SJS Enterprises (SJS) Q2 25/26 earnings summary

Executive summary

• Achieved highest-ever quarterly revenue and profitability in Q2 FY26, with 25.4% YoY revenue growth to INR 2,417.6 million, outpacing industry growth for the 24th consecutive quarter, driven by strong two-wheeler (44.3% YoY) and passenger vehicle (16.5% YoY) segments, and robust export growth of 40.9% YoY.

• EBITDA grew 40.9% YoY to INR 728.4 million with margins at 29.6%; PAT increased 48.4% YoY to INR 432.7 million, margin at 17.9%.

• Strategic MoU signed with BOE Varitronix for automotive display solutions, marking entry into advanced display technologies and manufacturing in India.

• Recognized with multiple industry awards, including Great Place to Work, ACMA Kaizen, CII's Leading CFO of the Year, and renewed certification for the sixth consecutive year.

• Approved unaudited standalone and consolidated financial results for Q2 and H1 FY26, with no material misstatements noted by statutory auditors.

Financial highlights

• Q2 FY26 consolidated revenue: INR 2,417.6 million (+25.4% YoY); EBITDA: INR 728.4 million (+40.9% YoY), margin at 29.6%; PAT: INR 432.7 million (+48.4% YoY), margin at 17.9%.

• H1 FY26 revenue: INR 4,514.1 million (+18.4% YoY); EBITDA: INR 1,315.7 million (+28.7% YoY), margin at 28.7%; PAT: INR 778.9 million (+35.7% YoY), margin at 17.3%.

• Free cash flow to firm (FCFF) at INR 677.7 million; net cash position at INR 1,588.8 million as of September 30, 2025.

• Exports reached record INR 231.9 million in Q2 (+40.9% YoY), contributing 9.6% of total revenue; domestic sales grew 24.0% YoY.

• Standalone revenue for Q2 FY26 was INR 1,453.06 million, with net profit at INR 323.19 million.

Outlook and guidance

• Guidance revised upwards: expects to outperform industry growth by over 2.5x in FY26, with over 90% of FY26 forecast revenue already in the order book.

• Targeting export revenue share of 14%-15% by FY28, with strong order book and robust EBITDA margins.

• Margin guidance raised to 27% for FY26, with long-term expectation of 25%-27% as export share rises.

• Capacity expansions in Bangalore and Pune progressing, with new greenfield chrome plating and painting facility underway.

• Management does not foresee any impact from ongoing tax proceedings on financial results.