Elecon Engg.Co

Why is Elecon Engineering Company Ltd falling/rising?

As of 24-Aug, Elecon Engineering Company Ltd's stock price is declining, currently at 438.55, with a 21.17% loss over the past year and negative financial results impacting investor sentiment. The stock's performance is worsened by significant selling pressure and a premium valuation compared to peers.

As of 24-Aug, Elecon Engineering Company Ltd's stock price is falling, currently at 438.55, reflecting a decrease of 12.85 points or 2.85%. The stock has been on a downward trend, having lost 3.4% over the last two days and underperformed its sector by 3.11% today. The stock touched an intraday low of Rs 436.2, indicating significant selling pressure.<BR><BR>In terms of performance metrics, the stock has generated a return of -21.17% over the past year, which is considerably worse than the BSE500 index, which has only declined by 4.84% in the same period. Additionally, the company's financial health appears to be deteriorating, as evidenced by negative results for the last three consecutive quarters, including a 34.4% drop in profit after tax. The company’s operating cash flow is at its lowest, and its return on equity has also decreased, leading to a perception of poor long-term growth potential.<BR><BR>Despite some positive factors, such as high management efficiency and increasing institutional investor participation, these have not been sufficient to counterbalance the negative sentiment surrounding the stock. The stock is trading at a premium compared to its peers, which further complicates its attractiveness to investors. Overall, the combination of poor recent performance, negative financial results, and a lack of growth prospects is contributing to the decline in Elecon Engineering Company Ltd's stock price.

Which are the latest news on Elecon Engg.Co?

Who are in the management team of Elecon Engg.Co?

The management team of Elecon Engineering Company includes Prayasvin B Patel (Chairman & Managing Director), Pradip M Patel, Prashant C Amin (both Non-Executive Directors), Jai S Diwanji, Sonal V Ambani, Pranav Amin, Ashutosh Arvind Pednekar (Independent Directors), Bharti Isarani (Company Secretary), and Aayush Shah (Director).

The management team of Elecon Engineering Company includes the following members:<BR><BR>1. **Prayasvin B Patel** - Chairman & Managing Director<BR>2. **Pradip M Patel** - Non-Executive & Non-Independent Director<BR>3. **Prashant C Amin** - Non-Executive & Non-Independent Director<BR>4. **Jai S Diwanji** - Non-Executive & Independent Director<BR>5. **Sonal V Ambani** - Non-Executive & Independent Director<BR>6. **Bharti Isarani** - Company Secretary & Compliance Officer<BR>7. **Pranav Amin** - Independent Director<BR>8. **Ashutosh Arvind Pednekar** - Independent Director<BR>9. **Aayush Shah** - Director<BR><BR>If you need more information about any specific member or their roles, feel free to ask!

What does Elecon Engg.Co do?

Elecon Engineering Company Limited is a small-cap manufacturer of Material Handling Equipment and Power Transmission Solutions, with net sales of 521 Cr and a net profit of 70 Cr as of June 2026. The company has a market cap of INR 9,879 Cr and key metrics include a P/E ratio of 40.00 and a dividend yield of 0.45%.

Overview:<BR>Elecon Engineering Company Limited is a leading manufacturer of mission-critical Material Handling Equipment and Power Transmission Solutions, operating within the Industrial Manufacturing sector and classified as a Small Cap company.<BR><BR>History:<BR>The company was incorporated in an unspecified year and has maintained its status as a key player in its industry. The latest quarterly results reported are for June 2026, showcasing the company's ongoing operations.<BR><BR>Financial Snapshot:<BR>- Net Sales: 521 Cr (Quarterly Results - Jun 2026)<BR>- Net Profit: 70 Cr (Quarterly Results - Jun 2026)<BR>- Market cap: INR 9,879 Cr (Small Cap)<BR><BR>Key Metrics:<BR>- P/E: 40.00<BR>- Industry P/E: 41<BR>- Dividend Yield: 0.45%<BR>- Debt Equity: -0.23<BR>- Return on Equity: 12.49%<BR>- Price to Book: 4.29<BR><BR>Contact Details:<BR>Address: Anand-Sojitra Road, Post Box No 6 Vallabh Vidyanagar Gujarat : 388120<BR>Tel: 91-2692-236469/236513<BR>Email: pmshukla@mhe.elecon.com<BR>Website: http://www.elecon.com

Who are the peers of the Elecon Engg.Co?

