclusion*
HAL delivered a solid Q2 FY26 with 11% revenue growth and 11.6% PAT growth, backed by higher execution and better collections. However, operating margins fell as costs and provisions increased sharply. Going forward, margin recovery, FPQ pricing finalisation, and inventory management will be key things to watch.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Reliance Q2 FY26: Gross Revenue ₹2.83 Lakh Crore, EBITDA +14.6% — Retail & Digital Drive Growth

, , , , , , 0 Comment
Read More
Reliance Q2 FY26: Gross Revenue ₹2.83 Lakh Crore, EBITDA +14.6% — Retail & Digital Drive Growth
Economy, Markets, Result Updates - November 19, 2025

Reliance Q2 FY26: Gross Revenue ₹2.83 Lakh Crore, EBITDA +14.6% — Retail & Digital Drive Growth

Reliance Q2 FY26: Gross Revenue ₹2.83 Lakh Crore, EBITDA +14.6% — Retail & Digital Drive Growth

Reliance reported a strong quarter with consolidated gross revenue of ₹2,83,548 crore, EBITDA of ₹50,367 crore (+14.6% YoY) and consolidated PAT of ₹22,092 crore (+14.3% YoY) — driven mainly by Jio (digital) and Retail momentum.

*Consolidated headline numbers*
* Gross revenue: ₹2,83,548 crore (up 10.0% YoY).
* EBITDA: ₹50,367 crore (up 14.6% YoY).
* Profit before tax (PBT): ₹29,124 crore (up 16.3% YoY).
* Tax: ₹6,978 crore.
* Profit after tax (PAT): ₹22,092 crore (up 14.3% YoY).
* Finance cost: ₹6,827 crore;
* Depreciation: ₹14,416 crore.
These are the consolidated top-line and profitability numbers for Q2 FY26.

*Digital/ Jio Platforms*
* Gross revenue (JPL consolidated): ₹42,652 crore (15% YoY).
* Operating revenue: ₹36,332 crore (14.6% YoY).
* EBITDA: ₹18,757 crore (up 17–18% YoY) with margin expansion (+140 bps).
* Jio milestones: subscribers ~506.4 million, ARPU rose to ₹211.4.
Jio’s improved ARPU, subscriber additions (net add ~8.3 million) and higher monetization were key profit levers this quarter.

*Retail (Reliance Retail Ventures Limited — RRVL)*
* Gross revenue (Retail): ₹90,018 crore (up 18% YoY).
* Net revenue: ₹79,128 crore; EBITDA from operations: ₹6,624 crore; Total EBITDA: ₹6,816 crore (up ~16.5% YoY).
Retail also reported 369 million registered customers and 19,821 stores (412 new stores opened in the quarter). Festive demand and faster adoption of quick commerce lifted volumes.

*Oil-to-Chemicals (O2C)*
* Revenue: ₹160,558 crore (small YoY uptick ~3.2%).
* EBITDA: ₹15,008 crore (up ~21% YoY); EBITDA margin improved ~130 bps to 9.3% — supported by better fuel cracks, higher domestic fuel placement and commodity delta improvements.

*Exploration & Production (E&P)*
Revenue and EBITDA were steady-to-low single-digit changes; production volumes and price realizations mixed across blocks.

*Balance sheet & cash flow signals*
* Capex during the quarter: ₹40,010 crore (shows heavy investment activity).
* Net debt: moved to ₹118,545 crore (up slightly from ₹117,581 crore).
* Net debt/ LTM EBITDA: ~0.58x — implies the company remains comfortably levered relative to earnings while investing aggressively.

*Risks & catalysts*
* Catalysts: continued Jio ARPU upsides, further traction in quick commerce and festive retail, and improved downstream fuel cracks (helpful for O2C EBITDA). Jio’s scale (500M+ subs) is a structural strength.
* Risks: higher finance costs (Q2 finance cost rose YoY), large recurring capex, and exposure of petrochem margins to global crude/chain dynamics. Also, compare Q2 to Q1 for one-offs — Q1 included proceeds from sale of listed investments that affected sequential comparisons.

