Lloyds Metals and Energy Q2 FY27 results: net profit up 80.3% to ₹1,023 crore, revenue up 55.4%

How did Lloyds Metals and Energy perform in Q2 FY27?

Lloyds Metals and Energy reported consolidated revenue of ₹5,673 crore for Q2 FY27, up 55.4% from ₹3,651 crore in Q2 FY26. EBITDA rose 72.9% to ₹1,804 crore, and the EBITDA margin increased to 31.8% from 28.6%. Profit before tax was ₹1,338 crore and net profit was ₹1,023 crore, up 80.3% from ₹567.39 crore a year earlier; basic EPS was ₹18.57 against ₹11.04.

Against Q1 FY27, consolidated revenue fell 22.9% to ₹5,673 crore from ₹7,354 crore. EBITDA declined to ₹1,804 crore from ₹2,781 crore, the margin eased to 31.8% from 37.8%, and net profit fell to ₹1,023 crore from ₹1,734 crore. Basic EPS was ₹18.57, compared with ₹30.68 in the previous quarter. On the standalone basis, revenue was ₹4,132.03 crore and net profit was ₹1,111.89 crore.

What changed in Lloyds Metals and Energy's costs and profit?

Against Q2 FY26, total expenses rose 48.2% to ₹4,374 crore. Cost of materials increased ₹283.57 crore to ₹767.29 crore, employee cost rose ₹24 crore to ₹391.84 crore, finance costs increased ₹102.88 crore to ₹278.68 crore, depreciation rose ₹59.43 crore to ₹225.96 crore and other expenses increased ₹1,010 crore to ₹2,628 crore.

Other income fell ₹15.94 crore to ₹39.53 crore from ₹55.47 crore in the year-ago quarter. Tax expense increased ₹99.21 crore to ₹288.05 crore from ₹188.84 crore, while there was no exceptional item in either quarter. Despite the higher cost lines, EBITDA margin increased by 3.2 percentage points to 31.8% and the net profit margin increased by 2.5 percentage points to 18.0%.

How did the first half of FY27 go?

In the first half of FY27, consolidated revenue rose 112.5% to ₹12,822.64 crore from ₹6,034.87 crore in H1 FY26. Total income increased 112.6% to ₹13,009.01 crore, profit before tax rose 146.5% to ₹3,778.87 crore and net profit increased 130.9% to ₹2,790.98 crore.

Basic EPS for H1 FY27 was ₹49.28, up from ₹23.16 in H1 FY26. Compared with the previous half, revenue was ₹12,822.64 crore against ₹6,034.87 crore, total income was ₹13,009.01 crore against ₹6,118.53 crore, profit before tax was ₹3,778.87 crore against ₹1,533.25 crore and net profit was ₹2,790.98 crore against ₹1,208.98 crore.

What do the balance sheet and cash flow show?

At 30 September 2026, total assets were ₹51,557.29 crore, compared with ₹41,649.87 crore at 31 March 2026. Total equity rose to ₹18,645.99 crore from ₹14,266.05 crore, while borrowings increased to ₹22,690.60 crore from ₹20,380.43 crore. Cash and cash equivalents declined to ₹1,247.49 crore from ₹2,121.86 crore; inventories were ₹2,193.70 crore against ₹2,659.60 crore, trade receivables ₹1,755.31 crore against ₹1,480.51 crore and trade payables ₹2,762.65 crore against ₹2,664.23 crore.

For H1 FY27, operating cash flow was ₹4,114.68 crore, compared with negative ₹1,630.70 crore in H1 FY26. Investing cash flow was negative ₹7,873.95 crore against negative ₹2,504.52 crore, financing cash flow was ₹2,884.90 crore against ₹3,645.10 crore, and capital expenditure was ₹7,619.83 crore against ₹2,870.89 crore. The company did not report closing cash in the cited cash-flow figures.

How has Lloyds Metals and Energy done over the last 8 quarters?

The quarterly series shows revenue rising from ₹1,193.30 crore in Q4 FY25 to ₹7,354.40 crore in Q1 FY27 before falling to ₹5,672.53 crore in Q2 FY27. Profit reached ₹1,733.89 crore in Q1 FY27 before easing to ₹1,023.24 crore in Q2 FY27. The EBITDA margin peaked at 42.3% in Q4 FY26 and eased to 31.8% in Q2 FY27. Revenue rose year on year in each of the last five quarters, while profit rose year on year in each of the last six.