Elecon Engg.Co's peers include Lloyds Engineering, Tega Industries, Titagarh Rail, Jupiter Wagons, Kennametal India, Dynamatic Technologies, Standard Engineering, Praj Industries, and Centum Electronics. In terms of management risk, growth, and capital structure, Elecon Engg.Co shows good management risk and capital structure but below-average growth compared to its peers.

Peers: The peers of Elecon Engg.Co are Lloyds Engineeri, Tega Inds., Titagarh Rail, Jupiter Wagons, Kennametal India, Dynamatic Tech., Standard Enginee, Praj Industries, and Centum Electron.<BR><BR>Quality Snapshot: Excellent management risk is observed at Lloyds Engineeri and Kennametal India, while Good management risk is found at Tega Inds., Titagarh Rail, Jupiter Wagons, Elecon Engg.Co, and Praj Industries. Average management risk is noted at Dynamatic Tech., Standard Enginee, and Centum Electron. For Growth, Excellent growth is seen at Lloyds Engineeri and Jupiter Wagons, while Good growth is noted at Kennametal India. Below Average growth is present at Elecon Engg.Co, Tega Inds., Praj Industries, and Dynamatic Tech., while Average growth is found at Titagarh Rail. Excellent capital structure is exhibited by Lloyds Engineeri, Tega Inds., Jupiter Wagons, Kennametal India, Standard Enginee, and Praj Industries, while Average capital structure is seen at Titagarh Rail and Good capital structure at Elecon Engg.Co. Below Average capital structure is noted at Dynamatic Tech. and Centum Electron.<BR><BR>Return Snapshot: The peer with the highest 1-year return is Kennametal India at 69.69%, while the lowest is Tega Inds. at -9.43%. Elecon Engg.Co's 1-year return is -21.90%, which is lower than both of these peers. Additionally, the six-month return is negative for Jupiter Wagons, Elecon Engg.Co, and Dynamatic Tech.

How big is Elecon Engg.Co?

As of 14th August, Elecon Engineering Company Ltd has a market capitalization of 9,885.94 Cr, classifying it as a Small Cap company, with recent net sales of 2,396.04 Cr and net profit of 236.06 Cr over the latest four quarters.

As of 14th August, <BR><BR>Market Cap: Elecon Engineering Company Ltd has a market capitalization of 9,885.94 Cr, classifying it as a Small Cap company.<BR><BR>Recent Quarterly Performance: The sum of Net Sales for the latest 4 quarters is 2,396.04 Cr, while the sum of Net Profit for the same period is 236.06 Cr.<BR><BR>Balance Sheet Snapshot: The reporting period for the latest annual data is March 2026. Shareholder's Funds stand at 2,305.85 Cr, and Total Assets are valued at 3,233.68 Cr.

Should I buy, sell or hold Elecon Engineering Company Ltd?

Are Elecon Engineering Company Ltd latest results good or bad?

Elecon Engineering Company Ltd's latest results show a significant net profit increase of 1072.50% quarter-on-quarter, but this is misleading due to a low base from the previous quarter. Revenue declined by 30.18% sequentially, and operating margins have decreased, indicating underlying operational challenges despite the profit rise.

Elecon Engineering Company Ltd's latest results present a mixed picture. On one hand, the company reported a significant sequential increase in net profit, rising by an impressive 1072.50% quarter-on-quarter to ₹70.35 crore. However, this recovery is somewhat misleading as it follows a very low base from the previous quarter, where net profit had dropped sharply.<BR><BR>On the other hand, the revenue for Q1 FY27 declined by 30.18% compared to the previous quarter, totaling ₹520.56 crore. While this decline is typical for the season following a strong March quarter, the year-on-year growth of just 6.11% indicates that demand in the industrial manufacturing sector remains tepid.<BR><BR>Additionally, the operating margin has come under pressure, falling to 20.96%, down 560 basis points from the same quarter last year. This reflects rising input costs and competitive pricing pressures. The profit after tax margin also saw a significant year-on-year decline, dropping from 35.76% to 13.51%.<BR><BR>Overall, while the net profit increase may seem positive, the underlying operational challenges, revenue decline, and margin compression suggest that the results are more concerning than they appear at first glance. The company is facing significant headwinds, and its performance indicates a need for careful monitoring moving forward.

