Carborundum Universal Limited (CUMI) reported its Q3 FY26 results in a recent earnings call. Standalone sales grew by 7.9% to INR 769 crores. Abrasives led the growth, up 9.8%, while Electrominerals increased by 8.9%. Consolidated sales reached INR 1,273 crores, a 2.5% increase. The company addressed challenges in its subsidiaries like Awuko and Foskor, while expressing optimism for Q4 and future growth in ceramics and other segments. They maintain full-year capex guidance of INR 350 crores.
Financial Performance Overview
Carborundum Universal Limited (CUMI) held its Q3 FY26 earnings call, outlining the following key financial results:
- Standalone Sales: Increased to INR 769 crores, a growth of 7.9% compared to the previous quarter.
- Consolidated Sales: Reached INR 1,273 crores, representing a 2.5% increase year-over-year.
Segmental Performance
Abrasives
- Standalone: Sales grew by 9.8% to INR 323 crores.
- Consolidated: Sales increased by 8.1% to INR 569 crores.
Electrominerals
- Standalone: Sales increased by 8.9%, reaching INR 229 crores.
- Consolidated: Sales almost flat with INR 401 crores
Ceramics
- Standalone: Sales decreased by 3.8% to INR 255 crores
- Consolidated: Sales almost flat with INR 316 crores.
Subsidiary Performance
Rhodius
- Achieved net sales of EUR 14.8 million, a 3.5% drop compared to last year.
Awuko
- Recorded sales of EUR 2.4 million, representing 3% growth year-over-year.
VAW
- Sales declined by 46% to RUB 1.4 billion.
Foskor
- Sales decreased by 4.5% to ZAR 101 million.
Guidance and Outlook
- Maintains consolidated sales growth guidance of 5.5% to 6.5%.
- Expects ceramic sales growth of 13% to 14%.
- Abrasives sales are expected to grow by 4% to 5% for the year.
- Consolidated EMD expects sales growth of 1% to 2%.
- Full year capex spend expected to be INR 350 crores.
Challenges and Strategies
The company acknowledged challenges with certain subsidiaries and is taking steps to improve performance. Specifically, they will evaluate Foskor’s performance over the next one to two quarters, and Awuko’s performance over the next year.
Source: BSE
