Synopsis:
HBL Engineering Ltd reported a 26% increase in Q1 revenue to ₹602 crore QoQ, while its net profit grew 218% QoQ to ₹143 crore.
The shares of the Small-Cap company, specializing in the design, development, and manufacturing of specialized batteries and power electronics, jumped by upto 14 percent following their Q1 Results with a 218 percent rise in Profit QoQ.
With a market capitalization of 18,811.84 Crores on Monday, the shares of HBL Engineering Ltd jumped upto 14.4 percent, making a high of Rs. 684.50 compared to its previous close of Rs. 598.25.
HBL Engineering Ltd, engaged in the design, development, and manufacturing of specialized batteries and power electronics, has announced its Q1 results as follows:
Its Revenue from operations rose by 16 percent YoY from Rs. 520 Crores in Q1FY25 to Rs. 602 Crores in Q1FY26, and it rose by 26 percent QoQ from Rs. 476 Crores in Q4FY25 to Rs. 602 Crores in Q1FY26.
Its Net Profit YoY rose by 79 percent from Rs. 80.0 Crores in Q1FY25 to Rs. 143 Crores in Q1FY26, and it rose by 218 percent QoQ from Rs. 44.9 Crores in Q4FY25 to Rs. 143 Crores in Q1FY26. The earnings per share (EPS) for the quarter stood at Rs. 5.16, compared to Rs. 1.66 in the previous year’s quarter.
The company maintains a strong financial position with a low debt-to-equity ratio of 0.05 and healthy liquidity, as its current assets exceed current liabilities. This indicates financial stability and low reliance on external borrowing.
Over the past three years, the company has delivered solid performance with an average ROCE of 15.76%, showcasing efficient capital usage. It has also achieved impressive average revenue growth of 21.79% and net profit growth of 44.09%, reflecting strong momentum and profitability.
Revenue Segmentation & Others
In the latest quarter, HBL Engineering Ltd reported segment revenues of Rs. 337.38 crore from Industrial Batteries (up from Rs. 333.67 crore YoY), Rs. 73.65 crore from Defence & Aviation Batteries (down from Rs. 92.16 crore), and Rs. 180.40 crore from Electronics (up from Rs. 87.30 crore). Unallocated revenue stood at Rs. 12.63 crore, compared to Rs. 10.20 crore in the same quarter last year.
HBL Engineering Ltd, formerly known as HBL Power Systems Limited, is a prominent Indian company specializing in the design, development, and manufacturing of advanced battery technologies, power electronics, and engineering solutions.
It specializes in three key areas: Batteries, producing a variety of specialized types like Lead Acid, Nickel Cadmium, Silver Zinc, and Lithium for defense, railways, aviation, and industrial use; Electronics, focusing on railway and electric mobility solutions such as the Kavach Train Collision Avoidance System and electric drivetrain kits; and Defense, developing specialized batteries for military aircraft and torpedoes alongside electronic systems for defense applications.
The company has a set of prominent clients with which they have strong, long-term relationships, including the Indian government customers, the Indian Air Force, Navy, Ministry of Defence labs, and Indian Railways, with certifications to deploy safety-critical systems.
Written by Sridhar J
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