Exide Industries Q2 Net Profit Soars 75% to ₹386 Crore as Operating Margins Expand
Leading Indian battery manufacturer Exide Industries Limited reported a sharp acceleration in its financial performance for the second quarter, posting a 75.1% year-on-year (YoY) increase in standalone net profit to ₹386 crore, compared to ₹221 crore in the corresponding period of the previous fiscal.
The Kolkata-headquartered company saw its standalone revenue from operations advance 20.3% YoY to ₹5,026 crore for the quarter ended September, up from ₹4,178 crore a year ago. Topline growth was supported by resilient replacement and OEM automotive demand, steady industrial orders, and improved execution across business verticals.
Reacting to the earnings release, shares of Exide Industries rallied sharply on the National Stock Exchange (NSE). The stock opened at ₹348 per share and climbed nearly 7% to touch an intraday high of ₹373 as market participants cheered the operational turnaround and margin recovery.
Strong Operational Leverage and Margin Expansion
On the operational front, earnings before interest, taxes, depreciation, and amortisation (EBITDA) rose 53% YoY to ₹606 crore, up from ₹395 crore in the year-ago period. EBITDA margins expanded by 270 basis points, climbing from 9.4% in the corresponding quarter last year to 12.1%.
The margin improvement was underpinned by:
- Realisation gains from targeted price hikes implemented to counter previous raw material and input cost pressures.
- Internal cost-optimisation programs across manufacturing plants and supply chains.
- Improved operating leverage stemming from strong double-digit volume growth and fixed-cost absorption.
Half-Year Highlights and Strategic Updates
For the first half of the financial year (H1), Exide Industries registered a standalone profit after tax (PAT) of ₹794 crore, representing a 46.7% increase compared to ₹541 crore recorded in the same period last year.
Beyond core lead-acid operations, the company made key strides in its energy transition strategy. Its wholly owned subsidiary, Exide Energy Solutions Limited, commissioned its 6 GWh lithium-ion cell gigafactory in Bengaluru on September 23, with the facility designed to scale up to 12 GWh to cater to India's burgeoning electric vehicle and stationary storage markets.
Additionally, the company's board approved the transition of its Registrar and Share Transfer Agent (RTA) to SEBI-registered Category-I firm Maheshwari Datamatics Private Limited, replacing MUFG Intime India Private Limited.
