John Cockerill — Q2 FY26 earnings call

Call held 6 Nov 2025

Management summary

John Cockerill India Limited reported a strong Q2 FY26, marked by significant order intake of ₹586 crores and a doubling of its order backlog to over ₹1100 crores, providing robust visibility for FY26. Revenue growth accelerated to over 18% with EBITDA increasing 13% sequentially to ₹12 crores. The company is also undertaking a strategic acquisition of John Cockerill Metals International, expected to boost global revenue by EUR 100 million, and aims for ₹8,000 crores in revenue by 2030.

Highlights

  • Order intake reached INR 5.86 billion (₹586 crores) in Q2 FY26, nearly 10 times Q4 FY25.

  • Order backlog increased to over INR 11.0 billion (₹1100 crores), providing strong visibility for FY26.

  • Revenue growth accelerated to over 18% in Q2 FY26.

  • EBITDA rose sequentially by 13% to approximately INR 120 million (₹12 crores) in Q2 FY26.

  • Cash position more than doubled to INR 1.47 billion (₹147 crores) in Q2 FY26 from INR 0.742 billion in Q4 FY25.

  • Board approved the acquisition of John Cockerill Metals International, expected to add EUR 100 million in revenue.

  • Long-term revenue target of INR 8,000 crores by 2030.

Key financials

  1. Revenue Growth 18%
  2. EBITDA 120 Mn +13%QoQ
  3. EBITDA Margin 12.5%
  4. Cash Position 1,470 Mn

What they filed

Q1 FY27: revenue up 18.2%, net profit down 106.7% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue76 72 221 253 97 +28%228 +215%345 +56%299 +18%
EBITDA-9 -0 -1 -26 11 +231%-20 −4067%8 +900%-27 −4%
Net profit-7 -1 -3 -15 9 +219%-9 −512%7 +333%-31 −107%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Order book

high confidence

Total value

₹1,100 Cr

as of 2025-09-30 quantified

Inflow this quarter

₹586 Cr

Execution

good visibility for the fiscal year 2026 to come

Composition

Mix 5 client types
  • GSW-GFE ₹270 Cr 43.9%
  • Tata Steel ₹80 Cr 13%
  • Godawari Power & Ispat ₹50 Cr 8.1%
  • Jindal India ₹40 Cr 6.5%
  • JSW Steel ₹175 Cr 28.5%

Share of order book by client type, derived from disclosed amounts

Pipeline

other

order pipeline is almost like INR40,000 crores

The order pipeline is solid, and the conversion rate for projects into contracts is extremely high, superior to competitors.

Source: Prepared remarks

Capital allocation

high confidence
  • Capex ₹2 Mn
    • Taloja facility for roll coating and services ₹2 Mn
    So the capex for these investments are around 2 million, which has been already paid, budgeted also one part for next year.
  • Debt Debt disclosed
    • New borrowing Interest-free debt from promoter for acquisition, payable over five years, convertible to shares at termination if not fully paid.
    the promoter has accommodated JCIL with very comfortable payment terms, and the acquisition will be therefore paid over a period of five years with a debt without applying any interest fee and this debt may be convertible at termination if not fully paid into shares.
  • M&A John Cockerill Metals International Acquisition · Announced

    Strengthening India's role as the operational and strategic center for John Cockerill Metals worldwide and consolidating global metals activities under JCIL.

    our Board has approved the acquisition of John Cockerill Metals International in Belgium, a 100% equity buyout from our parent company. Once completed, it will make the Belgian entity a wholly owned subsidiary of JCIL, further strengthening India's role as the operational and strategic center for John Cockerill Metals worldwide.
  • Liquidity Cash ₹1,470 Mn
    our cash position more than doubled from INR 742 million in quarter one to over INR 1,470 million in quarter three.

Guidance & targets

Revenue

  • Long-term Revenue Revenue · by 2030 · High confidence INR 8,000 crores
    The aspiration of the company and the team is extremely ambitious, and we would pretty much like to reach in 2030 INR 8,000 crores, thanks to new technologies, but not only.

    — Francois-David Martino

Technology Commercialization

  • JVD Commercialization Technology Commercialization · Q1 FY26 · High confidence Q1 next year
    we will be able to commercialize the first JVD as late as quarter one next year.

