Olectra Greentech Q2 Results: Profit And Revenue Rise, Margin Narrows
Olectra Greentech Ltd.’s profit for the second quarter of FY26 rose 4.2% year-on-year, according to an exchange filing on Saturday. The company reported a consolidated bottom-line of Rs 49.5 crore, compared to 47.5 crore in the year-ago period.
Revenue Jumps 25.4%
Revenue jumped 25.4% to Rs 657 crore from Rs 524 crore in the corresponding quarter last year. This significant increase in revenue can be attributed to the growth in the company’s electric vehicles and insulator segment businesses.
Earnings Before Interest, Tax, Depreciation, And Amortisation (Ebitda)
Earnings, before interest, tax, depreciation, and amortisation rose nearly 10% to Rs 89.2 crore from Rs 81.2 crore in Q2 FY25. However, the Ebitda margin narrowed to 13.6% from 15.5% in the year-ago period.
Segment-Wise Revenue
The Insulator segment revenue grew to Rs 75.36 crore from Rs 41.20 crore, while the e-vehicle division revenue stood at Rs 581 crore, compared to Rs 482 crore in the second quarter of FY25.
Key Highlights
- Net profit up 4.2% at Rs 49.5 crore versus Rs 47.6 crore
- Revenue up 25.4% at Rs 657 crore versus Rs 524 crore
- Ebitda up 9.8% at Rs 89.2 crore versus Rs 81.2 crore
- Margin at 13.6% versus 15.5%
Stock Performance
The shares of Olectra Green closed 0.64% lower at Rs 1515.60 apiece on the NSE on Friday, compared to a 0.07% decline in the Nifty index. The stock has risen 4.77% year-to-date but fallen 6.06% in the last 12 months.
Resignation Of Directors
The company also informed that its Whole Time Director Reddy Peketi resigned. Earlier in June, the company’s Chairman KV Pradeep had also turned in his resignation citing personal reasons.
Investor Sentiment
The Q2 results of Olectra Greentech have been a mixed bag for investors. While the revenue growth is a positive sign, the narrowing of the Ebitda margin is a concern. The company’s performance in the electric vehicles segment is expected to be a key driver of growth in the coming quarters.
Conclusion
In conclusion, Olectra Greentech’s Q2 results have been a mixed bag. While the company has reported a growth in revenue and profit, the narrowing of the Ebitda margin is a concern. The company’s performance in the electric vehicles segment is expected to be a key driver of growth in the coming quarters. Investors should keep a close eye on the company’s future developments and stock market news to make informed investment decisions.