HEG - HEG
📢 Recent Corporate Announcements
HEG Limited has filed its monthly report regarding the re-lodgment of transfer requests for physical shares for April 2026. This disclosure is a regulatory requirement under SEBI's special window for physical share transfers. The report, provided by MCS Share Transfer Agent Limited, indicates that no requests were received or processed during the month. This is a standard compliance update with no operational or financial impact on the company.
- Zero requests for re-lodgment of physical share transfers were received during April 2026.
- No requests were processed, approved, or rejected by the Registrar and Share Transfer Agent (RTA) during the period.
- The report was submitted in compliance with SEBI circular HO/38/13/11(2)2026-MIRSD-POD/I/T750/2026.
- Average time taken for processing requests was recorded as 0 days due to lack of activity.
HEG Limited has successfully obtained approval from its equity shareholders, secured creditors, and unsecured creditors for a Composite Scheme of Arrangement. The scheme involves HEG Limited, HEG Graphite Limited, and Bhilwara Energy Limited, aimed at corporate restructuring. The resolution was passed with an overwhelming majority, with 99.9997% of total shareholder votes in favor. This near-unanimous approval from both promoters and public shareholders clears a significant regulatory hurdle for the company's reorganization.
- Shareholders approved the Composite Scheme of Arrangement with 99.9997% of votes in favor
- Public shareholders (excluding promoters) showed near-unanimous support with 99.9987% voting in favor
- A total of 13,92,41,772 shares were polled, representing 72.15% of the total outstanding shares
- The scheme involves the merger of Bhilwara Energy Limited and the demerger of the graphite business into HEG Graphite Limited
- All resolutions for secured and unsecured creditors were also passed with the requisite majority
HEG Limited conducted a meeting of its secured creditors on May 5, 2026, following directions from the NCLT Indore Bench. The meeting was held to seek approval for a Composite Scheme of Arrangement involving HEG Limited, HEG Graphite Limited, and Bhilwara Energy Limited. The resolution requires a special majority under Section 230(6) of the Companies Act, 2013. While the meeting has concluded, the final voting results and the Scrutinizer's Report are pending submission.
- Meeting held on May 5, 2026, via Video Conferencing as per NCLT order dated March 26, 2026.
- Proposed Scheme involves HEG Limited, HEG Graphite Limited, and Bhilwara Energy Limited.
- Remote e-voting was conducted from May 1 to May 4, 2026, followed by e-voting during the meeting.
- Approval requires a special majority as prescribed under Section 230(6) of the Companies Act, 2013.
- Final voting results and Scrutinizer's Report will be submitted separately to the stock exchanges.
HEG Limited convened a meeting of its secured creditors on May 5, 2026, following directions from the NCLT Indore Bench. The primary agenda was to seek approval for a Composite Scheme of Arrangement involving HEG Limited, HEG Graphite Limited, and Bhilwara Energy Limited. The meeting was conducted via video conferencing with the requisite quorum present, and voting was carried out through remote and meeting-day electronic facilities. Investors are now awaiting the official voting results and the Scrutinizer's Report to confirm the scheme's progress.
- Meeting held on May 5, 2026, as per NCLT Indore Bench order dated March 26, 2026
- Proposed scheme involves HEG Limited, HEG Graphite Limited, and Bhilwara Energy Limited
- Remote e-voting window was open from May 1, 2026, to May 4, 2026
- The meeting concluded at 3:57 P.M. after allowing 15 minutes for post-proceedings e-voting
- Voting results and Scrutinizer's Report to be filed separately with BSE and NSE
HEG Limited has released the audio recording of its earnings conference call for the fourth quarter of fiscal year 2026, which was held on May 4, 2026, at 14:00 hrs IST. This recording provides investors and analysts with direct access to management's discussion regarding the company's financial performance and future outlook. The link is publicly available on the company's website under the Investor Section as per regulatory requirements. Such recordings are essential for understanding the nuances of management's guidance that may not be fully captured in the written financial statements.
- Earnings conference call for Q4 FY26 conducted on May 4, 2026.
- Audio recording link provided: https://hegltd.com/wp-content/uploads/2026/05/10042236.mp3.
- Disclosure made in compliance with SEBI Listing Obligations and Disclosure Requirements.
- Recording is hosted on the official company website under the Investor Section.
HEG Limited reported a strong full-year FY26 performance with consolidated net profit rising to ₹341.36 crore, up from ₹115.06 crore in FY25. However, the Q4 FY26 standalone performance was weak, reporting a net loss of ₹163.19 crore compared to a loss of ₹61.68 crore in the same period last year, largely due to a sharp spike in other expenses. The company is aggressively expanding its graphite electrode capacity to 115,000 tons by 2028 to capitalize on the global shift toward Electric Arc Furnace (EAF) steelmaking. Management noted that rising input and freight costs are putting pressure on margins, which may necessitate price increases in the near term.