*Conclusion*
Reliance posted a broadly solid Q2 FY26: double-digit YoY growth in revenue, EBITDA and PAT, largely led by Jio’s monetisation and Retail’s festive-led growth, while the group continues heavy capex and maintains a moderate net-debt/EBITDA ratio. Investors will watch margin sustainability across O2C and the cash-flow impact of the ongoing investment program.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

HUL Q2 FY26: Revenue Up 2%, PAT Up ~4% Amid GST-Led Disruption

, , , , , , 0 Comment
Read More
HUL Q2 FY26: Revenue Up 2%, PAT Up ~4% Amid GST-Led Disruption
Business, Market News, Result Updates - November 19, 2025

HUL Q2 FY26: Revenue Up 2%, PAT Up ~4% Amid GST-Led Disruption

HUL Q2 FY26: Revenue Up 2%, PAT Up ~4% Amid GST-Led Disruption

Hindustan Unilever posted a modest quarter: revenue rose about 2% while reported PAT grew ~4% helped by a one-off tax benefit — margins were under pressure and management declared an interim dividend of ₹19 per share.

*What happened this quarter*
* Revenue from operations (consolidated) for Q2 FY26: ₹16,034 crore, up from ₹15,703 crore a year ago (≈ +2% YoY).
* Earnings before interest, tax, depreciation and amortisation (EBITDA) for the quarter: ₹3,729 crore; EBITDA margin: 23.2%, down 90 basis points vs Q2 last year.
* Profit after tax before exceptional items: ₹2,482 crore, down 4% YoY.
* Reported Profit After Tax (PAT, after exceptional items): ₹2,694 crore, up ~4% YoY (consolidated).
* Board declared an interim dividend of ₹19 per share (record date: 7 Nov 2025).

*Detailed numbers (consolidated)*
* Revenue from operations: ₹16,034 crore (Q2 FY26) vs ₹15,703 crore (Q2 FY25).
* Total income (quarter): figures shown in the filing also list components of other income and operating segments (see official table).
* EBITDA: ₹3,729 crore. EBITDA margin: 23.2% (decline of 90 bps YoY).
* Profit before exceptional items (PAT before exceptions): ₹2,482 crore (down 4% YoY).
* Exceptional items (net): one-off +₹273 crore (favourable tax resolution between UK & India), restructuring costs ₹51 crore, and acquisition/ disposal costs ₹38 crore. These swing the pre-exception PAT to the reported PAT.
* Reported PAT (after exceptions): ₹2,694 crore (≈ +4% YoY).
* Basic earnings per share (EPS): ₹11.43 for the quarter (basic).
* Total comprehensive income (quarter): ₹2,698 crore (group level table). Paid up equity: 235 crore shares (face value Re. 1).

*Why revenue was muted and margins fell*
* The filing and the company commentary point to GST-led disruption (rate changes) that affected pricing and demand for a part of the portfolio, which pressured volumes and realizations in the quarter. This is visible in the modest top-line growth despite HUL’s scale.
* Margin contraction (90 bps in EBITDA margin) was because of a mix of higher input/ operational costs, continued investment/marketing spend and the temporary dilution in pricing power related to the GST transition.

*Segment/ cash flow/ other pointers*
* The company’s statement includes segment-level sales and operating data (Home Care, Beauty & Well-being, Personal Care, Foods). The consolidated schedules also show standalone numbers for comparability.
* Cash flows: the cash generated from operations and movement in working capital are shown in the cash flow tables (operating cash flow and taxes paid are disclosed in the filing).

*Segment-wise snapshot*
While the company’s full segment-table for Q2 FY26 is only partially disclosed in the public summary, previous commentary from HUL suggests the following trends (for guidance into Q2):
* The Home Care division has historically grown at low-single to mid-single digit sales growth, with volume growth being stronger than value growth (as the business absorbs input inflation and passes on less pricing).
* The Beauty & Well-being/ Personal Care business has seen better momentum in premiumisation, with moderate unit growth but heavier investment behind brands.
* The Foods & Refreshments segment has been weaker, with demand softness in some categories and cost inflation from commodities like tea and coffee.
* Management commentary (in recent prior quarters) emphasises a shift from margin-first to growth-first: higher brand and trade-spend, more focus on digital & e-commerce channels.

*Outlook and what management has signalled*
HUL has stated it expects consumer demand to gradually improve through FY26, buoyed by lower commodity inflation, improving rural macro trends and continued investment in brand/digital. However, management continues to flag near-term margin pressure due to elevated input costs, trade spend and channel investments. They anticipate volume growth to recover gradually while price growth remains modest.

*Management actions & shareholder returns*
Management approved an interim dividend of ₹19 per share (record date 7 Nov 2025; payment 20 Nov 2025). This signals continued focus on returning cash to shareholders despite the quarter’s headwinds.

