Aditya Vision (540205) Q2 25/26 earnings summary

Executive summary

• Q2 FY26 revenue grew 22% year-over-year to INR 458 crores, driven by festive demand, GST rate changes, and a strong rebound in the last nine days of the quarter.

• Profit after tax for Q2 FY26 increased by 4.2% year-over-year to INR 13 crores, with stable gross and net margins supported by cost control and an optimized product mix.

• Store expansion continued with nine new stores added in Q2, bringing the total to 188 as of September 30, 2025, with a target to surpass 200 stores within the financial year.

• Inventory was strategically built up ahead of the festive season, anticipating higher demand post-GST rate cuts.

• Unaudited financial results for the quarter and half year ended September 30, 2025, were approved by the Board of Directors on November 7, 2025.

Financial highlights

• Q2 FY26 revenue: INR 458 crore (up 22% YoY); H1 FY26 revenue: INR 1,398 crore (up 10.5% YoY).

• Q2 FY26 EBITDA: INR 35 crore (margin 7.6%); H1 FY26 EBITDA: INR 124 crore (margin 8.9%).

• Q2 FY26 PAT: INR 13 crore (up 4.2% YoY); H1 FY26 PAT: INR 68 crore (up 4.0% YoY).

• Diluted EPS for H1 FY26: INR 5.25 (up 3.3% YoY).

• Net cash from operating activities for H1 FY26 was INR 135.65 crore, up from INR 91.06 crore in H1 FY25.

Outlook and guidance

• Management expects robust demand in Q3 and Q4, supported by the festive season, government liquidity schemes, and favorable macroeconomic factors.

• EBITDA margin guidance remains in the 8%-10% range.

• SSSG is expected to remain strong, with continued store expansion and favorable demand trends.

• Focus remains on premiumization and disciplined cluster-based expansion.

• Anticipates demand recovery driven by GST rate cuts and government policies boosting rural disposable income.