- Consolidated FY26 Net Profit reached ₹341.36 crore, a 197% increase year-on-year.
- Annual Revenue from operations grew 19.3% to ₹2,568.50 crore in FY26.
- Standalone Q4 FY26 net loss widened significantly to ₹163.19 crore vs ₹61.68 crore YoY.
- Graphite electrode capacity expansion from 100,000 to 115,000 tons expected by early 2028.
- Global EAF steel production (ex-China) rose to 51% in 2024, supporting long-term demand.
HEG Limited reported a strong full-year performance for FY26, with consolidated net profit rising significantly to ₹341.36 crore from ₹115.06 crore in FY25. However, the company faced a challenging fourth quarter, posting a standalone net loss of ₹163.19 crore compared to a loss of ₹61.68 crore in the same period last year. This Q4 loss was largely driven by a sharp spike in 'Other Expenses,' which rose to ₹361.29 crore. Despite quarterly volatility, the company is aggressively expanding its capacity to 115,000 tons by 2028 to capitalize on the global shift toward Electric Arc Furnace (EAF) steel production.
- Consolidated FY26 Net Profit surged 196% YoY to ₹341.36 crore from ₹115.06 crore in FY25.
- Annual Standalone Revenue from operations grew 19.3% to ₹2,568.50 crore in FY26.
- Q4 FY26 Standalone Net Loss widened to ₹163.19 crore, impacted by 'Other Expenses' jumping to ₹361.29 crore.
- Graphite electrode capacity expansion to 115,000 tons is on track for completion by early 2028.
- Global EAF capacity pipeline of 110 mmt by 2030 is expected to create 200,000 tons of incremental electrode demand.
HEG Limited's Board has recommended a final dividend of Rs 3.40 per equity share for the financial year 2025-26, representing a 170% payout on the face value of Rs 2. The company reported its audited financial results for the year ended March 31, 2026, with an unmodified audit opinion. Significantly, the Board also approved creating security for a Rs 1,239 crore credit facility for its wholly-owned subsidiary, TACC Limited, involving a pledge of 51% of the subsidiary's shares. This indicates a major capital commitment toward the subsidiary's project financing.
- Recommended a final dividend of Rs 3.40 per equity share of face value Rs 2 each for FY 2025-26.
- Approved audited standalone and consolidated financial results for the quarter and year ended March 31, 2026.
- Authorized security creation, including a pledge of 51% equity, for a Rs 1,239 crore loan facility for subsidiary TACC Limited.
- Re-appointed Cost, Internal, and Tax auditors for the 2026-27 financial year.
- Approved the continuation of Shri Shekhar Agarwal as a Non-Executive Director beyond the age of 75.
HEG Limited has announced its audited financial results for the fiscal year ending March 31, 2026, alongside a final dividend recommendation of ₹3.40 per share. A major highlight is the board's approval to provide security for credit facilities totaling ₹1,239 crore for its wholly-owned subsidiary, TACC Limited, through State Bank of India. This involves pledging 51% of the subsidiary's equity and providing a non-disposal undertaking for the remaining 49%. The company also confirmed the continuation of key leadership and the re-appointment of its audit teams for the next fiscal year.
- Recommended a final dividend of ₹3.40 per equity share (170% of ₹2 face value) for FY 2025-26.
- Approved security creation for credit facilities up to ₹1,239 crore for wholly-owned subsidiary TACC Limited.
- Pledged 51% equity shares of TACC Limited and hypothecated unsecured loans to secure SBI funding.
- Approved the continuation of Shri Shekhar Agarwal as Non-Executive Director beyond the age of 75.
- Re-appointed Cost, Internal, and Tax auditors for the 2026-27 financial year to ensure regulatory compliance.
HEG Limited has announced its Q4 FY26 earnings conference call for May 4, 2026, at 2:00 PM IST. This follows the Board Meeting scheduled for April 29, 2026, where the company will approve its audited financial results for the quarter and full year ended March 31, 2026. The call will be hosted by 360 ONE Capital Market Research and will feature top management, including the CMD, CEO, and CFO. This is a standard procedure for the company to discuss its financial performance with analysts and institutional investors.
- Board Meeting to approve audited Q4 FY26 results is scheduled for April 29, 2026.
- Earnings Conference Call is set for Monday, May 4, 2026, at 14:00 Hrs IST.
- Management participants include CMD Ravi Jhunjhunwala, Vice Chairman Riju Jhunjhunwala, and Group CFO Om Prakash Ajmera.
- The call is being coordinated by 360 ONE Capital Market Research.
