How Is Elecon Engineering Gearing Up for a Strong FY26 Growth Cycle?
About Elecon Engineering’s Growth Outlook
Elecon Engineering Ltd, a leading player in industrial gear and material handling equipment, has unveiled its FY26 guidance projecting strong growth momentum. With robust order execution and stable margins, the company remains on track for another year of double-digit performance.
FY26 Financial Guidance
💰 Revenue: ₹2,650 Cr, up 19% YoY compared to ₹2,227 Cr in FY25.
⚙️ EBITDA: ₹636 Cr, up 17% YoY, reflecting sustained operational efficiency.
📊 Margins: Stable at 24.0% versus 24.4% last year, indicating cost discipline and pricing strength.
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Long-Term Performance and Industrial Drivers
Between FY22 and FY25, Elecon’s revenue grew at an impressive 22.5% CAGR, while EBITDA expanded at a 30% CAGR. This growth trajectory is supported by strong demand from steel, cement, and mining industries, coupled with higher export orders for specialized industrial gears.
The company’s export share now exceeds 25% of total revenue, underscoring its rising global competitiveness. Increased automation and product diversification have also improved scalability, positioning Elecon well to capitalize on India’s infrastructure upcycle.
Traders tracking industrial stocks may benefit from monitoring our Nifty SEBI Regd Tip for technical updates on capital goods momentum plays.
Investor Takeaway
Indian-Share-Tips.com Bank Nifty Expert Gulshan Khera, CFP®, who is also a SEBI Regd Investment Adviser, notes that Elecon’s performance reflects the broader manufacturing revival in India. With stable EBITDA margins and a robust order book, the company is well-positioned to deliver steady shareholder value through FY26.
Related
How Could Industrial Automation Drive Elecon’s Future Growth?
What Are the Key Risks for Mid-Cap Engineering Stocks in FY26?
SEBI Disclaimer: The information provided in this post is for informational purposes only and should not be construed as investment advice. Readers must perform their own due diligence and consult a registered investment advisor before making any investment decisions. The views expressed are general in nature and may not suit individual investment objectives or financial situations.
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