TVS Electronics Reports Strong Q2 FY26 Performance with 22% Revenue Growth

TVS Electronics Limited (TVS-E) has reported a robust financial performance for the second quarter of fiscal year 2026, demonstrating significant growth across key metrics.

Financial Highlights

Consolidated revenue reached Rs. 128.00 crores, marking a 22% year-on-year increase
EBITDA rose by 81% to Rs. 5.00 crores
Net profit stood at Rs. 1.50 crores

Segment-wise Performance

Products and Solutions Group

Revenue: Rs. 93.00 crores (27% YoY growth)
Growth driven by higher volumes in existing programs and new product offerings
Focus on manufacturing and logistics segments

Customer Support Services

Revenue: Rs. 35.00 crores (10% YoY growth)
Growth supported by higher volumes across all business verticals

H1 FY26 Performance

Metric	Amount (Rs. crores)	YoY Growth
Revenue	224.00	4%
EBITDA	6.00	5%
Net Loss	2.00	-

Operational Insights

The company operates its Tumakuru facility on a single-shift basis, with capacity for three shifts
Focus on B2B sales through channel partners
Key sectors: Government, BFSI, retail, manufacturing, and logistics
R&D investment target: 2-3% of revenue

Future Outlook

TVS Electronics continues to invest in growth initiatives, including:

Expansion of sales channels in Nepal and Sri Lanka
Development of remote infrastructure management services (TVS Aikya)
Exploration of opportunities in auto industry, power electronics, and industrial electronics for EMS business

The company's strategic focus on B2B sales, coupled with its diverse product and service offerings, positions it well for continued growth in the Indian electronics market.

Note: The financial figures mentioned are for the quarter ended September 30, 2025.

1 Day	5 Days	1 Month	6 Months	1 Year	5 Years
-0.93%	+8.67%	+9.62%	+57.15%	+83.44%	+556.69%

TVS Electronics Limited (TVSE) has unveiled a comprehensive strategy aimed at enhancing its profit margins through multiple business initiatives, as revealed in the company's latest earnings presentation for Q2 FY2026.

Diversification and Expansion

The company is actively expanding its after-sales and mobility solutions while simultaneously scaling up its contract manufacturing and IoT hardware integration services. This multi-pronged approach is designed to create diversified revenue streams across digital services and hardware segments, potentially leading to improved financial performance.

Operational Efficiency Drive

TVSE is making significant investments in automation and IT infrastructure to boost operational efficiency. This move is expected to streamline processes and reduce operational costs, contributing to the overall goal of margin improvement.

Financial Performance

For the quarter ended September 30, 2025, TVS Electronics reported:

Metric	Q2 FY2026	Q2 FY2025	YoY Change
Revenue from Operations	1,275.00	1,046.00	21.90%
EBITDA	48.00	26.00	84.60%
EBITDA Margin	3.76%	2.49%	127 bps
PAT	16.00	(13.00)	-

The company's revenue growth was primarily driven by higher volumes of existing products and new offerings in the manufacturing and logistics segments. The Products and Solutions vertical saw a significant 27.2% year-on-year increase, while the Customer Support Services vertical grew by 9.5%.

Segment-wise Performance

Segment	Q2 FY2026 (INR Mn)	Q2 FY2025 (INR Mn)	YoY Growth
Products & Solutions Group	930.00	731.00	27.20%
Customer Support Services	345.00	315.00	9.50%

Future Outlook

While the company has shown improvement in its financial metrics, management comments on future prospects were not provided in the available data. However, the strategic focus on margin improvement through business expansion and operational efficiency initiatives suggests that TVS Electronics is positioning itself for potential growth in the coming quarters.

Investors and market watchers may keep a close eye on how these strategies translate into long-term financial performance and market position for TVS Electronics in the electronics and IT solutions sector.