Generic Engineering Construction Reports Revenue Growth Amid Profit Challenges in Q2 FY2026

1 min read     Updated on 13 Nov 2025, 07:38 AM
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Reviewed by
Radhika SahaniScanX News Team
Overview

Generic Engineering Construction and Projects Limited announced Q2 FY2026 results with revenue growth but profit pressures. Revenue from operations increased by 19.88% to ₹6,159.29 crores for Q2 and 11.41% to ₹11,355.13 crores for H1. Profit from continuing operations grew by 7.45% to ₹215.85 crores in Q2. The company's Board approved unaudited financial results on November 12, 2025, after Audit Committee review. Statutory auditors conducted a limited review, finding no issues. Consolidated results include a 51% stake in Generic Bootes Construction LLP joint venture.

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*this image is generated using AI for illustrative purposes only.

Generic Engineering Construction and Projects Limited has released its financial results for the second quarter and half-year ended September 30, 2025, showcasing a mixed performance with revenue growth but profit pressures.

Revenue Growth

The company reported a notable increase in revenue from operations for Q2 FY2026:

Period Q2 FY2026 Q2 FY2025 Change
Quarterly ₹6,159.29 ₹5,137.82 +19.88%
Half-yearly ₹11,355.13 ₹10,192.64 +11.41%

This growth indicates a strong order book and improved execution capabilities in the engineering and construction segment, which is the company's primary area of operation.

Profit Performance

Despite the revenue uptick, Generic Engineering Construction faced challenges in maintaining profit growth:

Metric Q2 FY2026 Q2 FY2025 Change
Profit from continuing operations ₹215.85 ₹200.88 +7.45%
Basic EPS ₹0.38 Not provided N/A

For the half-year period, profit from continuing operations stood at ₹415.90 lakhs, compared to ₹392.89 lakhs in the previous year, representing a modest increase of 5.86%.

Board Meeting and Audit Review

The company's Board of Directors convened on November 12, 2025, to approve these unaudited financial results. The meeting, which commenced at 2:00 PM and concluded at 8:15 PM, followed a review by the Audit Committee.

Auditor's Review

Bilimoria Mehta & Co., the company's statutory auditors, conducted a limited review of the financial results. Their report, signed by partner Aakash Mehta, stated that nothing has come to their attention that causes them to believe the financial statements do not present a true and fair view in accordance with applicable accounting standards and SEBI regulations.

Consolidated Results

The consolidated financial results include the performance of Generic Engineering Construction's 51% stake in its joint venture, Generic Bootes Construction LLP. The joint venture contributed marginally to the group's profitability, with a share of net profit after tax of ₹0.02 lakhs for the quarter and ₹0.05 lakhs for the half-year period.

Outlook

While Generic Engineering Construction has demonstrated strong revenue growth, the slower pace of profit increase suggests potential challenges in maintaining margins. The company's ability to convert its growing order book into profitable execution will be crucial for future performance.

Investors and stakeholders will likely watch for the company's strategies to improve profitability while maintaining its growth trajectory in the coming quarters.

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Generic Engineering Construction Reports 67.7% Drop in Q1 Profit

2 min read     Updated on 12 Aug 2025, 11:50 PM
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Reviewed by
Riya DeyScanX News Team
Overview

Generic Engineering Construction and Projects Limited reported a 2.79% increase in revenue to Rs 5,195.84 lakh for Q1 FY2026. Net profit rose marginally by 2.32% to Rs 200.42 lakh, but fell 67.7% compared to the previous quarter. The company saw a 35.28% increase in Profit Before Tax to Rs 347.43 lakh. Basic EPS decreased by 5.41% to Rs 0.35. Operational expenses showed mixed trends with increased purchases and operating costs, reduced employee benefits and finance costs, but higher depreciation expenses.

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*this image is generated using AI for illustrative purposes only.

Generic Engineering Construction and Projects Limited , a prominent player in the engineering and construction sector, has released its financial results for the first quarter. The company reported a significant decline in profit despite a marginal increase in revenue.

Financial Highlights

Particulars (in Rs. Lakh) Q1 FY2026 Q1 FY2025 YoY Change
Revenue from Operations 5,195.84 5,054.82 +2.79%
Total Income 5,240.55 5,092.71 +2.90%
Profit Before Tax 347.43 256.82 +35.28%
Net Profit 200.42 195.88 +2.32%
EPS (Basic) in Rs. 0.35 0.37 -5.41%

Generic Engineering Construction witnessed a modest growth in its revenue from operations, which increased by 2.79% to Rs 5,195.84 lakh compared to Rs 5,054.82 lakh in the same quarter of the previous year. The total income for the quarter stood at Rs 5,240.55 lakh, up by 2.90% from Rs 5,092.71 lakh year-over-year.

Profit Analysis

Despite the increase in revenue, the company's net profit saw a marginal rise of 2.32%, reaching Rs 200.42 lakh compared to Rs 195.88 lakh in the same quarter of the previous year. This represents a significant drop of 67.7% when compared to the profit of Rs 620.60 lakh reported in the immediately preceding quarter.

The profit before tax (PBT) was Rs 347.43 lakh, showing a substantial increase of 35.28% from Rs 256.82 lakh in the corresponding quarter of the previous year.

Operational Performance

The company's operational expenses saw some notable changes:

  • Purchases & Operating Cost increased to Rs 4,077.28 lakh from Rs 3,626.83 lakh in the previous year's quarter.
  • Employee benefits expenses decreased to Rs 83.87 lakh from Rs 113.16 lakh.
  • Finance costs reduced significantly to Rs 209.45 lakh from Rs 337.47 lakh.
  • Depreciation and Amortization expenses increased to Rs 347.07 lakh from Rs 228.60 lakh.

Earnings Per Share

The Basic Earnings Per Share (EPS) stood at Rs 0.35, compared to Rs 0.37 in the same quarter of the previous year, representing a decrease of 5.41%.

Management Commentary

Manish Patel, Managing Director of Generic Engineering Construction and Projects Limited, signed off on the financial results. The company's Board of Directors approved these unaudited financial results on August 12, 2025, following a review by the Audit Committee.

Segment Information

Generic Engineering Construction and Projects Limited continues to operate primarily in the engineering and construction segment, as per the Indian Accounting Standard (Ind AS) 108 on Operating Segments.

Consolidated Results

The company's consolidated results mirrored its standalone performance, with identical figures reported for revenue and profit.

In conclusion, while Generic Engineering Construction managed to increase its revenue slightly, the significant drop in quarterly profit compared to the previous quarter might raise concerns among investors. The company's ability to manage operational costs and improve profit margins in the coming quarters will be crucial for its financial performance.

Historical Stock Returns for Generic Engineering Construction

1 Day5 Days1 Month6 Months1 Year5 Years
-0.73%-2.80%-15.92%+27.75%+6.48%-28.08%
Generic Engineering Construction
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