Shares of Azad Engineering rose sharply by 5.96% to ₹1,589.60 in Monday’s early trade following the announcement of robust Q1 FY26 financial results. The stock opened strong and hit an intraday high of ₹1,611.50, up from the previous close of ₹1,500.20, pushing its market capitalization to ₹10,190 crore.
The Hyderabad-based precision engineering firm reported a 73.7% year-on-year increase in net profit to ₹29.7 crore, driven by strong revenue growth and operating efficiency. Total revenue rose 39.2% YoY to ₹137 crore. EBITDA also surged 50% to ₹49.2 crore, with the company’s operating margin expanding to 35.9% from 33.2% a year earlier.
Azad Engineering attributed the margin improvement to a favorable product mix and a reduction in consumption costs, which fell to 12.1% of sales from 15.6% in Q1 FY25. However, employee costs and depreciation rose due to facility expansion and salary hikes. Finance costs increased due to higher borrowings and forex losses.
The stock has traded in a 52-week range of ₹1,159.45 to ₹1,929.80.
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