Synopsis:
Vijay Kedi backed company’s shares fell over 8% in today’s trading session after announcing Q2 results.
A small-cap company that manufactures and sells power transmission and material handling equipment in India and internationally, is in the spotlight today after posting Q2FY26 results. Read the article below for detailed insights into its performance.
With a market capitalization of Rs. 12,532.74 crore, the shares of Elecon Engineering Company Limited were closed at Rs. 558.50 on Friday, down by 7.51 percent from its previous closing price of Rs. 603.85.
The stock has reached a low of Rs. 543.20 in today’s trading session. As of September, 2025, the ace investor Vijay Kishanlal Kedia holds 1 percent stake in the company.
Q2FY26 Results
Elecon Engineering Company Ltd reported Rs. 578.13 crore in revenue for the second quarter of FY26, 13.8 percent increase over the Rs. 508.14 crore for the same period in FY25. It increased by 17.84 percent as compared to Rs. 490.57 crore in Q1 FY26.
The company’s EBITDA for Q2 FY26 stood at Rs. 125.64 crore, down by 3.58 percent from Rs. 130.30 crore in Q1 FY25, but rose by 11.88 percent from Rs. 112.30 crore in Q2 FY25.
The consolidated net profit for the second quarter of FY26 was Rs. 87.72 crore, which was 50 percent lower than the Rs. 175.44 crore reported in the previous quarter and same in Q2 FY25. Profit growth was also reflected in earnings per share (EPS), which decreased to approximately Rs. 3.91 in Q2 FY26 from Rs. 7.82 in Q1 FY26.
Also Read: Smallcap stock jumps 3% after receiving ₹542 Cr order from IIT Bombay for construction project
Management View
Shri Prayasvin B. Patel, Chairman & Managing Director of Elecon Engineering, stated that the company reported Q2FY26 revenue of Rs. 578 crore, up 13.8 percent YoY, with EBITDA of Rs. 126 crore (21.7 percent margin) and PAT of Rs. 88 crore (15.2 percent margin).
The order intake for the quarter was Rs. 688 crore, up 28 percent YoY, reinforcing confidence in meeting full-year guidance. He highlighted strong performance in the Material Handling Equipment division, which grew 33 percent YoY, and steady growth in the Gear division, supported by robust domestic demand across steel, power, and cement sectors.
Dr. Patel emphasized that Elecon’s growth strategy focuses on advanced manufacturing, R&D, strategic international partnerships, and scaling high-growth segments. With continued traction in overseas markets, the company aims to achieve 50 percent of consolidated revenue from international operations by FY30. These initiatives position Elecon to expand its domestic and global presence while delivering sustainable, profitable growth.
Dividend Declared
The company has announced an interim dividend of Rs. 1 per equity share, with October 16, 2025, designated as the record date to determine eligible shareholders.
About the company
Elecon Engineering Company Limited, established in 1951, is one of India’s and Asia’s largest manufacturers of Industrial Gears and Material Handling Equipment, with seven decades of expertise.
The company operates a 3,35,000 sq. meter manufacturing facility and serves over 95 countries through a global network of distributors and representatives. Its offerings include design, manufacturing, supply, erection, and commissioning of products, primarily catering to sectors such as cement, sugar, defense, steel, mining, and power.
Written By Akshay Sanghavi
Disclaimer
The views and investment tips expressed by investment experts/broking houses/rating agencies on tradebrains.in are their own, and not that of the website or its management. Investing in equities poses a risk of financial losses. Investors must therefore exercise due caution while investing or trading in stocks. Trade Brains Technologies Private Limited or the author are not liable for any losses caused as a result of the decision based on this article. Please consult your investment advisor before investing.