Which businesses drove the quarter?

Mining reported Q2 FY27 revenue of ₹1,531.49 crore, down 5.4% from ₹1,619.54 crore in Q2 FY26, and EBIT of ₹461.98 crore, compared with ₹432.96 crore a year earlier. The segment’s EBIT margin was 30.2%.

Steel and related value-added products reported revenue of ₹3,189.99 crore, up 165.9% from ₹1,199.63 crore, and EBIT of ₹960.19 crore against ₹370.70 crore. The segment’s EBIT margin was 30.1%. MDO Operation and other related services reported revenue of ₹2,016.86 crore and EBIT of ₹137.20 crore, while Copper and related product reported revenue of ₹333.93 crore and EBIT of ₹18.24 crore; year-ago comparisons were not given for these two segments.

What else did the company announce?

On 3 November 2026, the board approved the Q2 and H1 FY27 standalone and consolidated results, as well as a 360 MW thermal power plant at Konsari, Maharashtra, comprising 2 × 180 MW. It also gave enabling approval for renewable-energy investments for captive procurement of 168 MW power, subject to approval of terms and conditions. The board approved an additional investment of up to ₹625 crore in subsidiary Thriveni Earthmovers and Infra Private Limited through a rights issue or further issue of capital.

The board also approved raising up to USD 300 million through foreign-currency-denominated notes and/or INR non-convertible debentures and/or other debt securities, subject to regulatory and statutory approvals. Employee stock options of 62,000 under the 2017 plan and 13,08,571 under the 2024 scheme were granted. No dividend or appointment was reported in the same-day filings.

What did the auditors point out?

The statutory auditors conducted a limited review under the applicable review standard and said their objective was to obtain moderate assurance on whether the interim information was free from material misstatement. The excerpts do not report a qualified opinion or a going-concern qualification; they identify an emphasis of matter.

The emphasis of matter drew attention to the limited review report of Thriveni Sainik Mining Private Limited, a step subsidiary. The auditors highlighted trade receivables of ₹468.71 crore, including other receivables of ₹321.44 crore from NTPC for HPC wages reimbursement. The excerpt says a favourable adjudication order dated November 23, 2021 had granted reimbursement, after which NTPC filed an application; the provided excerpt ends before stating the full conclusion.

What did Lloyds Metals and Energy's management say?

Management described H1 FY27 as the best-ever half and said the standalone EBITDA margin was 38.33%. It attributed the improvement to higher iron ore export limits, a faster pellet-plant ramp-up and improved sponge iron volumes, as well as lower logistics costs from the slurry pipeline, higher realisations and a larger contribution from value-added products such as pellets. The company said it was not chasing volume for its own sake and was building a structurally advantaged business.

The company expects the blast furnace and coke oven in Q4 and targets commissioning of 1.2 Mt of steel and wire-rod capacity in Q1 2027. It targets BHQ beneficiation benefits in FY29 and expects usable iron ore volume to remain at 26 Mt. Management identified funding and leverage requirements from heavy FY27-FY28 capital expenditure, commissioning delays and operating risks at Surya as execution risks. It is targeting total debt at 1–1.5 times forward 12-month EBITDA while pursuing a lower-cost Shemav settlement.

How did Lloyds Metals and Energy shares react?

The results were filed after market hours. From the pre-results close, the stock was up 1.0% on the reaction day and was up 1.2% by the next day’s close. The Industrial Minerals sector’s median move was 3.5% on the reaction day and 3.1% by the next day’s close, leaving Lloyds Metals and Energy 2.5 percentage points behind the sector on the reaction day and 1.8 percentage points behind by the next day’s close. The Nifty Midcap 150 was up 1.6% on the reaction day.

Earlier results-day reactions were mixed: the stock was down 3.6% on 10 August 2026, down 0.5% on 5 May 2026, up 10.2% on 3 February 2026, down 3.4% on 12 November 2025, up 2.5% on 12 August 2025, down 2.5% on 25 April 2025, down 4.3% on 28 January 2025 and down 0.7% on 23 October 2024.

How did other Industrial Minerals companies do?

Five other Industrial Minerals companies that have filed for the quarter had a median revenue growth of 21.8%, compared with Lloyds Metals and Energy’s 55.4% consolidated revenue growth. Four peers grew slower than the company, while one grew faster. Two of the five peers reported higher profit.