SG Mart Limited , a prominent player in the Indian retail sector, has announced a significant revision to its financial targets, citing weaker-than-expected performance in the second quarter of fiscal year 2026. The company's management has stated that it will not achieve its previously set FY26 EBITDA target of ₹200.00 crore.

Q3FY26 Earnings Call Scheduled

In compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, SG Mart Limited has scheduled a conference call with analysts and institutional investors to discuss Q3FY26 financial results. The call is set for Friday, January 23, 2026, at 4:00 PM IST to review performance for the quarter and nine months period ended December 31, 2025.

Management Participation

The earnings call will feature key members of SG Mart's senior management team, providing comprehensive insights into the company's performance across various business segments.

Performance Outlook

The company has provided insights into its near-term performance expectations:

This revised outlook suggests that SG Mart is facing challenges that are expected to persist through the third quarter of FY26, with hopes for improvement pinned on the fourth quarter.

Investor Communication

SG Mart continues its commitment to transparency through regular investor communications. The company previously held a conference call on October 31, 2025, to discuss unaudited financial results for the quarter and half-year ended September 30, 2025. The upcoming January call represents the company's ongoing efforts to keep stakeholders informed about its financial position and strategic direction.

While the revised EBITDA target represents a setback for SG Mart, the scheduled earnings call will provide investors with detailed insights into Q3FY26 performance and management's assessment of recovery prospects beginning in Q4 FY26.

SG Mart , a leading B2B construction materials marketplace, has announced its financial results for the second quarter of fiscal year 2026 (Q2FY26), revealing a mixed performance characterized by robust revenue growth and margin challenges.

Key Financial Highlights

Revenue Growth and Margin Pressure

SG Mart reported a significant quarter-on-quarter revenue increase of 49.35%, reaching ₹1,708.25 crore in Q2FY26. However, the company experienced a 4.72% year-on-year decline in revenue compared to Q2FY25. Despite the strong sequential growth, SG Mart faced margin pressures, with the Business EBITDA margin contracting to 1.6% in Q2FY26 from 3.1% in Q1FY26.

Factors Affecting Performance

Amit Thakur, Executive Director of SG Mart, commented on the results: "We are pleased to report that our team has delivered strong sequential growth in Q2FY26, with revenue increasing over the previous quarter. This reflects improved traction across our core steel-trading business, downstream steel products and the renewable-structures segment. At the same time, we have observed some pressure on our margin performance. While the revenue growth is encouraging, margin compression arose due to softer realisations in the steel trading business and elevated cost absorption for the newly started renewable business."

The margin pressure appears to be primarily driven by:

1. Reduced earnings from steel trading operations
2. Increased costs associated with the company's new renewable energy business segment

Business Segments and Expansion

SG Mart continues to diversify its product offerings, now encompassing more than 49 product categories and over 6,000 SKUs. The company's product range includes:

• Construction steel products (TMT Rebars, HR Sheet, Welding rod, etc.)
• Tiles, cement, bath fittings, laminates, and paints
• Solar mounting structures (launched in Q1FY26)

Customer Base and Distribution Network

The company has expanded its customer base, now serving:

• Top-tier EPC companies
• Real estate developers
• OEMs
• Independent Power Producers
• Traders, dealers, and retailers

SG Mart reported associations with more than 2,328 customers and 402 vendors, indicating a growing network within the construction materials industry.

Outlook

While SG Mart demonstrates strong revenue growth and business expansion, the company faces challenges in maintaining profit margins. The pressure on margins from the steel trading business and the costs associated with the new renewable energy segment suggest that SG Mart may need to focus on operational efficiencies and cost management in the coming quarters to improve profitability.

As the company continues to expand its product range and customer base, investors and analysts will likely keep a close eye on how SG Mart balances growth with profitability in its diverse business segments.

Note: All financial figures are based on the consolidated results provided in the company's Q2FY26 financial statement.