The Anup Enginee Q2 FY27 Results (NSE: ANUP)
Signal: Revenue declined
The read
The quarter shows a sequential revenue recovery to ₹18,240.34 lakh from ₹12,524.92 lakh, but the core trajectory remains impaired: gross margin compressed 848bps YoY to 45.0%, EBITDA margin fell 1222bps to 10.1%, and PAT declined 79.5% to ₹658.36 lakh; this is the second consecutive quarter of material margin contraction after Q1FY27's 1547bps decline.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹182.4 Cr | -21.5% | +45.7% |
| EBIT | ₹9.8 Cr | -78.1% | |
| Net profit | ₹6.58 Cr | -79.5% | |
| EPS | ₹3.29 | -79.4% | |
| EBIT margin | 10.1% |
P&L walk
Revenue declined 21.5% YoY to ₹18,240.34 lakh, while gross margin compressed 848bps to 45.0% as raw-material cost rose to 55.0% of revenue; EBITDA margin fell to 10.1% and PAT dropped 79.5% to ₹658.36 lakh.
Segments
The group reports a single Engineering Products segment; consolidated PAT of ₹658.36 lakh was 28.0% below standalone PAT of ₹914.97 lakh, showing that the subsidiary dragged group earnings despite the parent remaining profitable.
Key positives
- Consolidated revenue recovered 45.7% QoQ to ₹18,240.34 lakh from ₹12,524.92 lakh, although it remained 21.5% below the year-ago quarter.
- Standalone H1 operating cash flow improved to ₹6,572.08 lakh from negative ₹6,148.26 lakh in H1FY26, supported by working-capital movements.
- Finance cost declined 12.0% YoY to ₹185.27 lakh despite higher consolidated borrowings, while no equity shares were issued in the current quarter.
Key concerns
- Gross margin compressed 848bps YoY to 45.0% as raw-material and work-in-progress consumption reached 55.0% of revenue versus 48.3% a year earlier; the filing does not disclose the cause.
- EBITDA margin fell 1222bps YoY to 10.1% and PAT declined 79.5% to ₹658.36 lakh, extending the profitability deterioration visible in Q3FY26 and Q4FY26.
- Consolidated revenue of ₹18,240.34 lakh exceeded standalone revenue of ₹16,711.74 lakh, but consolidated PAT of ₹658.36 lakh was below standalone PAT of ₹914.97 lakh, indicating subsidiary drag.
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