Elgi Equipments reports strong Q2 FY26 financial performance, boosted by cash position

Elgi Equipments announced a strong performance for Q2 FY26, with sales growing 11% year-over-year to INR 9,680 mn, contributing to a first-half sales total of INR 18,347 mn. Profit before tax (PBT) increased 28% to INR 1,670 mn for the quarter, reflecting a PBT percentage of 17.3%. Net profit after tax (PAT) rose to INR 1,214 mn, with a PAT percentage of 12.5%. Basic EPS for Q2 FY26 stood at INR 3.85.

The company's EBITDA for Q2 FY26 was INR 1,442 mn, resulting in an EBITDA margin of 14.9%. This figure was impacted by increased employee costs, up by INR 248 mn (15%), and other expenses, which rose by INR 187 mn (13%). Sales mix for Q2 FY26 showed compressors accounting for 91% and automotive for 9%, maintaining a consistent trend. The geographical sales mix indicated India at 52% and Rest of World (ROW) at 48%.

Elgi Equipments' net cash position significantly strengthened, moving from INR 1,897 mn in September 2024 to INR 5,316 mn in September 2025. This improvement was driven by an increase in cash from INR 6,434 mn to INR 9,568 mn, while debt decreased from INR 4,537 mn to INR 4,252 mn over the same period. The company operates in over 120 countries, with a direct presence in 28 and manufacturing in 3.