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Trishakti Industries Limited — Q2 FY26 earnings call

Call held 7 Nov 2025

Company page: Trishakti Industries share price, financials & guidance record

Management summary

Trishakti Industries Limited delivered robust financial results in Q2 FY26, with significant year-on-year and quarter-on-quarter growth in revenue, EBITDA, and PAT, driven by high asset utilization and strategic CapEx deployment. The company is actively expanding its fleet, particularly for higher tonnage machines, and has successfully entered the renewable energy sector. Despite a temporary dip in EBITDA margins due to a one-off project delay, management expects margins to normalize and is confident in its capital allocation strategy and future growth trajectory.

Highlights

  • Revenues from operations stood at INR 6.65 crores, up 63% QoQ and 213% YoY.

  • EBITDA stood at INR 3.92 crores, reflecting a 45% growth QoQ and a 374% growth YoY.

  • PAT rose 77% QoQ and 337% YoY to INR 1.61 crores.

  • Heavy equipment hiring business operating at 100% utilization.

  • INR 400-crore CapEx program planned through FY28, with INR 130-plus crores already deployed.

  • INR 84 crores worth of CapEx already done for FY26, against a target of INR 100 crores.

  • EBITDA margins dropped slightly to 58.97% due to a one-off project delay, expected to return to 65% in upcoming quarters.

  • Entered the renewable energy segment, securing initial contracts from Reliance Industries.

Key financials

  1. Revenue from Operations ₹6.65 Cr +213%YoY
  2. EBITDA ₹3.92 Cr +374%YoY
  3. PAT ₹1.61 Cr +337%YoY
  4. EBITDA Margin 59%

What they filed

Q1 FY27: revenue up 252.5%, net profit up 372.5% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue2 2 2 4 7 +214%8 +357%9 +314%14 +252%
EBITDA1 1 1 3 4 +367%6 +368%3 +190%8 +213%
Net profit0 0 2 1 2 +335%2 +1785%3 +50%4 +373%
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.

Capital allocation

high confidence
  • Capex ₹100 Cr Internal accruals and INR 28 crores from preferential round (equity)
    • Next-generation higher tonnage fleet (750-1000 ton for wind, 300-500 ton ordered)
    • Specialized equipment (reach stackers)
    So, internal accruals are a significant part of how we will be buying out new machines, and everything is being done in a phased manner. So recently, we have closed our preferential round as well, so we have raised some equity. So with that particular amount, we have raised around INR 28 crores.
  • Debt Debt disclosed Cost 8.8% · Maturity: Term loans for three years to four years
    • Rate reset Rebalanced in Q3 due to repo rate changes, expected to be slightly less than 8.8%
    We generally take term loans for three years to four years. So, you are paying from 2% to 3% every single month on your principal repayment.
  • Liquidity Liquidity disclosed Operating cash flow is quite nice and internal accruals are sufficient for new machines. Working capital is not an issue due to working with ultra-large CAT-1 companies, allowing for bill discounting.
    So right now, our operating cash flow is quite nice. So, internal accruals are a significant part of how we will be buying out new machines... We expect the working capital side to be not an issue because we have a very strict thumb rule that we only tend to work with the ultra-large CAT-1 groups of companies. So, even if we have some cash crunch in future, then it is very easy for us to get the bills discounted also.

Guidance & targets

Profitability

  • EBITDA Margins Profitability · upcoming quarters · High confidence 65%
    We expect margins to return to our guided range of around 65% in the upcoming quarters.

    — Dhruv Jhanwar

Capex

  • Total CapEx Program Capex · through FY28 · High confidence INR 400 crores
    our INR 400-crore CapEx program planned through FY28

    — Dhruv Jhanwar

  • FY26 CapEx Capex · FY26 · High confidence INR 100 crores
    We remain on track to achieve our FY26 CapEx target of INR 100 crores and are hoping to outperform our CapEx targets since till date INR 84 crores worth of CapEx has already been done for this year.

    — Dhruv Jhanwar

  • Monthly CapEx Deployment Capex · every month · Medium confidence INR 10-20 crores
    buying INR 10 crores, INR 15 crores, INR 20 crores worth of machines every month is not an issue for us because of our healthy cash flows.

