Carraro India Limited shares rallied as much as 6% intraday today after the company reported strong fourth-quarter earnings and delivered robust growth for FY26. The stock touched an intraday high of ₹667.40 before trading at ₹627, up 3.04%.
The positive move came after the company posted strong growth across revenue, profitability and operational metrics in the March quarter.
For Q4 FY26, net profit jumped 73% year-on-year to ₹41 crore from ₹23.7 crore in the corresponding period last year. Revenue rose sharply to ₹600 crore from ₹440 crore, while EBITDA increased to ₹62.2 crore from ₹45.3 crore a year ago.
Operating performance also improved during the quarter, with EBITDA margin rising to 10.32% compared with 10.2% in the year-ago period, reflecting stable profitability despite a strong growth phase.
The company also delivered robust annual performance for FY26. Revenue from operations increased 25% year-on-year to ₹2,255.5 crore, while EBITDA rose 33% to ₹247.5 crore. EBITDA margin expanded to 10.8% from 10.2%.
Profit after tax surged 48% year-on-year to ₹130.6 crore, while PAT margin improved to 5.7% from 4.8%.
The company said domestic revenues grew 19% year-on-year, while exports increased 37%, supported by strong demand from the construction equipment segment.
Carraro India also recommended a final dividend of ₹6.75 per share, implying a payout ratio of nearly 30%.
On the business front, the company secured a ₹17.5 crore engineering services deal with Montra Electric for e-transmissions and received an annual bull gears business nomination worth ₹15 crore beginning FY28. During the year, it deployed ₹41.7 crore in capex towards new product lines including telescopic handler axles and high-performance transmissions.
Carraro India said its growth strategy continues to focus on customer-centric solutions, technology-led products and supplier diversification. The company currently holds a 60–65% market share in non-captive construction vehicle transmissions and remains the sole supplier in the non-captive agricultural tractor transmission segment.
Disclaimer: This article is for informational purposes only and should not be construed as investment advice.