Ingersoll-Rand (India) Ltd's Q2 FY27 numbers came in mixed, with revenue of Rs. 397.50 Cr (+23.47% YoY) and PAT growth of +9.13% YoY. Here's a quick read of what worked, what to watch, and what management said.
| Results date | November 06, 2026 |
|---|---|
| Revenue (Q2) | Rs. 397.50 Cr (+23.47% YoY) |
| PAT (Q2) | Rs. 65.86 Cr (+9.13% YoY) |
| EBITDA margin | 21.22% (-235 bps YoY) |
| EPS (Q2) | Rs. 20.86 (+9.10% YoY) |
Q2 FY27 revenue accelerated to 23.47% YoY growth with EBITDA up 11.18% YoY, but margins compressed ~235 bps YoY as materials intensity jumped 6.29 pp QoQ, leaving PAT growth at 9.13%. Cash conversion weakened (H1 CFO/PAT 0.49x) on a Rs.93.80 cr receivables build, though the balance sheet remains debt-free with Rs.128.19 cr cash and a Rs.20/share interim dividend was declared. No numeric prior guidance exists to benchmark against; the Sanand centrifugal ramp is the key open catalyst.
| Driver | Expected before results | What happened | Verdict |
|---|---|---|---|
| Revenue | "Q2 revenue momentum likely sustained Q1's strong trend, though the September IIP moderation bears watching" | Revenue Rs.397.50 cr, +23.47% YoY — accelerated vs Q1's +20.34% | Played out |
| Margins | "gross margin likely under pressure… with operating leverage and 'disciplined pricing actions' the swing factors" | Company-basis gross margin 22.96% (Q1: 25.70%); materials share 58.85% vs Q1's 52.56%; PBT margin 22.15% — compression dominated; operating leverage held on people/other costs but not at the gross line | Played out |
| Sanand centrifugal by end Q2 | "the commitment falls due inside this quarter (by 2026-09-30)" | Not addressed in the filing or notes — remains open for the call | Not observable |
| Interim dividend / payout capacity | "the payout capacity question is a legitimate call item" | Rs.20/share declared; outlay Rs.63.14 cr; cash cover 2.03x | Played out |
| Working capital | "receivables/DSO against ~20% growth… working-capital deterioration was the most common headwind" | Receivables +30.84% since March; DSO ~90.5 days; CFO/PAT 0.49x — adverse | Played out |
| Incremental labour-code charge | "whether any further incremental employee-benefit charges arise after the Rs.1,179.82 Lakh exceptional" | Nil in all Q2/H1 columns — none booked | Played out |
Read our full results preview.
| What management said | Where | What happened | Verdict |
|---|---|---|---|
| Interim dividend for FY ending Mar 31, 2027 — Board to consider | Board meeting intimation (Oct 27, 2026); results notification (Nov 6, 2026) | Declared Rs.20/share; record date Nov 19, 2026 | Met |
| "Expected to continue on its growth path in financial year 2026-27" (qualitative) | AGM address (Aug 14, 2026) | Revenue +23.47% YoY; PAT +9.13% YoY | On Track |
| Sanand volumes to grow during FY27 from a low-scale start | AGM address (Aug 14, 2026) | Not addressable from the filing; CWIP +98.85% since March is consistent with continued build-out | Too Early |
| Cost pressure actively managed through "strategic sourcing, localization… disciplined pricing actions" | MD&A narrative (FY26 annual report, prior-quarter notes) | Materials share of revenue rose to 58.85% (from 52.56% in Q1, 57.29% year-ago); company-basis gross margin −267 bps YoY — pricing did not fully offset input costs this period | Contradicted for the quarter |
| "Continues to be debt-free and maintains adequate cash" | AGM address (Aug 14, 2026) | Only lease liabilities Rs.8.23 cr; cash Rs.128.19 cr; dividend covered 2.03x by cash | Confirmed |
| Single-segment growth story (Air Solutions) | Results filing, note 2 | Entire P&L is the segment; revenue +23.47% YoY | Confirmed |
Disclaimer: This results analysis is published for educational and informational purposes only. It is not investment advice, not a recommendation to buy, sell or hold any security.