ELECTROSTEEL CASTINGS LTD. Q4 FY26 Results

Summary

Electrosteel Castings Limited faced a challenging FY25-26, reporting a consolidated total income of ₹6,133 Crores, a substantial 17.6% decrease from the prior year, primarily due to muted demand and lower government spending on water infrastructure projects. Consolidated Profit After Tax (PAT) plummeted by 77.2% to ₹161 Crores for the full fiscal year, with Q4FY26 PAT also seeing a sharp decline of 90.5% to ₹16 Crores. The company's consolidated EBITDA margin contracted by 622 basis points to 9.4% for FY25-26 and stood at 6.5% for Q4. Looking ahead, the company expresses optimism, anticipating a demand recovery by early Q2 FY2026-27, buoyed by the Government's significantly enhanced budget allocation of ₹8.69 Lakh crores for the Jal Jeevan Mission 2.0.

Key Highlights

1. 1

   Electrosteel Castings Limited reported a consolidated total income of ₹6,133 Crores for FY25-26, marking a 17.6% decline year-over-year, attributed to muted demand and lower government spending.

2. 2

   For Q4FY26, consolidated total income decreased by 12.0% year-over-year to ₹1,530 Crores.

3. 3

   Consolidated Profit After Tax (PAT) for FY25-26 significantly dropped by 77.2% to ₹161 Crores, which included a provision of ₹38 crores made in compliance with the new labour code.

4. 4

   Consolidated EBITDA for FY25-26 stood at ₹574 Crores with an EBITDA margin of 9.4%, representing a decrease of 622 basis points compared to the previous fiscal year.

5. 5

   Q4FY26 consolidated PAT saw a sharp decline of 90.5% year-over-year, reaching ₹16 Crores, while PAT margin stood at 1.0%.

6. 6

   Sales volume for DI pipes, fittings, and CI pipes declined to 5.84 Lakh tons in FY25-26 from 7.81 Lakh tons in FY24-25, and to 1.48 Lakh tons in Q4FY26 from 1.89 Lakh tons in Q4FY25.

7. 7

   The company anticipates a restoration of demand by early Q2 FY2026-27, driven by the Government's enhanced budget outlay of approximately ₹8.69 Lakh crores for the Jal Jeevan Mission 2.0.