    — Francois-David Martino

  • Volteron Commercial Contract Technology Commercialization · within 12-24 months · High confidence 12-24 months
    this one will take, let's say, between 12 months to 24 months to come into, let's say, a concrete and real commercial contract.

    — Francois-David Martino

Taloja Facility Revenue

  • Annual Revenue from Taloja Taloja Facility Revenue · per year · High confidence INR 3 million
    We expect out of this activity 300 rolls production capabilities per year and a revenue of at least 3 million per year.

    — Francois-David Martino

Market context

  • EBITDA Margin Trajectory EBITDA Margin · next years · Medium confidence positive
    the trajectory we expect in the next years to come is positive without giving you any figures, which I can't. But we are very confident that we can perform on that level for a certain period of time.

    — Francois-David Martino

What to watch in Q3 FY26

Taloja Facility Commissioning

Q1 next year
Current Investment done, budgeted for next year
Target Inaugurated and commissioned

Why it matters

Will integrate advanced coating expertise and introduce new technology, contributing to value services and localizing advanced solutions.

The upcoming rolls coating shed at Taloja, to be inaugurated early next year, will integrate advanced coating expertise with JCIL's capabilities and introduce India's first HP-HVAF coating technology, a significant step in localizing advanced coating solutions.

Risks & concerns

  • Global steel sector mixed outlook and cost pressures

    medium

    The global steel sector continues to navigate a mixed outlook, with Europe facing energy and cost pressures, and China remaining subdued, though India and Southeast Asia are growth regions.

    Management acknowledged

Q&A highlights

6 direct
Financials (revenue, margin) of the acquired John Cockerill Metals International Partial
regarding the revenue of the acquisition, the figures will be disclosed after the approval ballot of the minority shareholders. And then we will be able to give the figures. But it is a decent multiplicator factor we will apply to revenue, which will be around 2.5 to 3.5 times.

Analyst sought specific financial details of the major acquisition, which management deferred until shareholder approval but provided a revenue multiple.

Asked by Manan Poladia

John Cockerill's involvement in the ArcelorMittal Nippon Steel (AMNS) Hazira project Direct
It is indeed a large project. I think it may be the largest contract we have got in the history of the company in India. And this contract is very well advanced. And basically, we have delivered especially two key technology lines for AMNS to be really ahead of the competition.

Highlights a significant project win and the company's role in a major client's expansion, demonstrating technological leadership.

Asked by Manan Poladia

Royalty and ownership structure for JVD and Volteron technologies with ArcelorMittal Partial
on JVD, we have acquired the license, and this has been already settled and budgeted... In terms of Volteron, it would be a different approach because John Cockerill will intend to enter into a common company with Arcelor to commercialize Volteron. Therefore, there will be no royalty fees involved... At this point of time, I cannot answer that question. Nevertheless, we are in the clarification process with our partner, Arcelor, and internally with the promoter.

Clarifies the commercial model for key new technologies and indicates ongoing discussions for the Volteron joint venture.

Asked by Dixit Doshi

Global competition for Volteron and other new technologies Direct
Volteron is a disruptive technology in the field of iron making... we are entering with electrolysis direct reduction, which is a complete new innovation. So, nobody has entered the market here.

Explains the competitive landscape and the disruptive, first-mover advantage of their new Volteron technology.

Asked by Parimal Mithani

Valuation metrics used for acquiring the group companies Direct
the methods we have used to evaluate the different companies which will integrate in case of favorable and positive ballot is the discounted cash flow methodology, which has been adjusted then by the net working capital. So, no multiples involved.

Provides insight into the valuation approach for the significant acquisition, indicating a fundamental rather than multiple-based assessment.

Asked by Tejas Mehta

Purpose of fundraise (new technologies, capacity, acquisition payment) Direct
the promoter has accommodated JCIL with very comfortable payment terms, and the acquisition will be therefore paid over a period of five years with a debt without applying any interest fee... So the fundraising plan is something we are considering for the future. We don't consider on the short-term to need any fundraising to make the current acquisitions we are planning with John Cockerill.

Clarifies the funding mechanism for the current acquisition and indicates that a future fundraise would be for new acquisitions, not current needs.

