Batliboi Limited

Batliboi Limited reported a robust Q3 FY26, with revenue from operations growing 29% year-on-year to INR 124 crores, up from INR 96 crores in Q3 FY25. EBITDA saw a significant increase of 167% YoY, reaching INR 8 crores compared to INR 3 crores in the prior year. Profit Before Tax (before exceptional charges^📎 related to the Labor Code) surged fivefold to INR 5 crores, indicating a strong operational turnaround despite industry headwinds^🌐. The company's EBITDA margin for the quarter stood at 6.45%.

As of December 2025, the company's order backlog stood at approximately INR 586 crores, providing healthy revenue visibility. Total order inflows for the nine months ended FY26 were INR 222 crores. In Q3 FY26, the Machine Tool division recorded an inflow of INR 63 crores, the Air Engineering group INR 22 crores, the Textile Machinery Group INR 48 crores, and the Environmental Engineering group INR 34 crores. The Canadian subsidiary, Quickmill, contributed INR 44 crores in turnover and INR 6 crores in profit for Q3 FY26.

The quarter was challenging for the textile industry due to tariff issues with the US and problems in the EU, which impacted Batliboi's results. However, management expressed optimism for FY27, anticipating a 'new ballgame altogether' with the resolution of these challenges and the positive impact of Indo-EU and Indo-US trade agreements. The company expects the textile industry to be bullish, especially with reduced tariffs into the US, and foresees improved performance from its Bioconserve Renewables Envirotech Private Limited subsidiary, which focuses on Zero Liquid Discharge solutions for the textile sector.

Batliboi's debt primarily consists of INR 40 crores in promoter's debt (interest-free) and INR 9.3 crores in interest-bearing cash credit, totaling INR 49.3 crores. The company has completed its planned capital expenditure in the machine tool and foundry division at Surat. Additionally, a 1 MW solar plant is being commissioned and is expected to be operational by the end of March, contributing to energy cost reduction. The company also holds INR 15 crores from a fundraise, earmarked for future acquisitions.

For FY26, Batliboi is guiding for a revenue growth of 7-9%, targeting a top-line of INR 400-500 crores and an order book of approximately INR 1,000 crores by year-end. Management indicated that current margins are in line with industry averages (5-6%) but expects them to improve next year, driven by increased volumes and greater in-house manufacturing. A formal revision of guidance is anticipated after the Q4 FY26 results, pending further clarity on the impact of the new trade agreements.