Laser Power & Infra Limited profit falls 4% as manufacturing weakens

Laser Power & Infra Limited reported profit after tax of Rs 30.6047 crore for the quarter ended September 30, 2026, down 4% year on year, while revenue from operations rose 2% to Rs 628.2201 crore. Manufacturing revenue increased 30%, but its segment result fell 69%, whereas engineering, procurement and construction profit rose.

How did Laser Power & Infra perform in the September 2026 quarter?

Laser Power & Infra’s September-quarter profit after tax fell from Rs 31.8780 crore a year earlier to Rs 30.6047 crore, while profit before tax declined from Rs 44.8172 crore to Rs 40.9538 crore. Revenue from operations increased from Rs 614.9987 crore in the quarter ended September 30, 2025 to Rs 628.2201 crore, and total income, including other income, reached Rs 633.7127 crore against Rs 620.8473 crore.

Laser Power & Infra recorded other income of Rs 5.4926 crore during the latest quarter, compared with Rs 5.8486 crore a year earlier. Tax expense was Rs 10.3491 crore, down from Rs 12.9392 crore, with the prior-year figure including Rs 0.4842 crore of income tax for earlier years. Basic and diluted earnings per share, which are not annualised for quarters, were Rs 2.28 each, against Rs 2.77 each.

Why did manufacturing profitability fall despite higher revenue?

Laser Power & Infra’s manufacturing revenue rose to Rs 523.9836 crore from Rs 403.3894 crore, but the segment result before interest, depreciation and tax fell to Rs 12.9804 crore from Rs 41.8753 crore. The Rs 120.5942 crore rise in manufacturing revenue was therefore accompanied by a Rs 28.8949 crore decline in segment result.

Engineering, procurement and construction, or EPC, showed the reverse movement. EPC revenue declined to Rs 153.4240 crore from Rs 292.5547 crore, while its segment result increased to Rs 64.2747 crore from Rs 42.2887 crore. EPC consequently delivered the larger reported segment result in the September 2026 quarter, although manufacturing remained the larger segment by revenue.

The sequential comparison also shows a shift in segment earnings. Manufacturing revenue increased from Rs 382.4043 crore in the quarter ended June 30, 2026, but its segment result dropped from Rs 39.8571 crore. EPC revenue fell from Rs 218.8106 crore in June, while its segment result rose from Rs 27.6275 crore. Inter-segment elimination was Rs 49.1875 crore in September, compared with Rs 79.6677 crore in June.

What does the half-year comparison show?

Laser Power & Infra reported higher revenue and net profit for the half year ended September 30, 2026 despite the year-on-year fall in September-quarter profit. Half-year revenue from operations increased to Rs 1,149.7673 crore from Rs 1,069.1348 crore, while profit after tax rose to Rs 51.7394 crore from Rs 48.2865 crore.

Manufacturing revenue for the six months increased to Rs 906.3879 crore from Rs 796.6386 crore, but its segment result declined to Rs 52.8375 crore from Rs 84.7865 crore. EPC revenue decreased to Rs 372.2346 crore from Rs 422.8608 crore, whereas its segment result increased to Rs 91.9022 crore from Rs 52.8275 crore. Total segment results rose to Rs 153.5145 crore from Rs 144.3596 crore.

Half-year profit before tax was Rs 69.5246 crore, compared with Rs 67.0485 crore a year earlier. Finance costs increased to Rs 68.4279 crore from Rs 63.6834 crore, and depreciation and amortisation rose to Rs 15.5620 crore from Rs 13.6277 crore. These costs were deducted from segment results in arriving at reported profit before tax.

What changed in cash flow and the balance sheet?

Laser Power & Infra reported operating cash outflow of Rs 102.8068 crore for the half year ended September 30, 2026, compared with operating cash inflow of Rs 22.3070 crore in the prior-year half year. Inventories absorbed Rs 381.8889 crore of cash, versus Rs 120.4817 crore a year earlier, while trade payables increased by Rs 140.6970 crore.

Cash and cash equivalents were Rs 0.8884 crore at September 30, 2026, down from Rs 26.7859 crore at the beginning of the financial year. Investing cash outflow was Rs 38.1490 crore, including Rs 20.0868 crore spent on capital work in progress and Rs 10.5300 crore of loans given to a subsidiary. Financing activities generated Rs 115.0585 crore, compared with Rs 64.8638 crore a year earlier.

Total segment assets stood at Rs 3,117.0894 crore at September 30, 2026, compared with Rs 2,624.2773 crore at March 31, 2026. Total segment liabilities were Rs 1,823.5993 crore, down from Rs 1,897.9337 crore. Manufacturing segment assets rose to Rs 1,083.1218 crore from Rs 705.3269 crore, while EPC segment assets increased to Rs 1,391.9736 crore from Rs 1,286.2547 crore.

How were the IPO proceeds used by September 2026?

Laser Power & Infra said it received Rs 542 crore from the fresh issue of equity shares in its initial public offering, or IPO. The company stated that it had used Rs 490 crore to repay loans and Rs 21.15 crore for general corporate purposes by September 30, 2026, with no deviation from the stated objects of the offer.

The company disclosed proportionate issue expenses of Rs 30.85 crore, of which Rs 26.74 crore had been utilised by September 30, 2026. The remaining Rs 4.11 crore was held in the monitoring account. Separately, the half-year cash-flow statement recorded Rs 542 crore of proceeds from share capital issuance and Rs 26.7026 crore of share-issue expenses.

The unaudited standalone results were reviewed by the audit committee and approved by the board on November 12, 2026. V. Singhi & Associates issued a limited review report dated November 12, 2026, stating that nothing had come to its attention to indicate a material misstatement in the results. The auditor also noted that the September 2025 quarter figures were balancing figures derived from IPO-purpose interim financial statements and had not been separately audited or limited-reviewed.

Conclusion

Laser Power & Infra’s September-quarter results show that a Rs 13.2214 crore increase in revenue from operations did not prevent a Rs 1.2733 crore reduction in profit after tax. Manufacturing supplied higher revenue but lower segment earnings, while EPC produced a higher segment result despite lower revenue; the half-year figures similarly show earnings shifting between the two operating segments.

The next reported results will show whether manufacturing segment earnings recover from Rs 12.9804 crore while its revenue remains elevated, and whether inventory growth moderates after the Rs 381.8889 crore half-year cash outflow. The company also has Rs 4.11 crore of IPO issue expenses remaining in its monitoring account as at September 30, 2026.