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Q2FY26

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.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

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Chalet Hotels Q2 FY26: Revenue Nearly Doubles Year-on-Year and Profit Turns Positive After Last Year’s Loss
Business, Markets, Result Updates - December 16, 2025

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

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

Chalet Hotels reported a powerful turnaround in the second quarter of FY26 (for the period ending September 30, 2025). The company saw a strong YoY gain in revenue and EBITDA, with profitability returning after a loss in the same quarter last year. Operational performance in hospitality and annuity businesses improved, margins expanded and the board declared the maiden interim dividend. The results reflect a recovery in travel demand and the benefits of scaling up room inventory and rental properties.

*Key Highlights*
* Revenue from Operations: ₹735.31 crore in Q2 FY26: +~95% YoY from ₹377.05 crore in Q2 FY25.
* Consolidated Net Profit (PAT): ₹154.84 crore in Q2 FY26: turned positive from -₹138.49 crore loss in Q2 FY25.
* Operating Profit (EBITDA): ₹299.23 crore in Q2 FY26: +~100% YoY.
* Operating (EBITDA) Margin: 40.69% in Q2 FY26, improved ~104 bps YoY.
* Interim Dividend Declared: ₹1 per equity share (face value ₹10).
* Room Inventory Growth: ~10% increase YoY.
* New Premium Brand Launched: Athiva Hotels & Resorts introduced.

*Revenue & Profit Analysis*
Chalet Hotels demonstrated a strong revenue rebound with nearly double the income compared with the same quarter last year. Total revenue reached ₹735.31 crore in Q2 FY26, up almost 95% YoY, mainly due to higher contributions from hotel operations and annuity businesses.
Profit also saw a dramatic shift: PAT was ₹154.84 crore, compared with a loss of ₹138.49 crore in Q2 FY25. This is a substantial YoY swing, indicating that not only did revenue improve, but the company also controlled costs and reaped the benefits of higher operational scale.
EBITDA nearly doubled, reaching ₹299.23 crore and the operating margin improved, showing that the company is capturing more profit from each rupee of revenue compared with a year ago.

*Segment & Operational Performance*
1. Hospitality Core Business: Chalet’s core hotel operations excluding residential project income, delivered solid growth. On a like-for-like basis:
* Core revenue: ₹460 crore, up ~20% YoY.
* EBITDA for core operations: ₹200 crore, up ~25% YoY.
* EBITDA margin: 43.4%, which is ~1.4 percentage points higher than last year.
This improvement reflects higher room utilisation, stronger room rates and better cost efficiency in managing hotel operations.
2. Room Inventory Growth: Room inventory expanded by about 10% YoY, aided by acquisitions and new hotel additions. This helped drive topline growth and indicates ongoing expansion of business scale.
3. Brand Expansion: The company launched Athiva Hotels & Resorts, a premium lifestyle brand focused on experiential travel, positioning Chalet to capture demand in higher-margin segments.

*Margins & Cost Efficiencies*
Margins improved across the board:
* Operating (EBITDA) margin: ~40.69%.
* Margin expansion reflects better ability to convert revenues into profits, an indication that fixed costs were spread over higher revenues and that operational efficiencies have improved.

*Balance Sheet & Shareholder Returns*
The board declared a maiden interim dividend of ₹1 per share, which is a positive sign that the company is returning value to shareholders as profitability stabilises. The quarter also saw growth in room inventory and progress on ongoing projects, suggesting that the company continues to invest in expanding its hotel footprint and asset base.

*Management Commentary & Outlook*
Management highlighted that the company delivered a strong and steady performance in Q2 FY26, despite challenges like fluctuating travel patterns and weather impacts. The launch of the ATHIVA Hotels & Resorts brand reflects a strategic move to build a premium, scalable hospitality brand. Expansion projects such as the Taj at Delhi Airport and the Varca Beachfront Resort in Goa are on track, supporting future revenue streams once completed.

*Valuation Standpoint*
Several points stand out in Q2 FY26 results:
1. Strong Turnaround: The swing from a net loss to a meaningful profit (~₹155 crore) in just one year shows significant improvement in business fundamentals.
2. Revenue Momentum: Almost doubling revenue YoY (95%) signals strong demand for the hospitality and annuity businesses and this momentum can support higher valuation multiples.
3. Margin Expansion: Improved operating margin reflects operational discipline, which is attractive to investors seeking quality earnings growth.
4. Brand & Growth Strategies: The launch of a new brand (Athiva Hotels & Resorts) and continued addition of room inventory underline the company’s drive to grow both in scale and market positioning.
Chalet Hotels can be viewed relative to peers such as Indian Hotels, Lemon Tree and EIH. These hotel companies typically trade in the range of mid-20s to high-30s on forward P/E and around 14–20× on EV/EBITDA, depending on their growth visibility and asset mix. Chalet’s sharp improvement in profitability, expanding EBITDA margin and increasing room inventory position it closer to the premium end of this range. While it may still trade at a slight discount to the largest players due to smaller scale, its strong Q2 FY26 recovery and pipeline of new properties suggest that the valuation gap could narrow over time as earnings stabilise and cash flows strengthen.

