Karamtara Engineering reports 62% revenue growth in Q2 FY27

Karamtara Engineering Limited announced its financial results for the second quarter and first half of FY27, reporting a substantial 62% year-on-year revenue growth in Q2 FY27, reaching ₹1,647 crores. EBITDA saw a 46% increase to ₹196 crores, with a margin of 11.9%. For the first half, revenue grew by 67% to ₹3,228 crores. The company reaffirmed its FY27 revenue growth guidance of 60%-65%.

Karamtara Engineering Announces Strong Q2 FY27 Financials

Karamtara Engineering Limited has disclosed its financial performance for the second quarter and the first half of the fiscal year 2027, demonstrating robust growth across key metrics. The company reported revenue from operations of ₹1,647 crores for Q2 FY27, marking a significant 62% increase compared to the same period last year. International revenue constituted 73% of this, with renewable products contributing 73% of the total revenue.

Profitability and Margins

Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) for the quarter stood at ₹196 crores, reflecting a 46% year-on-year growth, and maintained a healthy margin of 11.9%. Despite ongoing freight costs, the profit after tax (PAT) was ₹94.6 crores, an increase of 37% year-on-year, with a margin of 5.7%.

First Half Performance Highlights

The first half of FY27 (H1 FY27) also witnessed strong performance, with revenue from operations growing by 67% year-on-year to reach ₹3,228 crores. Renewable products accounted for 77% of this revenue. International revenue represented 70% of the H1 total. EBITDA for H1 FY27 was ₹370 crores with an 11.5% margin, showing a 46% year-on-year growth. PAT for the first half was ₹182 crores, up 41% year-on-year, with a margin of 5.6%.

The company noted that its business historically exhibits seasonal patterns, with approximately 45% of annual revenue typically realized in the first six months. The working capital cycle was reduced to 37 days during H1 FY27. Capital expenditure (CAPEX) incurred in H1 was approximately ₹370 crores, contributing to a gross block of ₹2,411 crores and a net worth of ₹2,083 crores.

FY27 Guidance Reaffirmed

Karamtara Engineering reaffirmed its full-year FY27 guidance, targeting revenue growth of 60% to 65% over FY26. This growth is expected to be broad-based, with contributions from its key business segments including solar, wind, transmission, and fasteners.

Strategic Growth Engines

The company highlighted three strategic growth engines shaping its future: transmission line towers, expansion into Saudi Arabia with a multiproduct facility, and a focus on pre-engineered buildings for data centers. The manufacturing infrastructure at Bhachau is also being expanded to support these initiatives.

Source: BSE

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