South West Pinnacle Exploration Limited (SWPEL), a leading integrated service provider for drilling and exploration of natural resources, has reported robust financial results for the second quarter and first half of fiscal year 2026, showcasing significant growth and an expanding order book. The company aims to leverage its strong position to double its revenues in the near future.

Financial Highlights

For Q2 FY26, SWPEL reported:

The company's performance for H1 FY26 was equally impressive:

Order Book and Business Updates

SWPEL's order book has reached an all-time high of ₹4,122.00 million, providing a clear growth trajectory for the short to medium term. The company plans to leverage this robust order book to double its revenues. Key business updates include:

1. Formation of a new joint venture in Oman, Al Hdeetha Mining LLC, which has been awarded a mining block for exploration and exploitation.
2. Commencement of the second phase of Coal Bed Methane (CBM) Production for Reliance Industries Ltd, with a contract value of ₹153.00 crore.
3. Securing a coal exploration contract worth ₹15.30 crore from JSW Energy (Utkal) Limited.
4. Bagging new orders worth over ₹85.00 crore during Q2 FY26.
5. Expansion into new 3D seismic and coalbed methane projects.
6. Diversification into aquifer mapping to help maintain its 19% EBITDA margin.

Management Commentary

Vikas Jain, Chairman & Managing Director of SWPEL, commented on the results: "Our second quarter and H-1 results are at their best, achieving highest revenue and profits despite heavy monsoons. We have sustained through market headwinds, reflecting the Company's resilience."

He added, "Our diversified capacities enable us to utilize our assets across multiple verticals and services, resulting in such performance. Over the last few months, we have won several new orders and now our order book is at an all-time high, and we have added two new clients."

Future Outlook

The company expects its performance to improve further in Q3 and Q4, which are typically the best-performing quarters for its business. With a strong order book and ongoing participation in new tenders, SWPEL is well-positioned for continued growth.

The management remains confident in the company's ability to execute projects efficiently and maintain its growth trajectory, supported by its diversified service offerings and strategic international ventures. The company's plans for international expansion, particularly through its joint ventures in Oman, are expected to contribute significantly to its revenue growth targets.

South West Pinnacle Exploration Ltd (SWPEL) has reported a remarkable financial performance for the second quarter of fiscal year 2026, with net profit surging 25-fold to ₹76.00 crore from ₹3.00 crore in the same period last year. The company's robust growth is underpinned by significant improvements across key financial metrics.

Revenue Growth and Operational Performance

SWPEL's revenue for Q2 FY26 increased to ₹624.00 crore, up from ₹473.00 crore in the corresponding quarter of the previous year, marking a 31.9% year-over-year growth. This substantial revenue increase reflects the company's strong market position and operational efficiency in the drilling and exploration sector.

Profitability Metrics

The company's profitability saw a dramatic improvement, as evidenced by the following key metrics:

The EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) surged to ₹145.00 crore, representing a substantial 320.3% increase from the previous year's ₹34.50 crore. This growth in EBITDA outpaced the revenue growth, indicating improved operational efficiency and cost management.

The EBITDA margin expanded significantly to 23.26% from 12.63% in the corresponding quarter of the previous year, showing a remarkable improvement of 1063 basis points. This expansion in margin suggests that SWPEL has successfully optimized its operations and potentially benefited from economies of scale.

Investor Engagement

SWPEL has scheduled a virtual group meeting with investors and analysts on Thursday, October 30, 2025, at 4:00 PM IST. The meeting will be hosted by Valorem Advisors and will feature Mr. Vikas Jain, Managing Director & Chairman, and Mr. Piyush Jain, Joint Managing Director. This engagement demonstrates the company's commitment to transparency and open communication with its stakeholders.

Conclusion

South West Pinnacle Exploration Ltd's Q2 FY26 results showcase a period of exceptional growth and profitability. The company's ability to significantly increase its revenue while simultaneously expanding its profit margins indicates strong operational execution and potentially favorable market conditions. As SWPEL continues to build on this momentum, investors and industry observers will be keenly watching its future performance and strategic initiatives in the drilling and exploration sector.