    — Dhruv Jhanwar

Revenue

  • FY26 Revenue Revenue · FY26 · High confidence INR 20-22 crores
    for this financial year, we are giving a guidance of INR 20 crores, INR 22 crores.

    — Dhruv Jhanwar

  • Current Annual Run Rate (ARR) Revenue · from this month onwards · High confidence INR 36 crores
    from this particular month onwards, we are at INR 36 crore run rate.

    — Dhruv Jhanwar

  • Next FY Revenue Growth Revenue · next financial year · Medium confidence 90-100% more
    we should be doing at least 90% to 100% more in the next financial year because all our machines have just landed with us.

    — Dhruv Jhanwar

Blended Yields

  • Blended Yield per machine Blended Yields · second half of the year · High confidence 2.3-2.4%
    in the second half of the year, our yields generally go up to 2.3%, 2.4% as well because a lot of overtime starts happening.

    — Dhruv Jhanwar

What to watch in Q3 FY26

EBITDA Margin Recovery

next quarter
Current 58.97%
Target ~65%

Why it matters

Management expects margins to return to the guided range after a temporary dip due to a one-off project delay.

We expect margins to return to our guided range of around 65% in the upcoming quarters.

Risks & concerns

  • Market crowding and lower returns in Middle Eastern markets

    medium

    The Middle Eastern market is becoming crowded, leading to lower returns (around 3% compared to 3.3-3.4% previously) and requiring local equity participation, making domestic focus more attractive for now.

    Management acknowledged

  • Temporary EBITDA margin compression

    low

    A one-off project delay led to additional costs due to early manpower deployment, causing a slight dip in EBITDA margins, but it is not expected to recur.

    Management acknowledged

  • Compliance and lead time for large-scale project deployment

    low

    Large projects, such as the Reliance Industries contract, involve significant compliance requirements (e.g., gate passes, safety officers), leading to a 3-4 week lead time for machine deployment.

    Management acknowledged

  • High trade receivables during rapid growth

    low

    High trade receivables are primarily due to the recent purchase and deployment of most machines in the last two months, and are expected to normalize as revenues continue to grow.

    Analyst acknowledged

Q&A highlights

8 direct
Impact of one-off project delay on margins Direct
So because of that, we had to bear some additional cost, and hence, our EBITDA margins took a slight drop.

Explains the temporary dip in margins and assures it's not a recurring issue, providing clarity on margin sustainability.

Asked by Parth Mandavgane

Strategic decision on Middle Eastern market expansion Direct
I just feel that, right now, India has so much demand that it does not make sense for us to immediately jump over there. First, let's deal with the Indian demand.

Clarifies the company's strategic focus on the robust domestic market over international expansion due to market crowding and local regulations abroad.

Asked by Agastya Dave

Peak debt level for CapEx and future credit rating plans Direct
on INR 400 crore CapEx, it should not be more than 50% to 60%, like, 40% to 50% because on INR 400 crore block, every month, we will be repaying at least INR 8 crores of principal amount... INR 200 crores will be the maximum, I think, for this particular loan.

Provides crucial insight into the company's debt capacity and its commitment to obtaining a credit rating after strengthening its balance sheet.

Asked by Agastya Dave

Primary drivers of revenue growth Direct
it's mostly about the new client addition only because in our industry, what happens is that once the site starts, every four months, five months, we start giving new machines... So right now, our revenue is growing because of the new fleet we are going on adding right now.

Clarifies that revenue growth is primarily fueled by new client acquisitions and continuous fleet expansion, rather than rate improvements on existing contracts.

Asked by Aman

Evolution of revenue mix across sectors Direct
renewable energy should come down to around 35% or so and the steel should go up and some port as well.

Indicates a planned diversification of revenue streams, with a strategic shift towards increasing contributions from steel and port sectors in the near future.

Asked by Aman

Working capital management strategy during rapid CapEx Direct
We expect the working capital side to be not an issue because we have a very strict thumb rule that we only tend to work with the ultra-large CAT-1 groups of companies. So, even if we have some cash crunch in future, then it is very easy for us to get the bills discounted also.

