Shares of Hind Rectifiers Limited fell 3.54 per cent to ₹912.85 on Monday, May 18, as investors reacted to the company’s FY26 results released Saturday, with concerns over margin compression offsetting record revenue. The stock touched an intraday low of ₹797.55 before recovering, and trades at a P/E of 84.28 — well above the broader market.

The Mumbai-based power electronics manufacturer reported consolidated revenue of ₹999.1 crore for FY26, a 52.5 per cent year-on-year increase, crossing the ₹1,000 crore mark on a standalone basis at ₹949.2 crore. However, consolidated EBITDA margins contracted to 8.4 per cent from 10.7 per cent in FY25, as higher employee costs and expenses tied to global expansion weighed on profitability.

Consolidated PAT excluding minority interest came in at ₹45 crore, up 21.3 per cent year-on-year, while operating cash flow surged 141 per cent to ₹85.8 crore, reflecting improved working capital discipline. The company closed FY26 with an order backlog of ₹845.5 crore and fresh order inflows of ₹858.4 crore during the year.

Railway transformers remained the dominant revenue segment at 56 per cent, while the order book showed growing traction in railway electronics at 23.6 per cent. The company operationalised its CTC copper conductor facility at Sinnar with an installed capacity of approximately 350 tonnes per month, funded through ₹56 crore in capex.

In a significant international move, Hind Rectifiers acquired Elventive France, formerly BeLink Solutions, establishing a European manufacturing and R&D base in robotics, electronics manufacturing services, and printed electronics targeting defence, aerospace, and automotive sectors.

Chairman and Managing Director Suramya Nevatia flagged completion of EMI/EMC testing for the company’s indigenous locomotive propulsion system as a key near-term catalyst, which would unlock existing orders and access to larger railway propulsion tenders.

The stock has gained 71 per cent over the past year but remains 13 per cent below its 52-week high of ₹1,054.25 hit in August 2025.

Published on May 18, 2026