Classic Electrodes (India) has reported its audited standalone financial results for the half year and year ended March 31, 2026, via an earnings call held on May 21, 2026. The company posted a total income of INR244.21 crores for FY26, registering a growth of 18.48% year-on-year. Net profit stood at INR12.64 crores with net profit margins of 5.18%, while EBITDA came in at INR23.87 crores with margins of 9.78%. The management attributed the performance to resilient demand across the welding consumables segment and operational improvements.

H2 FY26 Performance

During H2 FY26, the company delivered healthy growth across key financial parameters. Total income stood at INR121 crores as compared to INR100 crores in H2 FY25, reflecting a growth of 20.68% year-on-year. EBITDA for the period stood at INR11.93 crores with EBITDA margins of 9.85%, while net profit stood at INR6.2 crores, translating into net profit margins of 5.12%.

Operational Highlights

The company strengthened its market position through stable demand across electrodes and MIG wires, alongside the successful scale-up of flux-cored wire. Installed production capacity stands at 10,600 metric tons for electrodes, 10,600 metric tons for MIG wire, and 2,500 metric tons for flux-cored wire. The manufacturing mix improved to 73% of gross revenue, up from 67% in the previous year.

FY27 Guidance

Looking ahead, the management anticipates revenue between INR330 crores and INR350 crores for FY27. This growth is expected to be driven by the Elastic Railway Clips (ERC) business, commencing commercial production in July, and the flux-cored wire segment, which is projected to contribute INR20 crores. The company targets an improvement in gross margins to 15% in the current financial year.

The transcript of the earnings call is available on the company's website pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

classic electrodes (india) has announced its audited standalone financial results for the year ended March 31, 2026. The company reported a net profit of ₹1,264.03 lakh for the fiscal year, marking an increase of 8.82% from ₹1,161.62 lakh in the previous year. Total income for the year rose by 18.48% to ₹24,421.18 lakh, compared to ₹20,612.53 lakh in FY25.

Financial Performance

For the half year ended March 31, 2026 (H2 FY26), the company recorded a net profit of ₹620.46 lakh, a growth of 13% from ₹549.07 lakh in the corresponding period of the previous year. H2 FY26 total income stood at ₹12,118.13 lakh, up 20.68% from ₹10,041.40 lakh. The EBITDA for H2 FY26 was reported at ₹1,193.65 lakh, with a margin of 9.85%, while the net profit margin was 5.12%.

For the full year FY26, the EBITDA increased to ₹2,387.24 lakh from ₹2,228.45 lakh in FY25, resulting in an EBITDA margin of 9.78%. The net profit margin for the year stood at 5.18%. The basic earnings per share (EPS) for FY26 was reported at ₹7.04, compared to ₹8.80 in the previous year. The paid-up equity share capital as of March 31, 2026, was ₹1,796.50 lakh, with a face value of ₹10 per share.

Operational Highlights

The company noted stable core demand across electrodes and MIG wires, supported by fabrication, infrastructure, and industrial sectors. A key operational highlight was the successful scale-up of Flux Cored Wire, which strengthened the product mix and supported higher-margin growth. The company also focused on manufacturing efficiency through debottlenecking and automation initiatives to improve throughput and capacity utilization. Additionally, the trading segment contributed consistently to overall revenue growth.

Total expenses for the year increased to ₹22,710.72 lakh from ₹19,123.45 lakh in the prior year. The cost of materials consumed was ₹13,570.00 lakh, while purchases of stock-in-trade amounted to ₹6,447.49 lakh. Finance costs for the period were ₹361.70 lakh, a decrease from ₹509.92 lakh in FY25. The company significantly reduced short-term borrowings during FY26, strengthening its balance sheet and liquidity position.

IPO Fund Utilization

The company completed its Initial Public Offer (IPO) of 47,71,200 equity shares at an issue price of ₹87 per share, aggregating to ₹4,150.94 lakh. The shares were listed on the NSE SME Platform on September 1, 2025. As of March 31, 2026, the company had utilized ₹3,734.37 lakh of the IPO proceeds, leaving ₹416.56 lakh unutilized in the designated public offer account. The funds were utilized for capital expenditure, prepayment of borrowings, working capital requirements, general corporate purposes, and IPO expenses.