United Drilling Tools Ltd (UDTL) has announced its financial results for the second quarter and half-year ended September 30, 2025, showcasing significant revenue growth and improved profitability.

Quarterly Performance Highlights

UDTL reported a substantial increase in revenue from operations for Q2 FY2026, reaching Rs. 5,560.18 crore, compared to Rs. 3,166.74 crore in the previous quarter and Rs. 5,188.35 crore in the same quarter last year. This represents a quarter-on-quarter growth of 75.6% and a year-on-year increase of 7.2%.

The company's net profit for the quarter stood at Rs. 315.45 crore, up from Rs. 291.49 crore in the previous quarter, marking an 8.2% increase.

Half-Yearly Performance

For the half-year period ended September 30, 2025, UDTL reported:

• Revenue from operations: Rs. 8,726.92 crore
• Net profit: Rs. 606.94 crore

Financial Metrics

The company's earnings per share (EPS) for Q2 FY2026 stood at Rs. 2.81, compared to Rs. 1.43 in the previous quarter and Rs. 2.02 in the same quarter last year.

Board Approvals and Auditor's Review

The financial results were approved by the company's Board of Directors during a meeting held on November 12, 2025. The results have been reviewed by the Audit Committee and audited by statutory auditors APU Company.

Additionally, the Board approved related party transactions with Praveen Industries Pvt. Ltd., although specific details of these transactions were not disclosed in the financial report.

Balance Sheet Highlights

As of September 30, 2025, UDTL reported:

• Total assets: Rs. 38,367.75 crore
• Total equity: Rs. 26,929.54 crore
• Current assets: Rs. 29,901.73 crore
• Current liabilities: Rs. 10,801.97 crore

The company maintains a strong balance sheet with a healthy equity position.

Cash Flow and Liquidity

UDTL's cash flow statement indicates:

• Net cash flow from operating activities: Rs. 867.58 crore
• Net cash used in investing activities: Rs. 245.43 crore
• Net cash flow from financing activities: Rs. 598.30 crore (outflow)

The company ended the period with a cash and cash equivalent balance of Rs. 44.71 crore, showing an improvement from Rs. 20.86 crore at the beginning of the financial year.

United Drilling Tools Ltd's Q2 FY2026 results demonstrate robust revenue growth and improved profitability, indicating a positive trajectory for the company in the engineering segment. The significant increase in revenue, coupled with a rise in net profit, suggests effective operational management and potentially favorable market conditions for the company's products and services.

United Drilling Tools Ltd (UDTL), a prominent player in the oil drilling equipment manufacturing sector, has announced a significant development in its international business operations. The company has secured an export order worth ₹1.27 crore from Union Venezuela Servicios, C.A., a Venezuelan entity, for the supply of gas lift equipment.

Order Details

The company disclosed the following key details about the order:

Strategic Implications

This order marks an important step for United Drilling Tools in expanding its international footprint, particularly in the South American market. The contract not only demonstrates the company's capability to secure international orders but also highlights the global demand for its specialized gas lift equipment.

Execution and Delivery

UDTL has committed to completing the order within a three-month timeframe, showcasing the company's confidence in its production capabilities and supply chain management. This swift execution period may also indicate the urgency of the requirement from the Venezuelan client.

Market Impact

While the order size of ₹1.27 crore may not significantly impact UDTL's overall financial position, it does represent a positive signal to investors about the company's ability to attract international clients and diversify its revenue streams. Such export orders can potentially lead to more substantial contracts in the future and help establish UDTL as a reliable global supplier in the oil and gas equipment sector.

Compliance and Transparency

In line with regulatory requirements, United Drilling Tools promptly disclosed this information to the stock exchanges, adhering to the Securities and Exchange Board of India (SEBI) guidelines. This transparency allows investors and stakeholders to stay informed about material developments that may influence the company's performance and market perception.

As the global energy sector continues to evolve, companies like United Drilling Tools that can secure international orders may be well-positioned to capitalize on emerging opportunities in various markets. Investors and industry observers will likely keep a close watch on how this order and potential future international contracts contribute to UDTL's growth trajectory and market position.