Elecon Engineering Company reported revenue of INR 552 crores in Q3 FY26, a 4.3% increase year-over-year. The Gear business was largely flat due to timing issues, while the MHE division grew by 16%. Consolidated EBITDA was INR 109 crores, with margins impacted by flat revenue and higher employee costs. The company has revised its FY26 revenue outlook downwards by up to 5%.
Q3 FY26 Financial Highlights
Elecon Engineering Company announced its Q3 FY26 results, reporting a consolidated revenue from operations of INR 552 crores, compared to INR 529 crores in Q3 FY25. This represents a year-on-year growth of 4.3%. Profit after tax for the quarter stood at INR72 crores.
Segment Performance
The Gear business reported revenue of INR429 crores, reflecting a flat year-on-year performance. The MHE division continued its strong growth, with quarterly revenue reaching INR123 crores, a 16% year-on-year increase driven by demand in the power, cement, and mining sectors. Adjusted consolidated revenue for the nine months ended December 2025 stood at INR1,595 crores.
Order Book and Outlook
The consolidated order intake for Q3 FY26 was INR701 crores, a 7% year-on-year increase. The company’s open order book stood at INR1,372 crores. Elecon has revised its FY26 revenue outlook downwards by up to 5%, and adjusted EBITDA margins may be lower by up to approximately 2 percentage.
Strategic Developments
Elecon maintains a strong net cash balance of approximately INR600 crores. The company’s capital expenditure outlay for FY26 to 2028 is estimated at INR400 crores. They are focused on equipment supply and after-sales service and have no intention of entering into EPC business.
Geographical Performance
The domestic market contributed 76% of the consolidated revenue, while overseas markets accounted for the remaining 24%. The company is optimistic about growth opportunities in the Middle East and Europe, especially due to better after-sales service compared to Chinese competitors.
Source: BSE
