Harsha Engineers International (HARSHA) Q4 25/26 earnings summary

Executive summary

• Achieved strong growth in FY26, with consolidated revenue of ₹1,62,679 lakhs and EBITDA of ₹27,817 lakhs, driven by robust export, domestic, and solar segment demand.

• Solar business posted revenue of ₹18,323 lakhs and PAT of ₹1,007 lakhs, more than doubling last year's profit.

• India engineering business, including Advantek, grew 14% year-over-year, with bushings and large size cages as key growth drivers.

• Export sales from India rose 17% year-over-year, with notable growth in the U.S., Japan, and Europe, aided by US tariff reductions.

• Audited results received unmodified opinions; board recommended a final dividend of Rs.1.5 per share and approved new auditors and an ESOP scheme.

Financial highlights

• FY26 consolidated revenue: ₹1,62,679 lakhs (up from ₹1,40,765 lakhs); EBITDA: ₹27,817 lakhs (17.1% margin); PAT: ₹15,520 lakhs (9.5% margin).

• Solar business FY26 sales: ₹18,323 lakhs; PAT: ₹1,007 lakhs.

• Bushing segment revenue: INR 127 crore, up 25% year-over-year; large size cages revenue: INR 49 crore, up 14% year-over-year.

• Foreign subsidiaries' net loss reduced to ₹9.3 crores in FY26 from ₹14 crores in FY25.

• Standalone EBITDA for FY26 was Rs.25,528 lakhs, up from Rs.12,709 lakhs in FY25.

Outlook and guidance

• Expecting double-digit top-line growth in FY27, with India engineering segment targeting mid-teen growth.

• Bushing and stamping businesses projected to grow 25%-30% and 20% respectively; solar business expected to grow over 25% with stable or improved EBITDA margins.

• EBITDA margin expected to improve by 100-200 basis points over 2-3 years.

• China Brownfield expansion project underway, expected to be operational in H2 FY28.