*Takeaways*
* Topline: steady but muted — revenue +2% YoY.
* Profit: reported PAT +~4%, helped by a one-off tax benefit; underlying PAT before exceptions down ~4%.
* Margins: under pressure — EBITDA margin down 90 bps to 23.2%.
* Shareholder friendly: interim dividend ₹19/sh.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Gujarat Gas Q2 FY26: Revenue Flat at ~₹3,980 Crore, PAT Down ~9%

, , , , , , 0 Comment
Read More
Gujarat Gas Q2 FY26: Revenue Flat at ~₹3,980 Crore, PAT Down ~9%
Business, Market News, Result Updates - November 18, 2025

Gujarat Gas Q2 FY26: Revenue Flat at ~₹3,980 Crore, PAT Down ~9%

Gujarat Gas Q2 FY26: Revenue Flat at ~₹3,980 Crore, PAT Down ~9%

Gujarat Gas reported a largely stable quarter on top-line with revenue of ~₹3,979 crore, but profitability slipped — EBITDA at ₹520 crore (vs ₹553 crore) and PAT at ₹281 crore (vs ₹307 crore) for Q2 FY26.

*Headline numbers (company reported — Q2 FY26 vs Q2 FY25)*
* Revenue from operations: ~₹3,979 crore (Q2 FY26) vs ~₹3,949 crore (Q2 FY25).
* EBITDA: ₹520 crore (Q2 FY26) vs ₹553 crore (Q2 FY25).
* PAT (Profit after tax): ₹281 crore (Q2 FY26) vs ₹307 crore (Q2 FY25).

*Operational highlights — volumes & network*
* CNG volume: 3.32 mmscmd in Q2 FY26, up 13% YoY (vs 2.93 mmscmd in Q2 FY25).
* PNG (Domestic): 0.83 mmscmd in Q2 FY26 — +10% YoY.
* PNG (Commercial): 0.16 mmscmd — +7% YoY.
* Total distributed gas: ~8.65 mmscmd in Q2 FY26

*Network & customer metrics*
* CNG stations: 834 operational stations (company added 4 stations in the quarter).
* New domestic customers added in Q2: 42,400+.
* Households served: More than 23.44 lakh households.
* Pipeline network: 43,900+ km of steel pipeline (cumulative).

*Business initiatives mentioned by the company*
* FDODO (Franchise/ dealer) push: Gujarat Gas has signed 74 FDODO agreements to accelerate growth; one FDODO station became operational in Jamnagar during the quarter.
* Corporate action: Shareholders approved the Composite Scheme of Amalgamation and Arrangement at the meeting held on 17th October 2025; the company has filed the Chairman’s Report and confirmation petition with the Ministry of Corporate Affairs.

*What the numbers tell us*
1. Volume growth is healthy, especially CNG: CNG volumes grew 13% YoY to 3.32 mmscmd, showing strong consumer and transport demand — this is the positive operational story.
2. Top line is steady, but margins compressed: Revenue was almost flat (≈₹3,979 crore), yet EBITDA and PAT declined (EBITDA ₹520 crore, PAT ₹281 crore), indicating margin pressure or higher costs relative to last year.
3. Retail expansion continues: Network additions (4 new CNG stations) and 42,400+ new domestic connections in a quarter show steady on-ground growth and customer acquisition.
4. FDODO rollout is a focus: Signing 74 FDODO agreements and commissioning a station signals management’s push to scale via franchise models.

*Risks and near-term things to watch*
* Margin drivers: If fuel/ gas costs, spot LNG prices, or allocations change, EBITDA and PAT can move sharply — the quarter already showed profit decline despite volume growth.
* Execution of FDODO roll-out: Success of the franchise model will affect future station additions and cost structure.
* Regulatory/ allocation changes: Any government allocation changes for domestic/ priority segments could affect supply mix and economics.

*Conclusion*
Gujarat Gas delivered stable revenue (~₹3,979 crore) and good volume growth (CNG +13%), but profitability came under pressure with EBITDA at ₹520 crore and PAT at ₹281 crore. The company is expanding its network and pushing an FDODO strategy, but margin sustainability remains the key monitorable for the next quarters.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Tata Motors Q2 FY26: Sales Momentum in CVs (94,681 units, +12%), Revenue Growth Modest, Profitability Under Pressure

, , , , , , 0 Comment
Read More
Madhur Industries Q1 FY26: Modest Gains, Ongoing Losses, Turnaround Hopes
Business, business update, Markets, Result Updates - August 15, 2025

