Graphite India reported a robust Q3 FY2026, with consolidated net sales growing 22.8% YoY to Rs. 642 Crores. Standalone figures showed even stronger growth at 24.4% YoY. The company returned to profitability in Q3 FY2026 with a consolidated net profit of Rs. 67 Crores, contrasting with a loss in the previous year. Capacity utilization stood strong at 87%, and the company maintains a significant Net Cash balance of Rs. 3,966 Cr consolidated.
Q3 FY2026 Consolidated Financial Highlights
Graphite India Limited announced its financial results for the quarter ended December 31, 2025 (Q3 FY2026), showcasing significant year-over-year improvements driven by volume and realizations. Consolidated Net Sales reached Rs. 642 Crores, marking a 22.8% growth compared to Q3 FY2025. Consolidated EBITDA soared to Rs. 150 Crores, up substantially from Rs. 11 Crores in Q3 FY25. The company recorded a Consolidated Net Profit of Rs. 67 Crores, a major turnaround from the Net Loss of Rs. 21 Crores reported in the same period last year. EPS for the quarter was Rs. 3.50 per share.
Standalone Performance Shows Strength
The standalone results mirrored the positive trend. Standalone Net Sales grew by 24.4% YoY to Rs. 643 Crores. Standalone EBITDA was strong at Rs. 182 Crores (compared to Rs. 32 Crores in Q3 FY25), and the Net Profit was Rs. 100 Crores, up from Rs. 3 Crores previously. Standalone capacity utilization improved to 87% in Q3 FY2026.
Nine Months Ended December 2025 (9M FY2026) Summary
For the first nine months of FY2026, consolidated Net Sales grew by 7.5% YoY to Rs. 2,036 Crores. Consolidated EBITDA stood at Rs. 475 Crores, while the Net Profit was Rs. 276 Crores (a decline of 32.5% YoY). On a standalone basis, Net Sales grew by 12.5% YoY to Rs. 1,996 Crores, and Net Profit was Rs. 337 Crores.
Robust Balance Sheet and Leverage Profile
The company maintains a highly liquid financial position. Consolidated figures show a Net Cash balance of Rs. 3,966 Crores as of December 25, with Gross Debt at only Rs. 195 Crores. Standalone Net Cash stood at Rs. 3,850 Crores. This strong capital structure provides significant financial flexibility for future strategic initiatives.
Chairman’s Outlook and Strategic Diversification
Chairman K K Bangur noted that while global crude steel production declined in 2025, India’s production increased by 10.2% YoY. Looking ahead, global steel demand is projected to grow by 1.5% in 2026, with India expected to lead with 9.0% growth. Despite margin pressure on graphite electrodes due to pricing, the company is strategically diversifying. The Board approved a major investment of Rs. 4,330 crores to enter the production of Synthetic Graphite Anode Materials (SGAM) for the Electric Vehicle (EV) ecosystem. Furthermore, the shift towards EAF-based steelmaking is expected to benefit Graphite India through improved demand for graphite electrodes.
Industry Context and Future Trends
The Graphite Electrode Industry is influenced by stringent environmental regulations, favoring the Electric Arc Furnace (EAF) process over traditional methods. India’s national steel policy targets 300 million MT of production capacity by 2030. Graphite India continues to focus on its core strength in UHP electrodes while selectively investing in new age technologies.
Segment Performance Review (Q3 FY2026)
The core business, Graphite and Carbon, saw consolidated revenue rise 23.4% YoY to Rs. 580 Crores. Profit before tax and interest for this segment grew significantly to Rs. 32 Crores, compared to a loss of Rs. 13 Crores in Q3 FY25. The standalone Graphite and Carbon segment profit before tax and interest saw an even stronger rise to Rs. 49 Crores.
Source: BSE
