Kanohar Elect. Q2 FY27 Results (NSE: KANOHAR)
Signal: Margin expansion
The read
The trajectory remains acceleration-led rather than merely volume-led: Q2 revenue grew 112.4% to ₹208.6 Cr while EBITDA grew faster at 167.2% to ₹73.1 Cr, expanding margin 720bps to 35.0% as shunt reactors reached 21.7% of H1 revenue and high-voltage products reached 77.7%. The ₹2,711.2 Cr order book, executable over 24–30 months, supports visibility, while FY27 revenue guidance remains ~₹950 Cr with an EBITDA margin profile similar to FY26.
| Metric | Value | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹208.6 Cr | 112.4% | N/A |
| Net profit | ₹53.9 Cr | 179.7% | |
| EBIT margin | 35.0% |
P&L walk
Standalone Q2 revenue rose 112.4% to ₹208.6 Cr and EBITDA increased 167.2% to ₹73.1 Cr, lifting EBITDA margin from 27.8% to 35.0%; PAT grew 179.7% to ₹53.9 Cr, supported by higher volumes and a richer high-voltage and shunt-reactor mix.
Segments
The mix shift is the main earnings driver: transformers rose to 87.8% of H1 revenue from 75.9%, shunt reactors reached 21.7% from 0.0%, and 220 kV-plus-400 kV products reached 77.7% from 53.3%; EPC fell to 12.2% from 24.1%.
Key positives
- Q2 revenue reached ₹208.6 Cr, up 112.4% YoY, while H1 revenue reached ₹345.7 Cr, up 108.8% YoY.
- EBITDA grew 167.2% YoY to ₹73.1 Cr and EBITDA margin expanded 720bps to 35.0%, with growth outpacing revenue.
- Shunt reactors contributed 21.7% of H1 revenue versus 0.0% in H1FY26, while 220 kV and 400 kV products reached 77.7% versus 53.3%.
- Fresh orders of approximately ₹867.3 Cr lifted the outstanding order book to ₹2,711.2 Cr, executable over 24–30 months.
Key concerns
- The company must deliver approximately ₹604.3 Cr of revenue in the remaining nine months of FY27 to reach its ~₹950 Cr guidance, after reporting ₹345.7 Cr in H1.
- EPC's share of H1 revenue declined to 12.2% from 24.1%; the improved margin profile therefore depends increasingly on sustained transformer and high-voltage execution.
Research and educational content only. Not investment advice.