Addresses potential concerns about working capital strain during a period of high growth and CapEx, highlighting robust client relationships and financing options.

Asked by Ishant Lalwani

Allocation of free cash flow post CapEx cycle Direct
when we start having free cash flow, then, of course, we are not thinking most of our dividend because we want to keep growing. So, debt reduction is one thing, of course. But by the time our machines are free, naturally, we will be debt free as well.

Outlines the company's future capital allocation priorities, emphasizing continued growth and debt reduction over immediate shareholder returns like dividends.

Asked by Rahul Singhania

Confidence in Annual Run Rate (ARR) and order book visibility Direct
the ARR actually means a 12-month order book only. So, when we said in our investor presentation that in the next 12 months, our ARR is INR 36 crores, which means that in the next six months, our order book is at INR 36 crores.

Clarifies the definition of ARR and provides strong confidence in the near-term order book visibility, supporting future revenue projections.

Asked by Ishant Lalwani

3 min read 7 chapters

Detailed narrative

Strong Q2 FY26 Financial Performance

Trishakti Industries Limited delivered robust financial results in Q2 FY26, with revenues from operations reaching INR 6.65 crores, marking a substantial 63% QoQ and 213% YoY growth. EBITDA stood at INR 3.92 crores, growing 45% QoQ and 374% YoY, while PAT increased 77% QoQ and 337% YoY to INR 1.61 crores. This strong performance was attributed to higher asset utilization and disciplined cost management, underscoring the company's ability to translate operational strength into sustained profitability.

Strategic CapEx and Fleet Expansion

The company is aggressively pursuing its INR 400-crore CapEx program through FY28, having already deployed over INR 130 crores. For FY26, INR 84 crores of the INR 100-crore target has been completed, with management expecting to outperform this goal. The expansion focuses on next-generation higher tonnage fleet, including 300-500 ton machines, to support large-scale industrial and renewable energy projects, with INR 10-20 crores worth of machines being purchased monthly.

Entry into Renewable Energy Segment

Q2 FY26 marked a significant strategic milestone with Trishakti Industries' entry into the renewable energy segment, securing initial contracts from Reliance Industries. This move positions the company to capitalize on India's accelerating clean energy investments, leveraging its growing fleet for specialized lifting and deployment needs in this multi-decade opportunity. While currently contributing 46% of revenue, the share from renewables is expected to diversify as other sectors pick up.

Margin Outlook and Operational Efficiency

EBITDA margins experienced a slight temporary dip to 58.97% due to a one-off project delay that necessitated early manpower deployment, incurring additional costs. However, management expressed confidence that margins would return to the guided range of around 65% in the upcoming quarters. This recovery is expected to be driven by strong execution across multiple projects and continued disciplined cost management.

Capital Structure and Funding Strategy

The company maintains a robust balance sheet with healthy leverage and an efficient payback cycle of 3 to 3.5 years for equipment investments. Funding for the CapEx program is primarily through internal accruals, supplemented by INR 28 crores raised via a preferential round. Management estimates peak debt for the INR 400 crore CapEx to be around INR 200 crores, with a current cost of debt at approximately 8.8%, which is expected to be slightly lower after rebalancing in Q3.

Revenue Growth Drivers and Mix Evolution

Revenue growth is largely driven by new client additions and the continuous deployment of new fleet, rather than rate improvements on existing contracts. The current Annual Run Rate (ARR) stands at INR 36 crores, with a FY26 revenue guidance of INR 20-22 crores, which the company expects to outperform. While renewable energy currently contributes 46% of revenue, management anticipates a diversification, with renewable's share reducing to around 35% as steel and port projects pick up in the second half of the year.

Working Capital Management and Trade Receivables

Management assured that working capital would not be an issue, as the company primarily works with ultra-large CAT-1 groups of companies, allowing for easy bill discounting if needed. The current high trade receivables were attributed to the recent purchase and deployment of most machines in the last two months, and are expected to normalize as revenues continue to grow with increasing machine utilization.

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