Spectrum Electrical profit more than doubles on 69% revenue rise

Spectrum Electrical Industries Limited more than doubled consolidated profit to Rs 18.08 crore in the quarter ended September 30, 2026, from Rs 7.81 crore a year earlier, as revenue from operations rose 68.6% to Rs 198.39 crore. The company’s profit before tax increased 148.3% to Rs 29.43 crore during the quarter.

How much did Spectrum Electrical's quarterly profit and revenue grow?

Spectrum Electrical's September 2026-quarter consolidated profit rose 131.5% year on year to Rs 18.08 crore, while revenue from operations increased 68.6% to Rs 198.39 crore. Profit was Rs 7.81 crore and operating revenue was Rs 117.68 crore in the quarter ended September 30, 2025, producing increases of Rs 10.27 crore and Rs 80.71 crore respectively.

Profit before tax grew faster than revenue, reaching Rs 29.43 crore from Rs 11.85 crore in the comparable quarter. Total tax expense rose to Rs 11.36 crore from Rs 4.04 crore, including deferred-tax expense of Rs 4.64 crore against Rs 1.40 crore a year earlier. Based on reported revenue from operations, profit after tax was 9.1% in the September 2026 quarter, compared with 6.6% in the September 2025 quarter.

Spectrum Electrical also recorded higher figures than in the preceding June 2026 quarter, when revenue from operations was Rs 158.55 crore and profit was Rs 13.05 crore. September-quarter operating revenue was 25.8% higher sequentially, while profit increased 38.5%. Basic earnings per share rose to Rs 11.41 from Rs 4.93 in the September 2025 quarter.

What costs changed as Spectrum Electrical's revenue increased?

Spectrum Electrical's raw-material consumption increased to Rs 147.27 crore in the September 2026 quarter from Rs 84.43 crore a year earlier, a rise of Rs 62.84 crore. That increase was below the Rs 80.71 crore increase in operating revenue. The company also reported a Rs 17.67 crore reduction in finished-goods inventories, compared with a Rs 5.45 crore reduction in the prior-year quarter.

Other expenses rose to Rs 23.44 crore from Rs 17.38 crore, while employee-benefit expense increased to Rs 7.70 crore from Rs 6.10 crore. Finance cost more than doubled to Rs 5.87 crore from Rs 2.62 crore, and depreciation and amortisation increased to Rs 3.73 crore from Rs 2.91 crore. These movements occurred alongside changes in the group's asset base and borrowings at September 30, 2026.

Spectrum Electrical reported total expenses of Rs 170.33 crore for the September quarter, compared with Rs 107.99 crore a year earlier. The difference between total revenue and expenses produced profit before tax of Rs 29.43 crore, versus Rs 11.85 crore in the prior-year quarter. The company states that it designs and manufactures electrical, automobile and irrigation products, and reported no separate business or geographical segments under Indian Accounting Standard 108.

How did Spectrum Electrical perform in the first half of 2026-27?

Spectrum Electrical reported first-half consolidated profit of Rs 31.13 crore for the half year ended September 30, 2026, compared with Rs 13.44 crore in the half year ended September 30, 2025. Revenue from operations rose 73.8% to Rs 352.95 crore from Rs 203.11 crore, while profit before tax increased to Rs 47.07 crore from Rs 18.19 crore.

Total tax expense for the six months was Rs 15.94 crore, up from Rs 4.76 crore in the prior-year half, including deferred-tax expense of Rs 4.10 crore compared with Rs 68.91 lakh. Total comprehensive income for the half year was Rs 31.10 crore, compared with Rs 13.38 crore a year earlier, after other comprehensive loss of Rs 2.47 lakh.

The September quarter supplied a larger portion of the first-half outcome than the June quarter. Its Rs 18.08 crore profit represented 58.1% of the Rs 31.13 crore six-month total, while its Rs 198.39 crore operating revenue represented 56.2% of first-half operating revenue of Rs 352.95 crore. June-quarter profit was Rs 13.05 crore and operating revenue was Rs 158.55 crore.

What changed in Spectrum Electrical's balance sheet and cash flow?

Spectrum Electrical's total assets were Rs 1,055.28 crore at September 30, 2026, compared with Rs 667.78 crore at March 31, 2026. Property, plant and equipment increased to Rs 175.68 crore from Rs 111.98 crore, while capital work-in-progress declined to Rs 157.51 crore from Rs 171.93 crore. Total equity increased to Rs 563.51 crore from Rs 244.88 crore, including Rs 12.50 crore received against share warrants.

Working-capital balances also increased during the six months. Inventories rose to Rs 181.24 crore from Rs 153.09 crore and trade receivables increased to Rs 120.53 crore from Rs 86.52 crore. In the cash-flow statement, inventory absorbed Rs 28.15 crore and receivables absorbed Rs 34.01 crore, partly offset by a Rs 36.54 crore increase in trade payables.

Spectrum Electrical generated Rs 33.36 crore of net cash from operating activities in the half year, compared with Rs 20.86 crore a year earlier. It used Rs 112.36 crore in investing activities, including Rs 110.55 crore for fixed-asset purchases, compared with fixed-asset purchases of Rs 25.10 crore in the prior-year half. Non-current borrowings were Rs 166.43 crore and current borrowings were Rs 107.04 crore at September 30, 2026.

Conclusion

Spectrum Electrical converted a 68.6% rise in September-quarter operating revenue into a 131.5% increase in consolidated profit, while first-half operating revenue rose 73.8% to Rs 352.95 crore. The accompanying balance-sheet and cash-flow figures show that the period also included Rs 110.55 crore of fixed-asset purchases, higher inventories and receivables, and total borrowings of Rs 273.47 crore.

What to watch next is the effect of the higher fixed-asset spending, working-capital balances and finance cost on later cash generation and earnings. The limited-review report also states that the auditor did not review financial information for five subsidiaries, which had combined assets of Rs 133.86 crore and revenue of Rs 22.26 crore at September 30, 2026, and relied on information approved and furnished by management.