SEDEMAC Mechatronics Q2 FY27 results: net profit ₹39.18 crore

How did SEDEMAC Mechatronics perform in Q2 FY27?

SEDEMAC Mechatronics reported standalone revenue from operations of ₹400.64 crore for the September 2026 quarter, up 29.3% from ₹309.77 crore in Q1 FY27. Total income was ₹401.25 crore against ₹310.63 crore, and total expenses rose 30.2% to ₹350.72 crore from ₹269.29 crore. Cost of materials consumed was the largest expense at ₹277.40 crore, up 38.6% from ₹200.20 crore, while finance costs rose 153.0% to ₹5.87 crore from ₹2.32 crore.

EBITDA for the quarter was ₹75.57 crore, up 27.7% from ₹59.17 crore in Q1 FY27, with the margin at 18.9% against 19.1%, a decline of 0.2 percentage points. Profit before tax was ₹50.53 crore against ₹41.34 crore, and tax expense was ₹11.35 crore against ₹8.03 crore. The company reported a net profit of ₹39.18 crore for the quarter against ₹33.31 crore in Q1 FY27, with basic EPS of ₹8.87 against ₹7.54. There was no exceptional item.

In the year-ago quarter ended 30 September 2025, revenue from operations was ₹286.48 crore and profit for the period was ₹30.14 crore, with basic EPS of ₹7.06. For the first half of FY27, revenue from operations was ₹710.41 crore and profit after tax was ₹72.49 crore, against ₹503.84 crore and ₹47.21 crore respectively in the year-ago period. Basic EPS for the half was ₹16.41. The results are on a standalone basis.

What do the balance sheet and cash flow show?

Total assets rose to ₹1,186.5 crore as at 30 September 2026 from ₹813.7 crore at 31 March 2026, while total equity was ₹522.07 crore against ₹449.2 crore. Borrowings stood at ₹245.64 crore compared with ₹50.63 crore at the previous balance sheet date, and cash was ₹0.7 crore against ₹7.34 crore. Inventories were ₹287.81 crore from ₹188.31 crore, trade receivables ₹212.16 crore from ₹133.72 crore, and trade payables ₹231.59 crore from ₹226.34 crore.

For the first half of FY27, operating cash flow was negative ₹20.38 crore and investing cash flow was negative ₹170.37 crore, while financing cash flow was positive ₹163.16 crore. Capital expenditure was ₹146.67 crore. The filing excerpt did not include a year-earlier cash flow comparison for the first half.

Which businesses drove the quarter?

The Mobility segment reported revenue of ₹366.35 crore and EBIT of ₹49.42 crore for the quarter, with an EBIT margin of 13.5%. The Industrial segment reported revenue of ₹34.29 crore and EBIT of ₹5.19 crore, with an EBIT margin of 15.1%. The filing excerpt did not include year-ago segment revenue or EBIT figures, so no growth rate is stated for either segment.

What else did the company announce?

The board met on 3 November 2026 and approved the unaudited financial results for the quarter and half year ended 30 September 2026, along with the limited review report. The meeting ran from 03:02 p.m. to 03:34 p.m. The same-day filings also included an investor and analyst presentation with business updates and the outlook, and the results filing was made with BSE under Regulation 30 and 33. No dividend, fund raise or appointment was recorded in the same-day filings.

What did SEDEMAC Mechatronics' management say?

Management said H1 FY27 revenue from operations was ₹710 Cr, up 41% year on year, with EBITDA of ₹136 Cr and PAT of ₹72 Cr. In the presentation, management said the H1 FY27 EBITDA margin declined and that mild EBITDA margin pressure is likely for FY27 because of raw-material cost inflation. The presentation also said EBITDA margin is likely to hold for H2 FY27 against H1 FY27, and that shipments of electric machines from MF4 at Chakan are expected to start in Q3 FY27.

Management said the ISG ECU introduction and ramp-up was done on variants of two top-10 motorcycle models, and that ISG plus EFI ECUs saw a solid ramp-up with 1 million units shipped in about two years since start of production in October 2024. The company said a business win for ISG ECU and magneto kit from a European two- and three-wheeler OEM is likely to reach start of production in H1 FY28. Management also said the ACU start of production was pushed to H1 FY28, the EFI ECU start of production for the commercial vehicle market is likely only over H1 FY28, MCU start of production is likely in H2 FY27, and start of production for MCU with SLC is likely in H1 FY28.

On capacity, management said MF3 at Chakan has 120000 sq ft of capacity and has started pilot production, MF4 at Chakan has 9000 sq ft of capacity and is expected to begin electric-machine shipments in Q3 FY27, and MF5 at Shoolagiri, Tamil Nadu, covers approximately 13 acre for future shipments to customers with plants in South India. Management attributed the steep increase in tangible capital expenditure to infrastructure investment at MF3 and MF5. The company said weaker 2025 Atlantic hurricane season activity in North America reduced demand for EFI ECUs, with some demand recovery being seen.

How did SEDEMAC Mechatronics shares react?

The filing appeared after market hours, and the stock rose 0.2% in the first 5 minutes, 1.6% in the first 15 minutes and 2.2% in the first 30 minutes. On the reaction day, the stock fell 3.3% from the previous close of ₹3,205.5, against a 1.5% rise for the industry median, a gap of 4.8 percentage points. By the next day's close the stock was down 4.8% from its pre-results close, while the industry median was up 2.6%, a gap of 7.5 percentage points. No five-session move was recorded.

Earlier results days moved in different directions. On 28 July 2026 the reaction-day move was a fall of 1.6%, and on 18 May 2026 it was a rise of 1.9%. The Nifty Microcap 250, of which the stock is a member, rose 2.2% on the reaction day.

How did other Auto Components & Equipments companies do?

Sixty-one other Auto Components & Equipments companies filed this quarter, with a median revenue growth of 33.0%. Of the peers whose profit was compared, 48 reported higher profit. The record does not state how many of these peers grew revenue faster or slower than SEDEMAC Mechatronics.