Gallantt Ispat Limited reported a 13% year-on-year increase in revenue for Q2 FY27, reaching INR1,146 crore. This growth was achieved despite planned and unplanned shutdowns at its Gorakhpur plant, which affected volumes but were offset by better realisations. The company is integrating expanded capacity at Gorakhpur and has been awarded a coal block, strengthening its strategic raw material position.
Q2 FY27 Financial Highlights
Gallantt Ispat Limited announced its financial results for the second quarter and first half of FY27. For the quarter ended September 30, 2026, the company’s revenue from operations stood at INR1,146 crore, marking a 13% increase compared to INR1,013 crore in Q2 FY26. This performance was in line with the previous quarter’s revenue. Other income for the quarter was INR18 crore.
The company reported an EBITDA of INR111 crore for the quarter, with an EBITDA margin of 9.64%. This compares to INR185 crore (16.19% margin) in Q1 FY27 and INR135 crore (12.91% margin) in Q2 FY26. The decline in EBITDA was attributed to planned and unplanned shutdowns at Gorakhpur and higher input costs, partially offset by improved realisations. EBITDA per ton was INR6,150, down from INR8,010 in the previous quarter.
Profit before tax for the quarter was INR83 crore, and profit after tax was INR61 crore, resulting in an earnings per share of INR2.51.
First Half FY27 Performance
For the first half of FY27, revenue from operations grew by 7% to INR2,292 crore, compared to INR2,141 crore in H1 FY26. The EBITDA for H1 FY27 was INR296 crore with a margin of 12.91%, down from INR382 crore (17.85% margin) in the previous year. Profit after tax for H1 FY27 was INR184 crore, with earnings per share at INR7.63.
Strategic Developments and Outlook
Gallantt Ispat emphasized its strategy focused on integration, scale, and capital discipline. The company has been awarded a coal block in Singrauli, which, along with its iron ore blocks, secures key raw materials for steelmaking and aims to lower cost base structurally. The expansion project at the Gorakhpur plant, increasing capacity to 1.23 million tons, is being integrated and is expected to be operational in November 2026. Renewable energy projects, including solar plants in Gujarat and Prayagraj, are on track and are expected to save INR30-40 crore annually in power costs.
The company also highlighted its medium-term growth plan, which will be shared in Q4 FY27. Funding for this plan will primarily rely on internal accruals, with a decision on debt and equity mix to be based on project scale and requirements. The company confirmed its capex program of INR3,000 crore is being funded through internal accruals, with INR650 crore spent by September 2026.
Looking ahead, the company anticipates recovery in the second half of FY27, driven by the Gorakhpur capacity expansion, power plant restart, and firmer steel prices as construction activities pick up post-monsoon. Medium-term margin improvement is expected from solar power, debottlenecking, and captive mines, potentially adding INR2,000 per ton to EBITDA.
Source: BSE
