Gala Precision Q2 profit rises to Rs 10.56 crore on sales

Gala Precision Engineering Limited reported standalone profit of Rs 10.56 crore for the quarter ended September 30, 2026, as revenue from operations reached Rs 93.74 crore. Revenue was Rs 71.41 crore a year earlier and Rs 75.38 crore in the preceding quarter, while profit was Rs 8.39 crore and Rs 8.21 crore, respectively.

How much did Gala Precision's quarterly revenue increase?

Gala Precision's revenue from operations increased by Rs 22.33 crore from the quarter ended September 30, 2025 and by Rs 18.36 crore from the quarter ended June 30, 2026. Revenue reached Rs 93.74 crore in the September 2026 quarter, compared with Rs 71.41 crore a year earlier and Rs 75.38 crore in the preceding quarter.

Other income was Rs 1.28 crore in the September 2026 quarter, below Rs 1.35 crore a year earlier but above Rs 1.14 crore in the June 2026 quarter. Total income consequently rose to Rs 95.02 crore, from Rs 72.76 crore in the September 2025 quarter and Rs 76.52 crore in the June 2026 quarter.

How did Gala Precision's quarterly profit change?

Gala Precision's profit for the period rose to Rs 10.56 crore in the quarter ended September 30, 2026, from Rs 8.39 crore a year earlier and Rs 8.21 crore in the June 2026 quarter. The increase was Rs 2.17 crore year on year and Rs 2.35 crore sequentially, while profit before tax reached Rs 13.00 crore versus Rs 9.55 crore and Rs 9.64 crore.

Total expenses rose to Rs 82.02 crore from Rs 63.21 crore in the September 2025 quarter and Rs 66.88 crore in the June 2026 quarter. Cost of materials consumed was Rs 37.20 crore, employee-benefit expense was Rs 11.10 crore, depreciation and amortisation was Rs 3.36 crore, and other expenses were Rs 29.47 crore.

Current tax expense was Rs 2.75 crore in the September 2026 quarter, compared with Rs 1.12 crore a year earlier and Rs 1.73 crore in the previous quarter. Deferred tax was a credit of Rs 31 lakh, compared with credits of Rs 30 lakh in the June 2026 quarter and a Rs 4 lakh expense in the September 2025 quarter.

Basic earnings per share were Rs 8.25 for the September 2026 quarter, compared with Rs 6.60 a year earlier and Rs 6.41 in the June 2026 quarter. Diluted earnings per share were Rs 8.05, against Rs 6.41 and Rs 6.26, respectively.

What did Gala Precision report for the first half?

Gala Precision reported revenue from operations of Rs 169.12 crore for the half year ended September 30, 2026, compared with Rs 134.49 crore for the half year ended September 30, 2025. Half-year profit for the period increased by Rs 3.80 crore to Rs 18.77 crore, while profit before tax rose by Rs 4.85 crore to Rs 22.64 crore.

The half-year expense base was Rs 148.90 crore, up from Rs 119.43 crore in the comparable period. Employee-benefit expense increased to Rs 21.88 crore from Rs 16.44 crore, depreciation and amortisation rose to Rs 6.53 crore from Rs 4.47 crore, and finance costs declined to Rs 1.02 crore from Rs 1.13 crore.

Basic earnings per share for the six-month period were Rs 14.66, compared with Rs 11.78 a year earlier. Diluted earnings per share were Rs 14.31 against Rs 11.47, and Gala Precision issued 18,650 equity shares under its Employee Stock Option Plan 2021 during the half year.

Gala Precision manufactures and sells springs, parts, fasteners and assemblies, according to its September 2026 results notes. The standalone results were reviewed by the audit committee and approved by the board on November 5, 2026, with the statutory auditors issuing an unmodified conclusion in the limited review.

How did Gala Precision's balance sheet change by September?

Gala Precision's total assets stood at Rs 388.42 crore on September 30, 2026, compared with Rs 375.05 crore on March 31, 2026. Non-current assets increased to Rs 139.26 crore from Rs 130.50 crore, including property, plant and equipment of Rs 92.92 crore and capital work-in-progress of Rs 9.29 crore.

Current assets were Rs 249.16 crore at September 30, compared with Rs 244.55 crore at March 31. Inventories were Rs 94.47 crore and trade receivables were Rs 91.92 crore, compared with Rs 89.43 crore and Rs 81.53 crore at the March financial year-end.

Cash and cash equivalents were Rs 46 lakh at September 30, 2026, following a net decrease of Rs 10.98 crore during the first half. Bank balances other than cash equivalents were Rs 35.21 crore, compared with Rs 38.98 crore at March 31, 2026.

Total equity increased to Rs 311.35 crore from Rs 292.55 crore, with other equity rising to Rs 298.53 crore from Rs 279.75 crore. Total liabilities declined to Rs 77.07 crore from Rs 82.50 crore, as current borrowings fell to Rs 30.33 crore from Rs 34.94 crore and non-current borrowings reduced to Rs 1.32 crore from Rs 1.62 crore.

What does Gala Precision's cash flow show?

Gala Precision generated net cash from operating activities of Rs 7.07 crore in the half year ended September 30, 2026, compared with Rs 7.32 crore in the year-earlier half. Operating profit before working-capital changes rose to Rs 29.20 crore from Rs 20.60 crore, but changes in operating balances reduced the cash conversion.

Trade receivables used Rs 10.50 crore of cash, inventories used Rs 5.04 crore and trade payables used Rs 4.19 crore during the six months ended September 30, 2026. In the corresponding 2025 half year, receivables added Rs 9.17 crore of cash, inventories used Rs 22.99 crore and trade payables added Rs 2.49 crore.

Investing activities used Rs 11.92 crore, compared with Rs 6.87 crore in the previous half year. Gala Precision spent Rs 16.35 crore on property, plant and equipment, capital work-in-progress and capital advances, while deposits and bank balances released Rs 3.77 crore.

Financing activities used Rs 6.13 crore in the September 2026 half year, compared with Rs 90 lakh in the corresponding prior-year period. The outflow included a Rs 4.56 crore net repayment of working-capital facilities, Rs 35 lakh of term-loan repayments, Rs 43 lakh of lease-liability payments and Rs 95 lakh of interest paid.

Conclusion

Gala Precision combined quarterly revenue of Rs 93.74 crore with profit of Rs 10.56 crore in the quarter ended September 30, 2026, while half-year revenue reached Rs 169.12 crore and profit was Rs 18.77 crore. The balance sheet also showed inventories of Rs 94.47 crore and receivables of Rs 91.92 crore, while first-half operating cash flow was Rs 7.07 crore.

The next disclosed item to watch is deployment of Rs 31.67 crore of unutilised net initial public offering proceeds as of September 30, 2026, including Rs 5.06 crore allocated to the Vallam-Vadagal facility and Rs 26.61 crore for general corporate purposes. Gala Precision also disclosed that Income Tax Department search proceedings remained ongoing as of the November 5, 2026 approval date, with no final order or ascertainable financial impact reported.