HEG Limited has been assigned an Environmental, Social, and Governance (ESG) score of 63 by NSE Sustainability Ratings and Analytics Limited. This score places the company in the 'Adequate' rating category. Notably, the rating was conducted independently by the agency using publicly available data and was not commissioned by the company itself. The disclosure is part of the evolving SEBI regulatory framework for sustainability reporting in India.
- NSE Sustainability Ratings assigned an ESG score of 63 to HEG Limited.
- The company's rating is classified under the 'Adequate' category.
- The assessment was based entirely on public domain information without company engagement.
- Disclosure made pursuant to SEBI Master Circular dated January 30, 2026.
HEG Limited has scheduled meetings for its equity shareholders, secured creditors, and unsecured creditors on May 5, 2026, following directions from the NCLT Indore Bench. The purpose is to approve a Composite Scheme of Arrangement involving HEG Limited, HEG Graphite Limited, and Bhilwara Energy Limited. Shareholders as of the cut-off date of April 28, 2026, are eligible to vote on the proposal. This restructuring is a significant corporate action that could impact the company's organizational structure and business focus.
- Meetings for shareholders and creditors scheduled for May 5, 2026, via Video Conferencing.
- Composite Scheme of Arrangement involves HEG Limited, HEG Graphite Limited, and Bhilwara Energy Limited.
- Shareholder e-voting cut-off date is April 28, 2026, with voting open from May 1 to May 4, 2026.
- Secured and unsecured creditor meetings are scheduled for 3:30 PM and 4:30 PM respectively on the same day.
- The scheme is being proposed under Sections 230 to 232 of the Companies Act, 2013.
HEG Limited has scheduled a meeting of its equity shareholders on May 5, 2026, following directions from the NCLT Indore Bench to approve a Composite Scheme of Arrangement. The scheme involves HEG Limited, HEG Graphite Limited, and Bhilwara Energy Limited, indicating a significant corporate restructuring. Separate meetings for secured and unsecured creditors will also take place on the same day at 3:30 PM and 4:30 PM respectively. Shareholders eligible as of the April 28, 2026 cut-off date can participate in remote e-voting between May 1 and May 4, 2026.
- Shareholder meeting scheduled for May 5, 2026, at 2:00 PM via Video Conferencing
- Proposed Composite Scheme of Arrangement involves HEG Limited, HEG Graphite Limited, and Bhilwara Energy Limited
- Remote e-voting period for shareholders is active from May 1, 2026, to May 4, 2026
- Cut-off date for determining voting eligibility for equity shareholders is April 28, 2026
- Meetings for secured and unsecured creditors are also scheduled for May 5, 2026
HEG Limited has scheduled a one-on-one physical meeting with Unifi Capital, a SEBI-registered Portfolio Management Services firm, on April 7, 2026. The meeting will involve senior management and focus on discussions regarding the company's performance using publicly available information. The company has clarified that no Unpublished Price Sensitive Information (UPSI) will be shared during this interaction. This is a standard regulatory disclosure under SEBI LODR Regulations.
- One-on-one physical meeting scheduled for April 7, 2026.
- Interaction involves senior management and Unifi Capital representatives.
- Discussions will be strictly based on publicly available information and earnings presentations.
- Disclosure made in compliance with Regulation 30 of SEBI (LODR) Regulations, 2015.
HEG Limited has received a significant regulatory update regarding its proposed Composite Scheme of Arrangement involving HEG Graphite Limited and Bhilwara Energy Limited. The NCLT Indore Bench, in its order dated March 26, 2026, has directed the company to convene meetings for shareholders and creditors to vote on the proposal. This procedural step is essential for the legal execution of the restructuring under the Companies Act, 2013. Investors should await the formal notice which will contain specific dates and voting details for the upcoming meetings.
- NCLT Indore Bench issued an order on March 26, 2026, allowing the Company Application for the scheme.
- HEG Limited is directed to convene meetings for equity shareholders, secured creditors, and unsecured creditors.
- Bhilwara Energy Limited is required to convene a meeting for its equity shareholders as part of the composite scheme.
- The development follows the initial scheme disclosure made by the company on January 9, 2026.
Financial Performance
Revenue Growth by Segment
Standalone revenue for Q2 FY26 grew 22.7% YoY to INR 697 Cr from INR 568 Cr. The Manufacturing of Graphite Electrodes segment is the primary driver, contributing 90.45% of total turnover.
Geographic Revenue Split
Exports contribute 66.53% of total turnover, serving 42 international countries. Domestic sales serve 25 states in India.
Profitability Margins
Standalone Net Profit margin for Q2 FY26 improved to 18.8% (INR 131 Cr) from 10.9% (INR 62 Cr) in the corresponding quarter of the previous year. Consolidated Net Profit grew 28% YoY to INR 105 Cr.
