VST Industries Q2 FY26 Earnings Results

VST Industries is engaged inter-alia in manufacture and trading of Cigarettes, Tobacco and Tobacco products.

Q2 FY26 Earnings Results

Revenue from Operations: ₹335.31 crore, down 6.59% YoY from ₹359.42 crore and up 13.31% QoQ from ₹296 crore in Q1 FY26.
EBITDA: ₹78.62 crore, up 16.25% YoY with a margin improvement to 23.45% from 18.66% YoY, reflecting better operational efficiency and cost management.
Profit After Tax (PAT): ₹59.21 crore, up 24.47% YoY and 5.49% QoQ, benefiting from operational leverage despite revenue decline.
Employee cost declined 6.77% YoY to ₹31.79 crore; depreciation steady at ₹12.16 crore.
Operating cash flow weakened compared to last year but capital light model sustains profitability.
ROE at 26.07% signifies strong capital efficiency amid growth challenges.
Structural headwinds persist including volume decline and regulatory environment but margin improvement offsets revenue pressures.

Management highlighted disciplined cost control and portfolio mix improvement enabling margins expansion despite weak volume trend.
Outlook cautious with focus on sustained operational efficiency, capital allocation discipline and regulatory impact mitigation.
The company plans to maintain steady profitability and improve revenue growth with new product launches and market development.
Existing strong brand and capital efficiency provide resilience during challenging tobacco industry dynamics.

Revenue from Operations: ₹296 crore, down 7.29% YoY.
PAT: ₹56.13 crore, up 3.7% YoY, reflecting margin gains and operational discipline.
EPS: ₹3.30, up from ₹3.13 in prior year.
Employee benefits expenses and raw material costs down YoY aiding profitability.
Management focused on revenue mix refinement and cost efficiency enhancements.

To view the company’s previous earnings and latest concall transcripts, click here to visit the Alphastreet India news channel.