Elgi Equipments Q1 FY27 revenue up 23%, margins steady
Indian industrial equipment maker Elgi Equipments reported a 23% year-on-year rise in first-quarter revenue, with operating margins holding firm despite cost pressures.
Elgi Equipments Ltd reported a 23% year-on-year increase in consolidated revenue for the June quarter, driven by strong demand across its compressor and air-treatment segments.
Operating margins remained resilient at 21.5%, unchanged from the same period last year, as the company maintained pricing power and controlled operating expenses. Net profit rose 20% to ₹1.2 billion, supported by higher volumes and stable cost structures.
The industrial equipment manufacturer, based in Ahmedabad, attributed the revenue growth to increased orders from manufacturing, automotive and infrastructure sectors. Management noted that while raw material costs remained elevated, efficiency gains and operational discipline mitigated margin compression.
For the quarter ended June 30, Elgi Equipments posted consolidated revenue of ₹14.8 billion, up from ₹12.1 billion in the year-ago period. Earnings before interest, taxes, depreciation and amortization (EBITDA) increased 22% to ₹3.2 billion, with a margin of 21.6%.
The company maintained its full-year guidance for revenue growth of 15-18% and EBITDA margin in the range of 20-22%, citing sustained demand and ongoing capacity expansions.
Shares of Elgi Equipments were 1.2% higher at ₹1,120 in early trading on the National Stock Exchange, reflecting modest investor optimism following the results.
Priya covers listed equities and corporate earnings, reading quarterly results and guidance for what they signal about sector health and forward valuations.
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