Management Commentary & Financial Performance

Sanjiv Joshi, Managing Director, provided commentary on 1HFY27 performance:

  • Consolidated revenue from operations grew 43% YoY from ₹190cr to ₹273cr
  • EBITDA increased to ₹17Cr from ₹11Cr in same period last year
  • PAT doubled to ₹7cr from ₹4cr in 1HFY26
  • Order inflow worth ₹469cr in 1HFY27
  • Outstanding order book as of September 2026 stands at ₹646cr

Strategic Acquisition

  • In July 2026, Batliboi acquired 100% of Penta Automation Systems Private Limited
  • Total acquisition value: ₹19.8 Cr
  • Transaction structure: 80% upfront (₹15.84 Cr paid in cash) and 20% deferred (₹3.96 Cr over 5 annual payments from April 2027)
  • Previous shareholders: Manders Industries B.V. (Netherlands) - 49%, Mr. Dharmesh Mistry & Ms. Avani Mistry (Founders) - 51%
  • Penta specializes in customizing industrial automation solutions for automotive, bearings, electricals and medical equipment industries
  • Penta delivered revenue of ₹25.17 Cr in FY26
  • Minimum 5-year management continuity with founders remaining engaged

Major Contract Win

  • Environmental Engineering Division secured major contract from SAEL Industries Ltd.
  • Contract value: ₹52 crores
  • Scope: Design, Supply, Installation and Commissioning of pollution system for upcoming Solar Cell Manufacturing facility at Jewar, Uttar Pradesh
  • Represents Batliboi's entry into Solar Energy Sector

Divisional Performance Updates

Machine Tools Division:

  • Total order backlog as of Sept 2026: ₹172cr (27% of company's overall order backlog)
  • Machine Tool Manufacturing: ₹42cr
  • Trading: ₹130cr
  • 60 trained engineers and technicians through network of 15 offices

Quickmill (Canadian Subsidiary):

  • Order inflow of ₹86cr in 1HFY27
  • Turnover of ₹86 crore in 1HFY27
  • Headquartered in Peterborough, Ontario, Canada
  • Manufactures large-size Gantry Drilling & Milling machines
  • Serves Energy, Structural Steel, Aviation, large equipment manufacturing sectors

Air Engineering Division:

  • Q2 performance impacted by floods in Surat manufacturing facility
  • Encouraging outlook for FY27 with strong order prospects

Textile Machinery Division:

  • Order backlog: ₹196cr as of Sept 2026
  • Q2 Order inflow affected by disruption at facilities of principals
  • Positive outlook due to Indo EU FTA and expected Indo US Trade Agreement

Environmental Engineering Division:

  • Revenue of ₹66cr in 1HFY27 (~24% of Total Revenue)
  • Order backlog: ₹122cr (19% of total order backlog)
  • Udhna Fan Manufacturing Unit merged with EEG from July 1, 2025
  • Focus on pollution control systems for Solar manufacturing industry

Financial Highlights (Consolidated)

2QFY27 Performance (Rs in Cr):

  • Revenue from Operations: 147 (vs 121 in 2QFY26, +23%)
  • Gross Profit: 51 (vs 43 in 2QFY26, +25%)
  • EBITDA: 12 (vs 11 in 2QFY26, +20%)
  • EBITDA Margin: 8% (vs 9% in 2QFY26, -21 bps)
  • Net Profit: 7 (vs 6 in 2QFY26, +22%)
  • PAT Margin: 5% (vs 5% in 2QFY26, -4 bps)
  • EPS Basic: ₹1.40 (vs ₹1.30 in 2QFY26, +21%)

1HFY27 Performance (Rs in Cr):

  • Revenue from Operations: 272 (vs 190 in 1HFY26, +43%)
  • Gross Profit: 96 (vs 71 in 1HFY26, +36%)
  • EBITDA: 17 (vs 11 in 1HFY26, +61%)
  • EBITDA Margin: 6% (vs 6% in 1HFY26, +69 bps)
  • Net Profit: 8 (vs 4 in 1HFY26, +117%)
  • PAT Margin: 3% (vs 2% in 1HFY26, +100 bps)
  • EPS Basic: ₹1.51 (vs ₹0.78 in 1HFY26, +116%)

Balance Sheet Position (H1FY27, Rs in Cr)

  • Total Assets: 470
  • Current Assets: 213 (Inventories: 51, Trade Receivables: 103, Cash: 22)
  • Non-Current Assets: 257 (PPE: 215)
  • Total Equity: 240 (Share Capital: 24, Other Equity: 212, Non-controlling interest: 4)
  • Current Liabilities: 174 (Short Term Borrowings: 29, Trade Payables: 86)
  • Non-Current Liabilities: 108 (Long Term Borrowings: 72)

Business Segments & Structure

Batliboi operates through multiple divisions:

1. Air Engineering

2. Textile Machinery

3. Machine Tools

4. Robotics & Factory Automation (Penta Automation)

5. Environmental Engineering

6. Effluent and water treatment (Bioconserve Renewables Envirotech Pvt Ltd)

Subsidiaries:

  • Quickmill Inc, Canada
  • Bioconserve Renewables Envirotech Pvt Ltd
  • Penta Automation Systems Private Ltd

Guidance & Outlook

  • Reiterated FY27 guidance of ~10% sustainable topline growth with stable margins
  • Outlook supported by favorable sectoral tailwinds in Textile and Solar Energy sectors
  • Growing pipeline of international opportunities
  • Strategic partnerships driving operational synergies
  • Expect to meet FY27 guidance barring prolonged global conflicts

Strategic Initiatives

  • Tapping opportunity in CNC space (Machine Tools in India and Middle East focus)
  • Emerging opportunities from Air Engineering and Textile Machinery space (South East Asia and North Africa focus)
  • Scaling effluent and water treatment business (Bioconserve Renewables Envirotech)
  • Scaling Penta Automation using Batliboi's customer base across all geographical regions

Market Opportunities Highlighted

  • Global CNC Machines Market: ~USD74bn in 2024, forecast to reach ~USD188bn by 2034 (9.8% CAGR)
  • Asia Pacific leads with 37% market share (~USD27.20bn in 2024)
  • Industrial water treatment market forecast to grow at 12% CAGR
  • Indian Industrial robotics market showing strong growth
  • Free Trade Agreements (India-UK FTA expected to spur 13% CAGR in textile exports)
  • Government policy support including PLI scheme with ₹10,683Cr outlay

Management Profiles

Nirmal Bhogilal - Chairman: B.Sc. (Engg.), Chemical Engineering from Imperial College; Past President and Committee Member of IMTMA; Former Chairman of various CII committees.

Sanjiv Joshi - Managing Director: B.E. Mechanical and Post Graduate in Marketing Management; 40+ years industry experience; Joined Batliboi in 1984; Appointed MD in November 2020.

Kabir Bhogilal - Whole Time Director: BA (Hons), Business Administration; Joined Batliboi in 2007; Director on IMTMA and Maharashtra Dyslexia Association.