Mold-Tek Technologies expects Beryl to reach Q3 break-even

On November 4, 2026, Mold-Tek Technologies said Beryl’s Q2 loss narrowed to $25,000 from $70,000-$75,000 in the previous quarter, and management expects the acquired US engineering business to cross EBITDA, or earnings before interest, tax, depreciation and amortisation, break-even in the third quarter.

When could Beryl reach EBITDA break-even?

Mold-Tek expects Beryl to move past EBITDA break-even in Q3, based on the operating progress management described on the call. Management said Beryl’s Q2 loss was about $25,000, compared with a loss of $70,000-$75,000 in the preceding quarter. Mold-Tek did not provide a revenue, margin or profit target for Beryl’s Q3 performance.

Beryl’s loss was therefore lower by about $45,000 to $50,000 quarter on quarter. Management described Q3 break-even as an expectation rather than formal guidance. The next test is whether Beryl can convert design assignments and its India-based support arrangement into sufficient billable work to cover its operating costs.

What is changing in Beryl’s operating model?

Mold-Tek is repositioning Beryl toward design work from its earlier concentration in inspections. Management said inspections remain Beryl’s predominant forte, while its design team had been stagnant. A professional engineer who is qualified in the US is now based in Tampa as Beryl’s design head, supported by five people already assembled in Hyderabad.

The $1 million Hillsborough County order received about two months before the call is predominantly a design assignment, management said. Mold-Tek said the work can be handled through a design team centred on six engineers, including the Tampa-based design head and the Hyderabad support team. The arrangement combines US-based client representation with India-based engineering support.

Management said Beryl had been acquired only nine to 10 months earlier and that key people had now been placed in the business. Mold-Tek’s chief executive was also travelling frequently and redesigning Beryl’s team, according to management. Management expects the fuller benefits of the acquisition in 2027-28, after establishing the team, performance measures and India outsourcing structure.

Which opportunities could add work for Beryl?

Mold-Tek said the recent cyclone discussed during the call could increase inspection cases and create more work for Beryl’s expert-witness, design and repair-services division. Management said it would not be a huge opportunity, but expected additional traction for those services. The company did not quantify the likely revenue contribution from cyclone-related work.

Mold-Tek and Beryl are also pursuing a land-development opportunity together. Management said they had signed a memorandum of understanding with a client and expected the work to begin around the end of November. It said further details could be shared in February or March, leaving the order value and likely revenue contribution undisclosed.

Beryl may also participate in civil and architectural work that Mold-Tek identified as newer domains. Management said the civil and land-development activity is connected to its structural engineering operations. Mold-Tek did not quantify Beryl’s expected project share, so the Q3 break-even expectation remains dependent mainly on execution of its design and inspection work.

How does Beryl fit Mold-Tek’s wider growth plan?

Mold-Tek said it expects consolidated top-line growth of at least 18%-20% over the next 12 months, while standalone growth could be around 20%-25%, subject to dollar movements. Management said standalone growth was about 23% in H1 including dollar gains, while consolidated growth was about 24%-25% in H1. These are group-level expectations and not a revenue forecast for Beryl.

Mold-Tek’s work on hand declined from about $4.5 million in the previous quarter to around $4.2 million, but management said October bookings reached a record level and were above the level at the end of June. About 75%-80% of revenue comes from structural steel detailing and related work. That core engineering business provides the broader platform alongside Beryl’s shift towards design work.

Mold-Tek is also expanding utility-services capability, with headcount rising from 30-40 people last year to 70-75 people currently and a plan to reach 120 people by March next year. Management identified electrical towers and distribution services as the utility focus. This expansion is separate from Beryl, but reflects the company’s focus on specialised engineering skills and fixed-team assignments.

What could delay Beryl’s path to profitability?

Beryl has not yet reached break-even, and management said the US holiday period could affect Q4 activity. It nevertheless said the new design structure should contribute more meaningfully from the following period, described on the call as either Beryl’s Q1 or Mold-Tek’s Q4. This was an expectation tied to execution rather than a committed profitability target.

The $1 million Hillsborough County assignment is a material source of design work, but Mold-Tek did not disclose its start date, completion schedule or margin. Similarly, the land-development memorandum of understanding was expected to begin around end-November, but management deferred further operating details until February or March. Beryl’s progress will depend on the pace at which these assignments become billable work and on the effectiveness of the Hyderabad support team.

At the group level, foreign-exchange movements remain a reported variable. Management said Q2 included a forex loss of about Rs 70 lakh, versus a forex gain of Rs 1.5 crore in Q1. It said operating profit growth excluding the forex effect would have been more than 14%-15%, compared with the reported 6% quarter-on-quarter increase, and added that a dollar level near Rs 95 could produce a Q3 forex gain.

Conclusion

Beryl’s Q2 loss of $25,000, down from $70,000-$75,000 in the previous quarter, is the basis for Mold-Tek management’s expectation of Q3 EBITDA break-even. The proposed turnaround depends on moving Beryl beyond inspections into design work, using a US-qualified design head in Tampa and a five-person Hyderabad support team, with the $1 million Hillsborough County order providing an initial design workload.

The next indicators are whether Beryl reaches break-even in Q3, how the Hillsborough County work is executed, and whether the land-development assignment begins around the end of November as planned. Management has identified 2027-28 as the period when it expects the acquisition’s fuller benefits, including a more established India outsourcing model, to become visible.