Shivalik Bimetal Controls (513097) Q2 26/27 earnings summary

Executive summary

• Q2 FY27 consolidated revenue rose 43.95% YoY to ₹197.79 crore and EBITDA increased 61.56% to ₹50.20 crore; H1 revenue grew 38.68% to ₹379.98 crore and EBITDA 48.46% to ₹93.57 crore.

• H1 consolidated PAT reached ₹66.54 crore, up 40.45%; financial statements reported net profit of ₹6,787.06 lakh versus ₹4,763.44 lakh in H1 FY26.

• Growth was driven by higher-value core components and domestic, European and Asian demand; Americas shunt sales remained weak.

• Board declared a ₹2-per-share interim dividend and proposed a 2:1 bonus issue, subject to shareholder approval.

Financial highlights

• Consolidated Q2 gross profit was ₹91.68 crore; EBITDA margin expanded 277 bps to 25.38%, while gross margin declined 157 bps to 45.50%.

• Consolidated H1 gross profit rose 34.61% to ₹169.07 crore; EBITDA margin increased 162 bps to 24.62% and PBT rose 42.98% to ₹89.46 crore.

• Standalone Q2 revenue rose 22.37% to ₹144.91 crore, EBITDA 53.46% to ₹43.26 crore and PAT 37.39% to ₹28.69 crore; H1 revenue reached ₹276.72 crore.

• Standalone Q2 EBITDA margin increased 605 bps to 29.85%; standalone H1 EBITDA margin rose 427 bps to 28.80%.

Outlook and guidance

• FY27 priorities include sustaining core profitability, improving cash conversion after inventory build and allocating capital to programmes with credible customer adoption and returns.

• Customer-led development opportunities could support 30%-40% growth over coming years, conditional on qualification and conversion; assembly opportunities could add ₹100-200 crore at 15%-16% EBITDA margins.

• Higher assembly and contact revenue could reduce blended margins by 1.5-2.5 percentage points; management cited a potential 20%-22% blended margin from a balanced mix of 26%-27% and 15%-16% margin businesses over three years.

• Existing assets are stated to support revenue above ₹1,300 crore without major greenfield risk; strategy targets higher-value PCBA and busbar assemblies, new products, geographic expansion and selective acquisitions.