Tenneco Clean Air India Q4 FY26: PAT jumps 19%

What the company reported for the March 2026 quarter

Tenneco Clean Air India Limited reported a strong March 2026 quarter (Q4 FY26), with year-on-year growth across value-added revenue, EBITDA, and profit after tax. The company said value-added revenue (VAR) increased 17.5% year-on-year to ₹1,405.8 crore. EBITDA rose 17.6% year-on-year to ₹257.3 crore, with an EBITDA margin of 18.3%. Profit after tax (PAT) for the quarter stood at ₹166.8 crore, up 18.8% year-on-year, with a PAT margin of 11.9%. The updates were discussed with analysts and investors during an earnings conference call held on June 3, 2026.

Conference call details and management participants

The company scheduled its earnings call for Wednesday, June 3, 2026 at 4:00 PM IST to discuss financial results for the fourth quarter and the year ended March 31, 2026. The call was conducted in a listen-only mode initially, followed by a question-and-answer session after the presentation. The operator also stated that the conference was being recorded. According to the call outline, the business update was expected to take around 15 minutes, followed by about 45 minutes of Q&A. Management participants included Arvind Chandra (Full-time Director and CEO) and Mahendra Chawla (Chief Financial Officer). The company noted that a detailed presentation was available on its website and on stock exchange websites.

Revenue from operations and the drivers mentioned

Alongside VAR, the company also reported higher revenue from operations for the quarter. Revenue from operations grew 17.1% year-on-year to ₹1,552.4 crore in Q4 FY26. Management attributed the improvement in VAR to higher volumes and the ramp-up of new programs. The company also referenced “elevated geopolitical cost pressures” during the quarter, while still delivering growth across key metrics. The quarterly performance was described as strong across business regions. These points were shared in the prepared remarks of the earnings call.

Full-year FY26 performance: VAR, EBITDA and margins

For the full year FY26, the company reported value-added revenue growth of 12.3% year-on-year to ₹4,918.0 crore. Full-year EBITDA increased 13.5% year-on-year to ₹925.5 crore. The company highlighted that it achieved its highest-ever EBITDA margin of 18.8%, and said the margin expanded by 21 points over the last year. FY26 PAT was reported at ₹604.4 crore, up 9.3% year-on-year, with a PAT margin of 12.3%. Separately, an earnings summary also stated consolidated revenue for FY26 was ₹5,462.9 crore (up from ₹4,931.4 crore) and net profit attributable to owners was ₹603.6 crore.

Order book and capacity expansion plans

As of March 31, 2026, the company’s order book stood at ₹12,400 crore. The earnings summary described this as a lifetime order book of ₹12,400 crore. The same summary also mentioned strategic capacity expansions totaling ₹140 crore in Northern and Western India. In addition, a company update referenced a greenfield plant in West India to support growth momentum. These disclosures point to continued investment planning alongside the reported FY26 performance.

Balance-sheet and cash metrics highlighted in the summary

Beyond profit and margin numbers, the earnings summary provided operating and efficiency indicators. Return on capital employed (ROCE) was reported at 94%, up from 57% in FY25, while fixed asset turnover was stated at 9.6x. The cash conversion cycle was reported at -23 days. The company also reported generating cash flow equivalent to 58% of EBITDA after capital expenditure of ₹115 crore. These figures were presented as part of the full-year operational update.

Stock market reaction: gains despite broader weakness

Tenneco Clean Air India shares rose in early trade after the quarterly results, even as the broader market was weak. The stock climbed as much as 4% in early trading. By 9:45 AM, shares were up 3.6% at ₹590.50, according to the report. The market move followed the company’s disclosure of year-on-year growth in Q4 PAT, revenue from operations, and EBITDA. The reaction suggested investors were focused on the combination of growth and stable margins.

Key reported figures at a glance

Why the results matter: margins, orders, and execution

The Q4 FY26 numbers show that profit growth broadly tracked operating growth, with EBITDA and PAT rising at a similar pace to VAR. The company’s reported EBITDA margin of 18.3% in Q4 and 18.8% for FY26 indicates it maintained profitability even while flagging cost pressures. The order book figure of ₹12,400 crore is a key reference point, as it frames the scale of potential future deliveries discussed alongside capacity additions. The disclosed capex of ₹115 crore and stated plans for ₹140 crore of capacity expansion provide context on near-term investment intensity. Investors also received efficiency signals through reported ROCE improvement (94% from 57%) and a negative cash conversion cycle (-23 days), both of which were highlighted by the company.

What to watch next

Management has already used the June 3, 2026 earnings call to walk analysts through the Q4 and FY26 results and to answer questions on performance and strategy. The company has indicated ongoing focus on new program ramp-ups and capacity expansion across regions. Investors are likely to track follow-through on the greenfield plant in West India and the broader ₹140 crore expansion plan referenced in the earnings summary. Updates on order execution and any additional operational disclosures will also remain important, given the reported ₹12,400 crore order book as of March 31, 2026.