Elin Electronics (ELIN) Q4 25/26 earnings summary

Executive summary

• Q4 FY26 operating revenue rose 3% YoY to INR 324 crores, while FY26 revenue reached INR 12,877 million, up 9% YoY; EBITDA dropped sharply in Q4 to INR 6 crores due to higher raw material costs and supply chain disruptions.

• FY26 EBITDA was INR 546 million (margin 4.2%), with Q4 margin at 1.8%; consolidated loss of INR 0.8 crore in Q4 versus profit of INR 17.2 crore YoY.

• Profit after tax for FY26 was INR 226 million, down from INR 293 million in FY25; Q4FY26 saw a loss of INR 8 million compared to a profit of INR 172 million in Q4FY25.

• Liquidity remains strong with a net cash balance of INR 70 crore and working capital at 59 days, with higher inventory to mitigate supply risks.

• Audited results approved with unmodified opinions; no outstanding defaults on loans or debt securities.

Financial highlights

• Revenue for Q4 FY26: INR 324 crores (up 3% YoY); FY26 consolidated revenue: INR 12,591.39 million, up from INR 11,518.28 million YoY.

• EBITDA for FY26 was INR 546 million (margin 4.2%), with Q4 margin at 1.8% due to higher input costs.

• Gross margin compressed by 390 bps due to raw material cost spikes and INR depreciation.

• Consolidated net loss of INR 0.8 crore in Q4 versus profit of INR 17.2 crore YoY; FY26 PAT was INR 226 million, down from INR 293 million in FY25.

• Cash from operations for FY26: INR 40.6 crore (up from INR 16.7 crore YoY); net working capital days improved to ~59.

Outlook and guidance

• FY27 revenue growth expected at 15% YoY, led by home appliances and fans; margin guidance withheld due to volatile input costs.

• CapEx planned at INR 70–75 crores (INR 700 million), mainly for the new Bhiwadi facility and business expansion.

• Price increases of 10–18% implemented to offset cost pressures, with full pass-through to customers expected by June 2026.

• Bhiwadi facility to start commercial production by August 2026, with revenue potential of INR 550 crores at steady state.

• Targeting net working capital days of ~50 through inventory and payables management.