Madhur Industries Q1 FY26: Modest Gains, Ongoing Losses, Turnaround Hopes

Madhur Industries Q1 FY26: Modest Gains, Ongoing Losses, Turnaround Hopes

Fragile Recovery as Company Grapples with Thin Margins in a Volatile Market

Introduction
Madhur Industries, active in India’s food processing segment, entered fiscal year 2026 focusing on growth and efficiency. The Q1 FY26 numbers, now announced following its August 2025 board meeting, reveal a company gradually expanding top-line revenue, yet unable to convert those gains into sustainable profits. As India’s packaged food sector adjusts to shifting consumer habits and cost structures, Madhur’s story is one of determination amid mounting financial challenges.

Q1 FY2026 Snapshot: Revenue Growth Amid Losses
For the first quarter ending June 2025, Madhur Industries reported standalone revenue of ₹0.11 crore, representing a substantial jump compared to preceding quarters. Despite this improvement, the company posted a net loss of ₹2.53 lakh for the quarter, continuing a succession of negative quarters that have tested management’s resilience and shareholder patience.
• Revenue: ₹0.11 crore in Q1 FY26, up 83% from ₹0.06 crore last quarter.
• Net Loss: ₹2.53 lakh in Q1 FY2026, reflecting continued pressure on margins.
• Expenses: Operating costs outpaced revenue growth, with quarterly expenses rising sharply.
• EPS: It remained negative

Unpacking the Financials: What’s Driving Results?
Revenue Trends and Demand
On the sales front, Madhur Industries saw marginal volume upticks in established segments. The company continues to see moderate demand for staple products among its core consumer base but struggles to find scale at profitable price points. While the 83% sequential revenue leap appears promising, the small base means actual gains are modest in absolute terms.
Where the Losses Originate
Costs remain a substantial burden. Raw material inflation, logistics turmoil, and recurring manufacturing overheads have squeezed operating margins. As of Q1 FY26, these factors collectively tipped Madhur into another loss-making quarter, as cost-cutting and operational streamlining failed to keep pace with upward expense trends. Net profit margins remained resolutely negative.
Furthermore, the company’s EBIT margin has been consistently in the red (e.g., -239.93% for the latest quarter), and EPS for shareholders has not improved. The pattern reveals not short-term issues, but structural challenges in business model and execution.

Strategy: Pushing for Turnaround
In response, Madhur Industries’ executives have set out a series of measures designed to reverse course:
• Cost Rationalization: Streamlining procurement, minimizing wastage, and negotiating better supplier terms are front and center. Management is also reviewing overheads and production processes closely.
• Market Diversification: There is a clear effort to expand into new retail formats, bolster exports, and tap emerging channels in Tier 2 and Tier 3 regions.
• Product Innovation: The company has placed renewed emphasis on new products that meet evolving consumer preferences—healthier, ready-to-cook, and value-driven items gaining traction across wider geographies.
• Brand Investments: Marketing campaigns and digital engagement are set for a refresh, hoping to trigger higher turnover and improved customer loyalty.

Industry Landscape: Challenges and Glimmers of Hope
The Indian packaged food sector faces persistent headwinds—volatile input prices, regulatory scrutiny on food safety, and fluctuating demand due to inflationary pressures. For players like Madhur Industries, the onus is on carve-out niches where they can defend pricing, reduce costs, and leverage modest operational scale.
At the same time, the sector still holds potential. India’s consumption story is robust, with organized grocery and online channels expanding in both urban and rural markets. If Madhur can refine its product mix and ramp up efficiency, a path back to profitability remains—albeit uncertain and demanding.

Looking Forward: Can Madhur Turn the Corner?
With a series of quarters in the red, Madhur Industries is at a crossroads. Q1 FY26 brought some positive news in sales growth and renewed strategic discipline, but losses are still mounting. The company’s next few quarters will be critical as it aims to arrest the slide in bottom-line results and demonstrate that its cost and innovation strategies can bear fruit. Investors now seek evidence of sustained improvement in both margins and overall profitability.

Conclusion
Madhur Industries’ Q1 FY26 results highlight a company fighting hard for survival and relevance. While revenue is beginning to move in the right direction, consistent losses put the spotlight on execution, innovation, and discipline. The coming quarters will decide whether Madhur’s new initiatives can deliver a true turnaround, restore profitability, and reward patient stakeholders.

 

 

 

 

:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Lakshmi Mills Q1 FY26: Growing Revenue Despite Headwinds

, , , , , , , 0 Comment
Read More