Sanghi Industries Limited (SANGHIIND) reported its Q3 FY26 results on January 29, 2026. The performance reflects a “growth at a cost” narrative: while revenue continues to climb as the company integrates further into the Adani Cement ecosystem, losses have widened due to surging operational expenses.
Key Financial Highlights (YoY)
| Metric | Q3 FY26 | Q3 FY25 | Change (%) |
| Revenue from Operations | ₹275.0 Crore | ₹259.0 Crore | 6.20% |
| EBITDA | ₹22.8 Crore | ₹30.3 Crore | -24.60% |
| EBITDA Margin | 8.30% | 11.70% | -340 bps |
| Net Loss | (₹115.4 Crore) | (₹97.0 Crore) | Wider by 19% |
| EPS (Basic) | (₹4.47) | (₹3.75) | -19.20% |
Performance Drivers & “The Bad News”
Expense Pressure: Total expenses shot up to ₹399 Crore (+23.4% YoY). The primary culprits were power and fuel costs (₹202 Crore) and a massive jump in depreciation (₹95 Crore vs ₹36 Crore), likely due to updated asset valuations following the Adani acquisition.
The Loss Streak: This marks the 4th consecutive quarter of losses exceeding ₹75 Crore, highlighting the steep climb toward operational break-even.
Interest Burden: Finance costs remain high at ₹51.6 Crore for the quarter, though slightly lower than last year, showing the weight of the company’s high debt-to-equity ratio (approx. 4.0x).
Con-Call & Strategic Highlights (Adani Era Updates)
Management discussed the roadmap for the company’s turnaround, focusing on efficiency and integration:
Merger Progress: The NCLT hearing for the merger with Ambuja Cements was completed on January 29, 2026. The entire merger process is expected to be finalized by March 2026, which will allow for better tax synergies and resource pooling.
Decarbonization Focus: In a bid to lower fuel costs, the company is integrating Coolbrook’s RotoDynamic Heater (RDH) technology. This is part of the broader goal to reach a 30% Alternative Fuel Ratio (AFR) by FY28.
Operational Synergy: Sales are being streamlined within the Gujarat, Rajasthan, and Maharashtra markets to leverage the Adani Group’s logistics and branding power.
Legal Clarity: The company received ₹40 Crore from erstwhile promoters as an indemnity claim related to ongoing electricity duty litigation with the Gujarat government.
Bottom Line & Conclusion
The market is currently viewing Sanghi Industries as a restructuring play. Operationally, the revenue growth shows that the product is moving, but the “bottom line” is being crushed by the legacy cost structure and higher depreciation.
Investor Outlook: The stock is likely to remain volatile until the Ambuja merger is officially completed, which is seen as the ultimate “clean-up” event for the balance sheet.