Incorporated in 1991, Vesuvius India Ltd manufactures and trades refractory goods.
Q2 FY26 Earnings Results
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Net Sales: ₹546.24 crore, up 23.16% YoY from ₹443.52 crore in Q2 FY25, and 4.34% sequentially from ₹523.53 crore in Q1 FY26.
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Operating Profit (EBITDA excl. other income): ₹92.39 crore, slightly up QoQ from ₹91.32 crore but down from ₹94.97 crore in Mar 2025. Operating margin slipped to 16.91% from 17.44% QoQ and 17.79% YoY.
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Profit After Tax (PAT): ₹61.54 crore, down 10.12% YoY and 2.32% sequentially from ₹63 crore in Q1 FY26.
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Other Income: ₹7.23 crore, down from ₹8.45 crore QoQ and ₹23.12 crore YoY, impacting net profitability.
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Tax rate stable at 25.58% against 23.81% a year ago.
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Fixed assets rose to ₹345.16 crore from ₹228.04 crore last year, indicating ongoing capital investments.
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Working capital management good; current assets ₹1,172.80 crore.
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Interest coverage exceeds 100 times, showing strong debt service capability and financial flexibility.
Management Commentary & Strategic Insights
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Management notes strong demand across steel and foundry sectors benefiting from technological differentiation and market share gains.
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Margin pressures arose from raw material cost increases and operational headwinds but are partly managed by pricing and operational efficiencies.
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Capital expenditure focused on capacity expansion and innovation to sustain long-term growth.
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Stable promoter holding with zero share pledging; growing institutional ownership supports confidence.
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Management cautious about economic uncertainties but optimistic about strengthening demand into 2026.
Q1 FY26 Earnings Results
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Revenue: ₹523.53 crore, up 13.38% YoY and 8.73% QoQ from ₹481 crore in Q4 FY25.
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PAT: ₹63 crore, down 6.46% YoY from ₹67.35 crore last year.
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EBITDA margin stable near 17.44%, consistent with long-term averages despite inflationary pressures.
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Depreciation: ₹15 crore; tax expenses around ₹22 crore.
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Company is well-positioned for expected H2 growth and margin recovery amidst an uncertain macroeconomic environment.
To view the company’s previous earnings and latest concall transcripts, click here to visit the Alphastreet India news channel.