M&B Engineering FY26 results: PAT up 20% in 2026

Key takeaway from the audited FY26 announcement

M&B Engineering Ltd. reported audited standalone and consolidated results for the quarter and year ended March 31, 2026, after its Board meeting held on May 12, 2026. On a consolidated basis, the company posted FY26 profit after tax (PAT) of ₹92.64 crore, up 20.2% year-on-year (YoY), backed by revenue of ₹1,259.72 crore, up 27.4% YoY. The company also said Q4 FY26 delivered its highest-ever quarterly revenue at ₹363.70 crore. Alongside the numbers, the Board recommended a final dividend of ₹1 per equity share of face value ₹10 for FY2025-26, subject to shareholder approval.

FY26 financial performance: revenue up, profit higher

For FY26, consolidated revenue from operations was ₹1,259.72 crore compared with ₹988.55 crore in FY25, reflecting a 27.43% increase. Consolidated PAT rose to ₹92.64 crore from ₹77.05 crore in FY25, a 20.23% increase. Management also disclosed EBITDA for FY26 at ₹157.2 crore, up 17% from ₹135 crore in FY25. EBITDA margin for FY26 was stated at 12.5% versus 13.6% in FY25, while PAT margin was 7.4% versus 7.8% in the previous year.

Q4 FY26: record revenue, PAT declines YoY

The March 2026 quarter showed a different mix of growth and pressure. Q4 FY26 revenue rose 15.96% YoY to ₹363.71 crore from ₹313.64 crore in Q4 FY25. However, Q4 FY26 PAT declined 5.33% to ₹27.00 crore from ₹28.52 crore in Q4 FY25. The company described Q4 FY26 as its highest-ever quarterly revenue period, even as profitability metrics moderated.

Margin pressure drivers cited by management

On the earnings call, management attributed the reduction in margins in Q4 and FY26 to foreign exchange losses, rising steel prices, and higher export freight costs linked to war-related disruptions. The company disclosed a net forex loss of ₹3.9 crore in Q4 and ₹6.04 crore for FY26, booked as other expense, and said this included an unrealised loss of ₹3.83 crore. It also stated that if forex loss is removed, adjusted EBITDA margin would be 13% in Q4 as well as for the full financial year.

Order book and inflows: visibility improves

M&B Engineering reported an unexecuted order book of ₹1,083 crore as of March 31, 2026, up 35% YoY. It also reported FY26 order inflows at a record ₹1,539 crore. The company linked the FY26 execution outcome to a robust order book and healthy order inflows across a diversified portfolio.

Exports: sharp YoY rise highlighted

On exports, the company said export revenue rose to ₹165.6 crore, up 156% YoY. Management said its focus remains on North America, which is catered to by its Sanand plant, described on the call as currently the only PEB plant in India. The export growth also appeared in the context of disclosed operating other income that included export incentives.

Capital expenditure: FY26 spend and FY27 plan

The company said it incurred capital expenditure of ₹33 crore during FY26, primarily towards capacity augmentation and operational strengthening aligned with its mid-term growth strategy. Management also indicated estimated capex for the next year at around ₹100 crore. The call noted that the FY27 capex plan would include capex for the Sanand plant expansion, part capex for a chair plant expansion to be incurred in H2, and other regular capex.

IPO proceeds utilisation and working capital

Under SEBI Listing Regulations, the company formally confirmed there were no deviations or variations in the utilisation of IPO proceeds for the quarter ended March 31, 2026, against the objects stated in the offer letter. On the call, management stated that out of net IPO proceeds of ₹259.32 crore, ₹137.81 crore had been utilised as of March 31, 2026, and that ₹7.5 crore was utilised during the quarter. It also disclosed net working capital at 39 days as of March 2026 compared with 33 days as of March 2025.

Disclosures, audit opinion, and investor communication

The statutory auditors, Talati & Talati LLP, issued an unmodified opinion on both standalone and consolidated financial results. Pursuant to Regulations 30 and 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, extracts of the audited results were published in Business Standard (English Edition) and Jai Hind (Gujarati Edition) on May 13, 2026. An earnings conference call was held on May 12, 2026 at 4:00 PM IST, attended by management including Joint Managing Directors Chirag Patel and Malav Patel, Director Sanjay Majmudar, and CFO Keyur Shah.

Key figures at a glance

Market snapshot and corporate action

The stock price was shown at ₹294.55 on May 13, 2026 (10:33 IST). Separately, the Board recommended a final dividend of ₹1 per equity share (10%) for FY26, contingent on shareholder approval at the next Annual General Meeting. The company secretary and compliance officer, Palak Dilipbhai Parekh, signed the intimations related to the board meeting outcome and disclosures.

Conclusion

M&B Engineering closed FY26 with strong top-line growth and higher annual profit, supported by record order inflows and a larger unexecuted order book as of March 31, 2026. At the same time, Q4 and full-year margins were lower than the prior year, with management citing forex losses, steel price increases, and export freight costs. The next formal milestone is shareholder consideration of the proposed final dividend, while investors are likely to track execution against the ₹1,083 crore order book and the company’s stated capex plan of around ₹100 crore for the coming year.