Shares of Transformers & Rectifiers (India) Ltd. (TRIL) plunged 20% to Rs 313.55 on Monday, November 10, hitting the lower circuit after the company reported a weak set of financial results for the September quarter (Q2 FY26) and was debarred by the World Bank from participating in its financed projects.
On a consolidated basis, TRIL’s revenue declined 0.2% year-on-year to Rs 460 crore, while both net profit and EBITDA fell 25% each compared to the same quarter last year. The company’s EBITDA margin narrowed sharply to 11.2% from 14.9% YoY, marking its lowest margin since Q3 FY24.
The management attributed the drop in margins to higher staff costs and operating expenditure, which offset stable topline performance.
Adding to the concerns, the World Bank announced a debarment of Transformers & Rectifiers for its alleged involvement in corruption and fraud linked to a $486 million Nigerian electric grid improvement project.
Following the steep decline, TARIL’s year-to-date losses have widened to nearly 30%, erasing a significant portion of its gains from earlier this year.
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