Elgi Equipments

Elgi Equipments reported 18% YoY revenue growthCurrent 18% YoY revenue growth. Reported change: +18% YoY. in Q3 FY26, with PBT up 30%Current 30%. Reported change: +30% YoY., but EBITDA margins were impacted by ~100bps due to US tariffs and elevated employee costs from restructuring and digital investments. Growth was broad-based across geographies except Southeast Asia and Europe. Management highlighted successful mitigation of the 50% US tariff through cost actions and price increases, expecting margin recovery from Q2 FY27 as high-cost inventory bleeds out. Europe is being resized for profitability, not just breakeven. Domestic demand remains robust with low double-digit growth expected. Key risks include raw material inflation (copper, steel) and sustained Chinese competition in the low-end segment. The upcoming analyst meet in February may provide medium-term guidance.