Graphite India reported a 13.4% year-over-year increase in net sales to ₹729 Crores for Q2 FY2026, driven by higher volumes. However, EBITDA declined by 52.5% to ₹132 Crores, and net profit fell by 60.8% to ₹76 Crores due to competitive pressures and raw material costs. The company’s capacity utilization reached 99%. Graphite India maintains a robust net cash balance of ₹3,921 Crores.
Financial Performance Overview
Graphite India’s Q2 FY2026 results show a mixed performance. Net sales reached ₹729 Crores, a 13.4% increase compared to the previous year. However, profitability was impacted by competitive headwinds and raw material costs. EBITDA decreased to ₹132 Crores, and net profit stood at ₹76 Crores.
Segment Analysis
The Graphite and Carbon segment contributed ₹661 Crores to the total revenue, a 19.3% increase year-over-year. The Steel segment generated ₹64 Crores, reflecting a 10.3% growth. Other segments accounted for ₹5 Crores.
Industry Outlook
Global steel production saw a slight decline of 1.0% year-over-year. However, steel production in India continued to outperform, with a 14.9% increase driven by infrastructure investments. Graphite India anticipates moderate growth in global steel demand in 2026.
Strategic Focus
Graphite India is focused on cost competitiveness and improving efficiencies. The company is encouraged by the long-term dynamics of the graphite electrode industry, particularly with the global move towards decarbonization and the adoption of the electric arc furnace process. It is well-positioned to meet rising demand from both Indian and international customers.
Balance Sheet Strength
Graphite India maintains a strong financial position with a net cash balance of ₹3,921 Crores as of September 2025. The company’s robust capital structure provides financial flexibility for future opportunities.
Capacity Utilization
The company’s capacity utilization increased to 99% in Q2 FY2026, compared to 84% in Q2 FY2025.
Source: BSE
