Financial Performance Overview
The Anup Engineering Limited reported consolidated FY26 revenue of ₹822.3 Cr, representing 12.2% YoY growth, though net profit declined 6.7% to ₹110.4 Cr from the previous year's ₹118.3 Cr. Standalone revenue stood at ₹789.44 Cr (11.5% growth) with PAT of ₹107.75 Cr. EBITDA reached ₹174.2 Cr with a margin of 21.2%. The Board recommended a final dividend of ₹12 per equity share, involving a cash outflow of approximately ₹24.04 Cr, subject to shareholder approval at the AGM on August 25, 2026.
Operational and Strategic Developments
The company completed its Phase 2 expansion at Kheda, increasing capacity to 8000MT per year with revenue potential of ₹400-450 Cr. Combined with Ahmedabad and Mabel Engineers facilities, total annual revenue capacity now stands at ₹1200 Cr. The company successfully entered new business verticals including nuclear, thermal power, clean energy storage, and delivered its first Solid Inconel 200MT equipment to a Middle East client.
Corporate Actions and Structure
The Group acquired 100% stake in Mabel Engineers Private Limited for ₹33 Cr, expanding its product portfolio and geographical reach. ESOP allotment of 5,000 equity shares increased paid-up capital to ₹20.03 Cr. Borrowings rose significantly to ₹107.8 Cr (from ₹29.44 Cr in FY25), with net debt at ₹95.2 Cr and gearing ratio increasing to 12.11%.
Order Book and Market Position
Pending order book remains strong at ₹769 Cr with maintained 50:50 export-domestic ratio. Sector revenue mix shows Oil & Gas (39%), Petrochemicals (32%), Fertilizer (9%), and Hydrogen (8%). Product mix is dominated by heat exchangers (56%) and vessels/reactors/columns (35%).
Governance and Compliance
The company maintained strong corporate governance with 8 directors and various committees. CARE Ratings reaffirmed Long Term rating at CARE AA- (Stable) and Short Term at CARE A1+. All auditors provided unmodified opinions, and the company confirmed compliance with applicable regulations, though it faced implementation of new Labour Codes requiring ₹1.3 Cr exceptional item recognition.
Outlook and Strategy
Management expects sustained momentum in domestic markets supported by capital expenditure across core process industries, with Middle East natural gas infrastructure projects providing export opportunities. Focus remains on niche, proprietary product segments over the next 3 years while navigating current cost pressures and maintaining healthy cash flow.