ISGEC Heavy Engineering Reports Q3FY26 Results, Approves ₹350.6 Crore Capacity Expansion
ISGEC Heavy Engineering reported strong Q3FY26 results with revenue of ₹132,690 lakhs and net profit of ₹7,517 lakhs, showing significant year-over-year growth. The company's board approved major capacity expansion investments totaling ₹350.6 crore across three divisions and re-appointed key management personnel for five-year terms. The results included an exceptional item of ₹1,403 lakhs related to new labor code implementation, while consolidated operations showed revenue of ₹173,856 lakhs for the quarter.

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ISGEC Heavy Engineering Limited announced its unaudited standalone financial results for the quarter and nine months ended December 31, 2025, alongside significant capacity expansion plans and key management re-appointments. The company's board meeting held on February 09, 2026, approved multiple strategic initiatives aimed at strengthening its market position.
Financial Performance Q3FY26
The company delivered robust financial performance during the third quarter of FY26. Revenue from operations reached ₹132,690 lakhs compared to ₹111,920 lakhs in the corresponding quarter of the previous year, representing significant growth. Net profit for the quarter stood at ₹7,517 lakhs, up from ₹5,866 lakhs in Q3FY25.
| Financial Metric | Q3FY26 | Q3FY25 | Change |
|---|---|---|---|
| Revenue from Operations | ₹132,690 lakhs | ₹111,920 lakhs | +18.5% |
| Net Profit | ₹7,517 lakhs | ₹5,866 lakhs | +28.1% |
| Earnings per Share | ₹10.22 | ₹7.98 | +28.1% |
| Total Income | ₹136,527 lakhs | ₹112,776 lakhs | +21.1% |
For the nine months ended December 31, 2025, the company reported revenue from operations of ₹355,383 lakhs and net profit of ₹24,613 lakhs, with earnings per share of ₹33.47.
Segment Performance Analysis
The company operates through two primary segments: Manufacturing of Machinery & Equipment and Industrial Projects. The Manufacturing segment generated revenue of ₹49,082 lakhs in Q3FY26, while the Industrial Projects segment contributed ₹92,372 lakhs during the same period.
| Business Segment | Q3FY26 Revenue | Q3FY25 Revenue |
|---|---|---|
| Manufacturing of Machinery & Equipment | ₹49,082 lakhs | ₹42,867 lakhs |
| Industrial Projects | ₹92,372 lakhs | ₹74,086 lakhs |
Major Capacity Expansion Initiatives
The board approved substantial capacity expansion investments totaling ₹350.6 crore across three key areas:
| Expansion Project | Investment Amount | Timeline | Purpose |
|---|---|---|---|
| New Machining Shop for Iron Foundry Division | ₹22.6 crore | 12-15 months | Machined castings production |
| Machine Building Division Expansion | ₹218 crore | 15-18 months | Increase capacity by ₹375 crore turnover |
| Process Skids & Modules Facility Enhancement | ₹110 crore | 30 months | 6,000 metric tons annual capacity |
The Process Skids & Modules facility investment was revised upward from the previously approved ₹87 crore to ₹110 crore to accommodate larger manufacturing requirements and expected business growth.
Management Re-appointments
The board approved the re-appointment of key management personnel for five-year terms, subject to shareholder approval through postal ballot:
- Aditya Puri (Promoter) as Managing Director from May 01, 2026 to April 30, 2031
- Kishore Chatnani (Non-Promoter) as Joint Managing Director from June 28, 2026 to June 27, 2031
- Sanjay Gulati (Non-Promoter) as Joint Managing Director from June 28, 2026 to June 27, 2031
- Arvind Sagar as Non-executive Independent Director for a second term from June 28, 2026 to June 27, 2031
Kishore Chatnani will continue his role as Chief Financial Officer alongside his Joint Managing Director responsibilities, while Sanjay Gulati will maintain his position as Head of Manufacturing Units.
Exceptional Items and Regulatory Impact
The company recorded an exceptional item of ₹1,403 lakhs in Q3FY26 related to the implementation of new labor codes. The Government of India consolidated 29 existing labor legislations into four unified codes effective from November 21, 2025, resulting in a one-time increase in employee benefit provisions based on actuarial valuation.
Consolidated Results Overview
On a consolidated basis, the company reported revenue from operations of ₹173,856 lakhs for Q3FY26 and net profit of ₹8,444 lakhs from continuing and discontinued operations. The consolidated results include performance from 19 subsidiaries and one associate company across various business segments including sugar and ethanol operations.
Historical Stock Returns for Isgec Heavy Engineering
| 1 Day | 5 Days | 1 Month | 6 Months | 1 Year | 5 Years |
|---|---|---|---|---|---|
| +2.52% | +4.35% | -9.81% | -25.34% | -29.88% | +37.63% |


