Asked by Kush Gangar

India vs China competition and differentiating factors for global scaling Direct
India is having a very fast momentum, especially on steel, and India is the largest growing steel market nowadays... The position of the company towards China is that we are already present there... we are gaining market share in China as well and that proves that the relevance and the competitiveness of our solution also for the Chinese market.

Addresses strategic positioning in key markets and competitive advantages, highlighting India's growth and their presence in China.

Asked by Parth Dalal

Typical order execution cycle and working capital cycle for the business Direct
on the execution cycle, projects like the one we have signed here... are a cycle between 12 months to 18 months, basically. Closer to 18 months... On the working capital cycle for the business, this will, of course, the need of working capital will for sure increase. But since we are extremely keen on keeping our working capital on a reasonable level, the payment terms we usually ask to our customers are positive to allowing us to keep a positive cash flow at any time of the project.

Provides crucial operational metrics for project-based business, including project timelines and working capital management strategy.

Asked by Aditya Chheda

3 min read 7 chapters

Detailed narrative

Q2 FY26 Performance Overview and Turnaround Traction

John Cockerill India Limited reported a period of steady recovery and disciplined execution in Q2 FY26. Revenue growth accelerated from approximately 7.5% in Q1 FY26 to over 18% in Q2 FY26, supported by improved project execution. EBITDA rose sequentially by around 13%, reaching approximately INR 120 million (₹12 crores), while the cash position more than doubled from INR 742 million (₹74.2 crores) in Q4 FY25 to over INR 1,470 million (₹147 crores) in Q2 FY26, indicating gaining traction in the turnaround plan.

Significant Order Intake and Robust Backlog

The company achieved a substantial order intake of INR 5.86 billion (₹586 crores) in Q2 FY26, which is nearly ten times the intake recorded in Q4 FY25. This strong inflow led to the order backlog almost doubling to over INR 11.0 billion (₹1100 crores). These figures provide good visibility for fiscal year 2026 and reflect growing customer confidence, with notable wins including GSW-GFE (INR 2.7 billion), Tata Steel (INR 800 million), and JSW Steel (INR 1.75 billion).

Strategic Acquisition of John Cockerill Metals International

John Cockerill's Board approved the acquisition of John Cockerill Metals International in Belgium, a 100% equity buyout from its parent company. This move aims to consolidate the global metals activities under JCIL, strengthening India's role as a strategic center. The acquisition, which will be funded by an interest-free debt from the promoter payable over five years, is expected to add at least EUR 100 million in annual revenue to JCIL, with full financial details to be disclosed post-minority shareholder approval.

Advancing New Technologies: JVD and Volteron

The company is actively commercializing its new technologies. The JVD technology, already industrially proven with a line in Belgium producing over 1.1 million tons, is expected to see its first commercial project by Q1 next year. Volteron, a disruptive electrolysis direct reduction technology for iron making, is currently at CRL7 development stage and is targeted for a concrete commercial contract within 12 to 24 months, promising significant revenue and margin contributions due to the large project sizes.

Expansion of Value Services and Taloja Facility

The value services segment continues to build momentum. An investment of approximately INR 2 million has been made in the Taloja facility for a new rolls coating shed, which will be inaugurated in Q1 next year. This facility will integrate advanced coating expertise and introduce India's first HP-HVAF coating technology, aiming for 300 rolls production capabilities per year and generating at least INR 3 million in annual revenue, enhancing JCIL's high-level technology service offerings in India.

Market Outlook and Government Support

Despite a mixed global steel sector outlook, India and Southeast Asia remain growth regions, driven by sustained momentum in infrastructure, construction, and automotive sectors. Government initiatives like PM Gati Shakti, the National Infrastructure Pipeline, and Make in India are creating a strong foundation for capacity expansion and modernization. JCIL is well-positioned to leverage these trends, with India serving as an anchor for its global growth plan.

Long-term Vision and Strategic Positioning

John Cockerill India has an ambitious long-term vision, aiming to achieve INR 8,000 crores in revenue by 2030, driven by new technologies and external growth. The consolidation of global metals activities under JCIL will enable the company to balance and leverage its global presence, benefiting from high-growth markets beyond India. This strategic realignment positions JCIL as a leading technology and project partner in the evolving steel landscape.

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