Sika Interplant revenue falls 10% on supply disruptions

Sika Interplant Systems Limited reported standalone revenue of Rs 46.38 crore for the three months ended 30 September 2026, down 10% from Rs 51.58 crore a year earlier, after supply-chain disruptions delayed customer-order execution and delivery. Standalone net profit declined to Rs 8.56 crore from Rs 8.78 crore, although both measures rose from the June 2026 quarter.

Why did Sika Interplant’s September-quarter revenue decline?

Sika Interplant said continued external supply-chain disruptions materially affected the September 2026 quarter by delaying the execution and delivery of certain customer orders and consequently deferring revenue. Standalone net sales and income from operations were Rs 46.38 crore for the three months ended 30 September 2026, compared with Rs 51.58 crore in the three months ended 30 September 2025.

The year-on-year decrease in standalone sales was Rs 5.20 crore. The filing does not identify the customers, products or inputs involved, and it does not quantify deferred revenue. Sika Interplant reports one business segment, Engineering Products, Systems & Services, so the filing provides no segment-level sales breakdown for the Rs 46.38 crore quarterly result.

The sequential movement was different from the annual comparison. September-quarter sales were Rs 3.53 crore above Rs 42.86 crore reported in the three months ended 30 June 2026. Total standalone income, which includes other income, increased to Rs 47.60 crore from Rs 45.36 crore sequentially, but remained below Rs 53.03 crore in the September 2025 quarter.

How much did Sika Interplant’s profit change in Q2?

Sika Interplant’s standalone net profit was Rs 8.56 crore in the September 2026 quarter, down Rs 0.22 crore from Rs 8.78 crore a year earlier. Standalone profit before tax declined to Rs 11.42 crore from Rs 11.73 crore as total income fell to Rs 47.60 crore from Rs 53.03 crore.

Sequentially, standalone net profit increased by Rs 0.08 crore from Rs 8.48 crore in the June 2026 quarter. Profit before tax increased by Rs 1.01 crore from Rs 10.41 crore over the same comparison. Basic earnings per share were Rs 4.04 for the September quarter, compared with Rs 4.00 in June 2026 and Rs 4.14 in September 2025.

Standalone total expenses were Rs 36.18 crore in the September quarter, compared with Rs 41.30 crore a year earlier and Rs 34.95 crore in the preceding quarter. Cost of materials consumed was Rs 30.01 crore, against Rs 31.33 crore in September 2025 and Rs 32.82 crore in June 2026. Employee-benefit expense was Rs 3.22 crore, below Rs 3.70 crore a year earlier but above Rs 1.85 crore in the preceding quarter.

The consolidated result was close to the standalone result for the three months ended 30 September 2026. Consolidated net profit was Rs 8.61 crore, compared with Rs 8.94 crore a year earlier and Rs 8.40 crore in the June 2026 quarter. Consolidated profit before tax was Rs 11.47 crore, compared with Rs 11.73 crore in September 2025, while consolidated basic earnings per share were Rs 4.08.

What do Sika Interplant’s first-half results show?

Sika Interplant’s standalone revenue for the six months ended 30 September 2026 was Rs 89.24 crore, down from Rs 119.59 crore in the corresponding prior-year half. The Rs 30.35 crore reduction across the half year was larger than the September-quarter decline, with the June 2026 quarter contributing Rs 42.86 crore of sales.

Standalone net profit for the first half was Rs 17.03 crore, compared with Rs 19.15 crore in the six months ended 30 September 2025. Profit before tax declined to Rs 21.83 crore from Rs 25.60 crore, while basic earnings per share fell to Rs 8.03 from Rs 9.04. Total standalone income was Rs 92.96 crore, against Rs 122.77 crore a year earlier.

On a consolidated basis, first-half revenue was also Rs 89.24 crore, compared with Rs 119.59 crore in the prior-year period. Consolidated net profit was Rs 17.01 crore versus Rs 19.13 crore, and consolidated profit before tax was Rs 21.81 crore versus Rs 25.57 crore. The results filing attributes the quarter’s financial impact to supply-chain disruptions and the resulting deferment of revenue.

The Board approved the unaudited standalone and consolidated results on 14 November 2026. The statutory auditors carried out limited reviews and issued unmodified review reports for the standalone and consolidated results for the quarter and six months ended 30 September 2026. The standalone review report states that nothing came to the auditor’s attention to indicate a material misstatement.

What has Sika Interplant said about recovery and growth plans?

Sika Interplant said it has taken appropriate measures to mitigate supply-chain disruptions and expects these measures to facilitate recovery in execution and delivery in upcoming periods. The 14 November 2026 filing gives no recovery quarter, deferred-order value or numerical revenue target, so the statement is management’s expectation rather than quantified guidance.

Execution and delivery of delayed orders are therefore the disclosed operational measures to monitor after the Rs 46.38 crore September-quarter sales result. A future increase in deliveries could bring deferred orders into reported revenue, but Sika Interplant did not specify the timing or amount of any such revenue recognition.

Separately, the Board authorised management on 14 November 2026 to prioritise and advance discussions and negotiations regarding select strategic growth opportunities in aerospace and defence. The authorisation is subject to requisite approvals and applicable regulatory disclosures. The announcement does not name counterparties, assets, deal values or a timetable.

Sika Interplant’s standalone balance sheet as at 30 September 2026 showed total assets of Rs 218.13 crore and total equity and liabilities of the same amount. Equity share capital was Rs 4.24 crore and other equity was Rs 161.51 crore. Current borrowings stood at Rs 1.89 crore, while trade payables were Rs 23.34 crore.

Conclusion

Sika Interplant’s September-quarter results show a year-on-year sales and profit decline linked by management to delayed customer-order execution and delivery. Standalone revenue fell Rs 5.20 crore to Rs 46.38 crore and net profit fell Rs 0.22 crore to Rs 8.56 crore, while both figures improved from the June 2026 quarter.

The next disclosed item to watch is whether Sika Interplant’s mitigation measures translate into recovered execution and delivery in upcoming periods, since management gave no value or schedule for the deferred orders. Investors can also watch for any regulatory disclosure from the authorised aerospace and defence growth discussions, for which no counterparties or transaction terms were disclosed.