Net profit slid 16.2% to ₹294 crore in Q2 FY27, a sharp contrast to ₹351 crore a year earlier, even as revenue leapt 40.6% to ₹2,925 crore. Shares fell 1.62% to ₹17,094 on the NSE and BSE, signalling investor nervousness.
Revenue growth, the only bright spot, lifted the company above the automotive sector’s average of roughly 30% for the same period, per the company’s earnings release. Yet the jump came with a tightening of margins.
EBITDA climbed 19.9% year‑on‑year to ₹434 crore, but the EBITDA margin contracted 260 basis points to 14.8% from 17.4% last year, per the filing. The squeeze reflects higher input costs and a shift in product mix.
The firm adopted the new tax regime under Section 115BAA in Q2 FY26, unlocking a one‑time ₹85.46 crore benefit that distorts comparability for profit, EPS and tax expense across FY26 and FY27, as disclosed by the finance team.
Analysts caution that the company lacks forward guidance for Q3 FY27, and the stock remains near the lower end of its 52‑week range. Investors will be watching the next earnings call for any sign of a turnaround or new product launches.