Orient Electric (ORIENTELEC) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 revenue was ₹879.34 crore, up 25.2% YoY; EBITDA was ₹56.8 crore, up 49.7%, and net profit was ₹27.06 crore, up 124.4%.

• Growth was broad-based across ECD and Lighting & Switchgear, with Wires and Switchgear scaling rapidly.

Financial highlights

• Q2 revenue was ₹879.34 crore vs ₹702.61 crore YoY; pre-exceptional PBT was ₹36.47 crore vs ₹16.30 crore.

• H1 revenue was ₹1,829.10 crore, up 24.3%; EBITDA was ₹123.4 crore, up 46.9%, and net profit was ₹58.55 crore, up 97.9%.

• Q2 gross profit was ₹255.2 crore, up 15.2% YoY; total expenses were ₹846.79 crore vs ₹688.81 crore.

• Project Sanchay generated ₹13 crore in Q2 and ₹23 crore in H1 savings; gross margin faced input-cost inflation.

• H1 exceptional charge of ₹3.96 crore related to Noida facility consolidation; Q2 exceptional items were nil.

Outlook and guidance

• Management expects growth above its prior 15%+ CAGR guidance, prioritizing volume-led growth; inflation remains unpredictable.

• Double-digit EBITDA margin remains a long-term aspiration; margins are expected to trend closer to it from H2 and over the next four to six quarters.

• Long-run gross margin guidance remains ~32%; pricing and mix improvement may support recovery if inflation slows.

• FY27 Project Sanchay savings are expected to exceed last year's ~₹70 crore, with a larger portion accruing in H2.

• Lighting enquiry pipeline remained strong; calibrated pricing and continued cost actions supported margin resilience.