Carborundum Universal's Q2 FY 2026-27 Quarterly Results

Result Summary

• Carborundum Universal Ltd reported a 1.1% quarter-on-quarter (QoQ) increase in its consolidated revenues for the quarter-ended Sep (Q2 FY 2026-27). On a year-on-year (YoY) basis, it witnessed a growth of 13.1%.
• Its expenses for the quarter were down by 0.5% QoQ and up 12.2% YoY.
• The net profit decreased 85.0% QoQ and decreased 83.8% YoY.
• The earnings per share (EPS) of Carborundum Universal Ltd stood at 0.66 during Q2 FY 2026-27.

Financial Statments for Q2 FY 2026-27

Data Source: BSE, Company announcements The securities quoted are exemplary and are not recommendatory. Past performance is not indicative of future results

Company Overview

Carborundum Universal Ltd (CUMI) is a part of the Murugappa Group, a major conglomerate in India. The company is known for its diverse range of products and services primarily in the abrasives, ceramics, and electrominerals sectors. CUMI manufactures and markets abrasive materials, industrial ceramics, and electro minerals, serving a broad spectrum of industries including automotive, aerospace, steel, and construction. The company has a significant presence both in India and overseas, exporting its products to over 43 countries. As of the latest available information, no specific recent major developments have been reported about the company.

Revenue

In the second quarter of the fiscal year 2027 (Q2FY27), Carborundum Universal Ltd reported a total income of ₹1,487.43 crores. This marks a 1.1% increase from the previous quarter (Q1FY27), where the total income was ₹1,471.33 crores. Compared to the same quarter in the previous year (Q2FY26), the total income increased by 13.1% from ₹1,314.97 crores. This growth reflects an upward trend in the company's revenue over the past year. The increase in total income suggests that the company has managed to enhance its sales, possibly through market expansion or increased demand for its products.

Profitability

The company's profitability metrics indicate a different trend. In Q2FY27, the profit before tax was ₹51.36 crores, which represents a significant decrease of 52.7% from the previous quarter's profit before tax of ₹108.49 crores. Additionally, compared to Q2FY26, there was a 51.8% decrease in profit before tax from ₹106.64 crores. The profit after tax in Q2FY27 was ₹12.04 crores, an 85.0% decline from the previous quarter's ₹80.34 crores and an 83.8% decrease from ₹74.26 crores in Q2FY26. Earnings per share (EPS) also saw a decline in Q2FY27, recorded at ₹0.66, down from ₹4.04 in Q1FY27 and ₹3.94 in Q2FY26. This substantial decrease in profitability indicators points to increased expenses or other operational challenges impacting net earnings.

Operating Metrics

Total expenses for Carborundum Universal Ltd in Q2FY27 were ₹1,355.81 crores, slightly decreasing by 0.5% from ₹1,362.84 crores in the previous quarter. However, when compared to Q2FY26, there was a 12.2% increase from ₹1,208.33 crores. This increase in expenses year-over-year may have contributed to the decline in profitability despite the revenue growth. The tax expense in Q2FY27 was ₹45.98 crores, representing an 18.3% increase from Q1FY27's ₹38.87 crores and a 20.2% rise from ₹38.25 crores in Q2FY26. This increase in tax expenses is notable and may have further impacted the company's net profit margins. The analysis of operating metrics highlights the financial pressures the company faces, even as it continues to grow its revenue base.