| Metric | Value (₹ Cr) | Q3 FY26 | Q4 FY25 |
|---|---|---|---|
| Revenue | 368.18 | 11.7% | 11.7% |
| Total Income | 371.18 | 11.7% | 11.0% |
| Expenditure | 350.55 | 12.8% | 10.9% |
| PBT | 20.63 | 3.4% | 13.4% |
| Net Profit | 15.27 | 4.0% | 12.8% |
| OPM | 8.66% | 1.44pp | 0.34pp |
| NPM | 4.11% | 0.68pp | 0.06pp |
| EPS | 1.76 | 3.8% | 12.8% |
Nelcast FY26: PAT Up 30% YoY to ₹48.4 Cr; EBITDA Up 18%
18 May 2026 · 18 May, 7:12 pm
Summary
Nelcast Limited demonstrated strong financial performance in FY26, reporting a 5.8% year-on-year increase in total revenue to ₹1,342.4 Crores. Profit After Tax (PAT) surged by 29.9% year-on-year to ₹48.4 Crores, driven by better utilization, cost discipline, and an improved product mix, which also led to a 95 basis points improvement in EBITDA margin to 9.3%. The company also strengthened its balance sheet by reducing its Debt to Equity ratio to 0.4x. Looking ahead, management expressed a constructive demand outlook, anticipating stronger performance in FY27 supported by an improving export environment and the scale-up of new products despite near-term uncertainties.
Key Highlights
- 1
Nelcast Limited reported a robust 29.9% year-on-year growth in Profit After Tax (PAT) to ₹48.4 Crores for the full fiscal year 2026.
- 2
Full year FY26 revenue increased by 5.8% year-on-year, reaching ₹1,342.4 Crores.
- 3
EBITDA for FY26 grew significantly by 17.8% year-on-year to ₹124.5 Crores, with margins improving by 95 basis points to 9.3% from 8.3% in FY25.
- 4
In the fourth quarter of FY26, total revenue rose by 11.0% year-on-year to ₹371.2 Crores.
- 5
Return on Equity (ROE) and Return on Capital Employed (ROCE) saw healthy improvement in FY26, standing at 8.1% and 10.8% respectively, up from 6.7% and 9.0% in FY25.
- 6
The company strengthened its balance sheet by reducing debt, with the Debt to Equity ratio decreasing to 0.4x in March 2026 from 0.5x in March 2025.
- 7
Strategic initiatives, including the ramp-up of the Pedapariya plant and new product development, are contributing to tangible gains and increasing contribution from higher-value products.
Management Comments
Deepak Reddy Ponnavolu
FY26 has been a year of steady progress for Nelcast as we continued our transition towards a more efficient and value-driven organization. While revenue growth remained stable, profitability improved meaningfully, driven by better utilization, cost discipline and an improving product mix. On the demand front, domestic markets remained strong, particularly in the CV segment. Exports saw a pickup towards the end of the year, led by the U.S. market, partly supported by pre-buying ahead of upcoming emission-related changes. Our strategic initiatives are now reflecting in performance. The ramp-up of the Pedapariya plant and progress in new product development are translating into tangible gains, with increasing contribution from higher-value products supporting margins. While EBITDA per kg moderated in Q4 due to increase in key raw material prices, the overall trajectory through the year reflects the underlying improvement in margins. We also strengthened our balance sheet through disciplined debt reduction, improving financial flexibility and creating headroom for growth. Combined with better utilization, this has supported a steady improvement in our return metrics. Looking ahead, the overall demand outlook remains constructive. While we remain mindful of near-term uncertainties, including geopolitical developments and broader industry-wide operational challenges such as labour availability impacting the start of FY27, the improving export environment, scale-up of new products and a stronger operating foundation position us well to deliver a stronger performance in FY27.
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