*Conclusion*
Chalet Hotels’ Q2 FY26 performance was strong and strategic. Revenue almost doubled YoY, EBITDA nearly doubled and the company swung from a loss to a healthy net profit, while margins expanded. The launch of a premium brand and a maiden dividend declaration are additional positives for shareholders. Overall, the quarter suggests that Chalet Hotels is emerging from the pandemic and macro slowdowns with stronger operational resilience and growth potential.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

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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.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

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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.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

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Eternal Q2 FY26: Revenue Explodes, But Profit Takes a Hit As Costs Surge
Equities, Markets, Result Updates - December 11, 2025

Eternal Q2 FY26: Revenue Explodes, But Profit Takes a Hit As Costs Surge

Eternal Q2 FY26: Revenue Explodes, But Profit Takes a Hit As Costs Surge

Eternal delivered a dramatic quarter on the top line with revenue roughly tripling YoY, driven by a huge jump in its quick-commerce business. However, despite the surge in business activity, its net profit fell sharply, reflecting higher operating costs and investments as it scales up.

*Key Highlights*
* Revenue from operations in Q2 FY26: ₹ 13,590 crore (up +183% YoY vs ₹ 4,799 crore in Q2 FY25).
* Total Income (all revenues): ₹ 13,942 crore (up +177.7% YoY vs ₹ 5,020 crore in Q2 FY25).
* Profit Before Tax (PBT): ₹ 129 crore (down vs ₹ 237 crore in Q2 FY25, −45.6% YoY)
* Profit After Tax (PAT): ₹ 65 crore (vs ₹ 176 crore in Q2 FY25, down −63.1% YoY)
* Quarter-on-quarter (QoQ) growth: Compared to Q1 FY26 (₹ 7,521 crore total income), Q2 total income grew by +85.4%.
* Earnings per Share (EPS): ₹ 0.07 for Q2 FY26 (vs ₹ 0.20 in Q2 FY25)

*Revenue & Profit Analysis*
Eternal’s revenue surge (approx. +183% YoY) is eye-catching, showing that business demand (especially from quick commerce) has accelerated sharply. But profit didn’t follow the same path: PAT dropped by about 63% YoY.
As the company scales up, costs have risen heavily: fulfillment, delivery, inventory and marketing to support growth. These costs have eaten into margins. So while top-line growth is strong, the business is still working to turn that into stable profitability.
On a sequential basis, Q2 shows improvement over Q1 (total income +85%), which suggests momentum is building. However, with profit still under pressure, this remains a “growth-first, profitability-later” phase.

*What’s Driving Growth?*
* The major driver of the growth appears to be the quick-commerce business (owned by Eternal’s subsidiary), which saw massive scale up, that contributed significantly to the overall revenue jump.
* Other verticals: food delivery, B2B supplies, going-out & entertainment (via its other arms) continue to operate, but quick-commerce is clearly the standout growth engine this quarter. The quick-commerce push appears central to the company’s strategy to scale rapidly and capture market share.
Thus, growth is being driven by aggressive expansion and scaling of quick-commerce operations, even if that means higher costs in the short term.

*Margin & Cost Pressure: The Trade-off of Scale*
This quarter’s results reflect a classic trade-off many growth companies face: rapid expansion vs. profitability. While revenue surged, margin pressure intensified: high delivery costs, marketing spends and investments in inventory/ operations have pushed down profitability. The sharp drop in PAT despite strong revenues suggests the company is prioritizing scale over near-term profitability.

*Balance Sheet & Cash: Headroom Still Present*
Publicly available filings show that as of Q2 FY26, the company ended with a substantial cash balance. This cash cushion gives Eternal some breathing space: it can continue to invest (marketing, scale, operations) while waiting for volume growth and operating-leverage gains to translate into better margins. But the path to consistent profits still depends on controlling costs and improving efficiency.

*Strategic Outlook: What This Quarter Means for Investors*
Eternal’s massive revenue growth in Q2 shows that demand and scale are real, especially for quick commerce. That suggests the business model has legs and there is potential for growth in user base, frequency and market share. But profitability remains elusive for now.

*Key Concerns to Monitor*
* Whether cost controls and operating-leverage improvements begin showing up in margins.
* Whether quick-commerce growth sustains, and its unit economics improve.
* How other verticals (food delivery, B2B supplies, going-out services) contribute. Portfolio diversification could help reduce dependence on a single business line.
So far, Eternal looks like a high-growth, high-risk, high-potential stock: well suited for investors comfortable with short-term swings but optimistic about long-term scale and dominance.

*Valuation Outlook*
Eternal is currently valued like a high-growth platform company, mainly because its quick-commerce business is expanding very fast, even though profits are still small. Based on recent market pricing, the company trades at a price-to-sales (P/S) multiple of roughly 5-6x FY26 revenue, which is on the higher side compared to traditional consumer or internet companies, but typical for high-growth tech-enabled platforms. If revenue continues to grow at a strong rate (30-40% annually over the next two years), and if the company can lift its net profit margin from the current ~0.5% level to a more stable 2-3%, then the valuation can remain justified. However, if profitability stays weak, the stock may see correction because the business is still priced for strong future earnings. In simple terms, Eternal’s valuation today depends more on expectations than on current profits. Consistent improvement in efficiency, margins and cash flow is required for the stock to deliver long-term returns.

*Conclusion*
Eternal’s Q2 FY26 shows a company that is growing extremely fast but still figuring out how to make that growth consistently profitable. Revenue nearly tripled, showing that demand and execution are working. But the steep fall in profit shows that scaling quickly comes at a cost. Margins and cost control will decide how durable this growth really is. If the company can manage costs, improve efficiency and turn higher volume into stronger margins, there could be substantial upside ahead. For now, Eternal remains a high-potential but highly volatile.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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Why Kaynes Technology Has Fallen & What Investors Should Do

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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.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

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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.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

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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.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

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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.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

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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.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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

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