Profit before tax jumped 76.25% to Rs 94.47 crore in Q1 FY24 as against Rs 53.60 crore posted in the corresponding quarter last year.

During the quarter, adjusted EBITDA grew 33.2% YoY to Rs 96 crore while adjusted EBITDA margin improved by 117 basis points on YoY basis to 23%.

The order inflow during Q1 FY24 stood at Rs 497 crore, up by 22% on YoY basis and orders in hand as on 30 June 2023 was at Rs 793 crore.

Prayasvin B. Patel, chairman & managing director of Elecon Engineering Co. said, “The capex cycle is on a growth trajectory driven by favorable government policies and schemes aimed at supporting infrastructure development.

Elecon maintains its position as the market leader in the Industrial gear division, with an unparalleled product portfolio. Revenues from the gear division witnessed a year-on-year growth of 27%. Additionally, through the cognitive ability and adaptive mindset of our management, we have successfully revitalized the MHE division, making it profitable once again. We continue to focus on supply of products & after market business in our MHE business, this segment delivered an EBIT Margin of 23%, significant improvement of around 1,200 bps compared to same quarter last year.

We continue to invest in R&D and product development to deliver globally competitive products. The Service levels and lower lead times have enabled us to create a brand for ‘Elecon' across markets. We envisage to expand our market share by further penetrating into existing geographies and exploring new territories. We continue to make strides to grow our overseas business and the recent development with respect to signing five OEM business in the European market is a positive indicator of our progress.

With strong order book in hand across segments, continued focus to penetrate the exports markets and maintaining our leadership position in the domestic geography, we are optimistic of sustaining the growth momentum going forward.”

Elecon Engineering Company is engaged in the design and manufacturing of material handling equipment and industrial gears and also involved in providing erection and commissioning solutions for its products.

The counter hit a life-time high at Rs 702.50 in intraday on the BSE.