Elgi Equipments Ltd

Elgi Equipments Q3 2025-26: Sales Up 18% 📈 | PBT Rises 30% | EBITDA Below Expectations

• Sales grew by 18% in Q3 2025-26

• PBT up 30% in Q3 2025-26

• EBITDA was around ₹1,400 million instead of expected ₹2,000 million

• Revenue split: over 90% from compressors, 8% from automotive

• Geographic revenue distribution: roughly 50-50 between India and international markets

• Tariff impacts reduced from 50% to around 18%

• Low-cost screw compressor launch may slip to Q2 next year

• Cost mitigation efforts expected to show positive margin effects starting Q2 next financial year

• Inventory levels high at about 6 months (target is 3-3.5 months)

• India showed strong growth, US performed well despite challenges

• Europe remains unprofitable with ongoing cost optimization

• Southeast Asia is weak but under reorganization

• Raw material price increases being managed through cost reductions

• Motor manufacturing is a strategic focus with new technology investments