EBITDA Margin
Standalone EBITDA margin for Q2 FY26 was 32.4% (INR 226 Cr), a significant increase from 24.6% (INR 140 Cr) in Q2 FY25, representing a 780 basis point improvement in core profitability.
Capital Expenditure
The company maintains a strong treasury of INR 1,167 Cr as of September 30, 2025. Planned expansion includes increasing BESS capacity from 1.5 GWh to 6 GWh by Q1 FY27.
Credit Rating & Borrowing
HEG is long-term debt free. Finance costs for Q2 FY26 were INR 8.92 Cr, primarily related to working capital. Fitch ratings are updated annually to maintain credit transparency.
Operational Drivers
Raw Materials
Needle Coke is the primary raw material, with raw material consumption totaling INR 234.10 Cr in Q2 FY26, representing approximately 33.6% of total revenue.
Import Sources
Sourced from global markets to serve a footprint spanning 42 countries; specific country-wise import splits are not disclosed in available documents.
Capacity Expansion
Graphite Electrodes: Currently operating at 90%+ utilization. BESS: 1.5 GWh current capacity, expanding to 6 GWh by Q1 FY27. IPP: Targeting 1,000 MW/2,000 MWh by Q2 FY28.
Raw Material Costs
Raw material costs were INR 234.10 Cr in Q2 FY26 (33.6% of revenue). Needle coke prices have remained flattish between Q1 and Q2 FY26, supporting margin stability.
Manufacturing Efficiency
Maintains one of the highest utilization levels in the industry at 90%+ for the last two quarters, significantly outperforming industry peers.
Logistics & Distribution
Not specifically disclosed as a separate percentage of revenue in the provided documents.
Strategic Growth
Expected Growth Rate
15%
Growth Strategy
Growth will be achieved through volume expansion in the core graphite electrode business (90%+ utilization) and aggressive diversification into green energy via HEG Greentech. This includes expanding BESS capacity to 6GWh and participating in state/central tenders for 2000 MWh IPP projects by FY28.
Products & Services
Graphite Electrodes, Lithium-ion Battery Packs (BESS), Battery Management Systems (BMS), and Energy Management Systems (EMS).
Brand Portfolio
LNJ Bhilwara Group, HEG Limited, TACC Limited, HEG Greentech.
New Products/Services
BESS packs and IPP (Solar + BESS) projects; the first 200 MWh project is expected to be operational by Q2 FY27.
Market Expansion
Expanding into the BESS EPC segment and targeting C&I and B2B segments through state and central tenders.
Market Share & Ranking
Industry leader in capacity utilization (90%+) compared to global peers.
External Factors
Industry Trends
The industry is shifting toward EAF steelmaking, which requires graphite electrodes. CBAM regulations starting in 2026 will further drive demand for sustainable production methods.
Competitive Landscape
Major competitors have announced plant closures in Malaysia and China due to slow demand, while HEG maintains high utilization and operational resilience.
Competitive Moat
Cost leadership is sustained through massive single-site scale and 90%+ utilization, which allows for superior fixed-cost absorption compared to competitors who are closing plants.
Macro Economic Sensitivity
Highly sensitive to global steel production volumes and the industry transition toward Electric Arc Furnace (EAF) technology.
Consumer Behavior
Steel manufacturers are shifting toward EAF to meet green steel targets, creating a long-term demand tailwind for electrodes.
Geopolitical Risks
Trade barriers such as the 50% reciprocal duty in the U.S. and global demand slowdowns impact export volumes.
Regulatory & Governance
Industry Regulations
Subject to international trade tariffs (e.g., 50% US duty) and upcoming CBAM regulations in 2026 for steel-related exports.
Environmental Compliance
Formalized an enhanced sustainability roadmap in FY 2024-25; specific compliance costs in INR Cr are not yet available for reporting.
Taxation Policy Impact
Standalone effective tax rate for Q2 FY26 was approximately 19.6% (INR 31.89 Cr tax on INR 162.89 Cr PBT).
Legal Contingencies
Order CA No. NDL 1374/2025 dated December 11, 2025, was received regarding subsidiary Bhilwara Infotechnology Limited; management states there is no material impact on HEG's financial or operational activities.
Risk Analysis
Key Uncertainties
Impact of U.S. tariff barriers on export competitiveness and the potential for prolonged flattish pricing in the global electrode market.
Geographic Concentration Risk
66.53% of revenue is concentrated in export markets across 42 countries.
Third Party Dependencies
High dependency on needle coke suppliers; 100% of key suppliers are being assessed on ESG parameters to ensure supply chain sustainability.
Technology Obsolescence Risk
Mitigated by diversifying into the BESS and green energy sectors to capture the shift toward renewable energy storage.
Credit & Counterparty Risk
Strong liquidity position with a treasury size of INR 1,167 Cr as of September 30, 2025.