Sansera Engineering (SANSERA) Q2 25/26 earnings summary

Executive summary

• Achieved record quarterly performance in Q2 FY2026 with consolidated revenue of INR 8,252 million, EBITDA margin of 17.3%, and PAT margin of 8.7%, despite export slowdowns and cost pressures.

• Strong ADS division growth, with Q2 sales of INR 496 million and an order backlog exceeding INR 39,500 million.

• Domestic sales grew 8.5% year-on-year, with best-ever results in both auto and non-auto segments; international business grew 7.3% year-on-year, led by Sweden and the ADS division.

• Board approved unaudited financial results for Q2 and H1 FY26, with statutory auditors issuing an unmodified review report.

• Strategic investment in MMRFIC Technology Private Limited, increasing shareholding and expanding into high-tech sectors.

Financial highlights

• Consolidated revenue from operations for Q2 FY26 was INR 8,252 million, up 8% year-on-year; EBITDA for the quarter was INR 1,431 million (17.3% margin); PAT was INR 714 million (8.7% margin).

• H1 FY26 consolidated revenue reached INR 15,915 million, with EBITDA margin of 17.3% and PAT margin of 8.4%.

• Gross margin remained stable at 41.2%; EBIT margin at 12.6%.

• Operating cash flow (net of taxes) for H1 was INR 2,050 million, representing 13% of operating revenue.

• Basic EPS (consolidated) for Q2 FY26 was INR 11.56, up from INR 9.38 in Q2 FY25.

Outlook and guidance

• H2 FY2026 expected to be much stronger than H1, with full-year growth likely to reach low to mid-teens.

• ADS business projected to reach INR 3,000–3,200 million in FY26 sales, with capacity expansion underway and further growth targeted for FY27.

• Company aims to leverage MMRFIC investment to access high-technology markets such as Defence, Aerospace, Healthcare, Security, Telecom (5G), and Automotive.

• Order book expected to reach peak annual revenue in the next 3 years, with ongoing addition of new orders across segments.

• CapEx of approximately INR 2 billion incurred in H1, with non-auto and ADS as top priorities.