When is the next results date for Elecon Engineering Company Ltd?

The next results date for Elecon Engineering Company Ltd is July 10, 2026.

The next results date for Elecon Engineering Company Ltd is scheduled for July 10, 2026.

Is Elecon Engg.Co technically bullish or bearish?

As of November 28, 2025, Elecon Engg.Co's technical trend has shifted to a moderate bearish stance, indicated by bearish MACD, Bollinger Bands, moving averages, and KST signals across multiple time frames.

As of 28 November 2025, the technical trend for Elecon Engg.Co has changed from mildly bearish to bearish. The current technical stance is bearish with a moderate strength. Key indicators driving this stance include a bearish MACD on the weekly chart, bearish signals from Bollinger Bands on both weekly and monthly time frames, and a bearish moving average on the daily chart. Additionally, the KST is bearish on the weekly chart and mildly bearish on the monthly chart, while the Dow Theory indicates a mildly bearish position on the weekly and monthly time frames. Overall, the combination of these indicators suggests a prevailing bearish sentiment in the market for Elecon Engg.Co.

How has been the historical performance of Elecon Engg.Co?

Elecon Engg.Co has shown consistent growth in net sales and profitability, with net sales increasing from 1,044.71 Cr in Mar'21 to 2,226.96 Cr in Mar'25, and profit after tax rising from 55.76 Cr to 406.97 Cr during the same period, indicating a strong financial performance and solid balance sheet.

Answer:<BR>The historical performance of Elecon Engg.Co shows a consistent growth trajectory in net sales and profitability over the years.<BR><BR>Breakdown:<BR>Elecon Engg.Co has demonstrated significant growth in its net sales, increasing from 1,044.71 Cr in Mar'21 to 2,226.96 Cr in Mar'25. This upward trend is reflected in the total operating income, which also rose from 1,088.46 Cr in Mar'20 to 2,226.96 Cr in Mar'25. The company's operating profit (PBDIT) has similarly improved, climbing from 140.37 Cr in Mar'20 to 602.64 Cr in Mar'25, indicating a robust operating profit margin that has remained relatively stable around 24% to 24.5% in the last two years. Profit before tax has surged from 17.93 Cr in Mar'20 to 528.84 Cr in Mar'25, while profit after tax has increased from 55.76 Cr to 406.97 Cr in the same period. The company's total assets have expanded from 2,129.37 Cr in Mar'20 to 2,729.47 Cr in Mar'25, with total liabilities also rising but remaining manageable, as evidenced by the elimination of long-term borrowings by Mar'25. Cash flow from operating activities has improved, reaching 432.00 Cr in Mar'25, contributing to a net cash inflow of 49.00 Cr for the year. Overall, Elecon Engg.Co's financial performance reflects a strong growth trajectory with increasing revenues, profits, and a solid balance sheet.

Is Elecon Engg.Co overvalued or undervalued?

As of June 5, 2023, Elecon Engineering Co. is considered very expensive with a PE ratio of 37.46 and other high valuation metrics, making it overvalued compared to peers like Thermax and BEML Ltd, despite strong performance indicators and a recent return of 24.22% that outpaces the Sensex.

As of 5 June 2023, Elecon Engineering Co. has moved from an expensive to a very expensive valuation grade. The company is currently overvalued, with a PE ratio of 37.46, a Price to Book Value of 7.78, and an EV to EBITDA ratio of 27.57. In comparison to its peers, Thermax has a significantly higher PE ratio of 66.31, while BEML Ltd shows a PE of 62.34, indicating that Elecon's valuation is not only high but also less attractive relative to these competitors.<BR><BR>Despite Elecon's strong performance, with a ROCE of 34.25% and a ROE of 20.77%, the elevated valuation metrics suggest that the stock may not provide sufficient upside potential at its current price of 685.15. Additionally, while Elecon has outperformed the Sensex over the past year with a return of 24.22% compared to the Sensex's 7.60%, the current valuation raises concerns about future growth sustainability.

Who are the top shareholders of the Elecon Engg.Co?

The top shareholders of Elecon Engg. Co. include Aakaaish Investments Private Limited with 46.62%, followed by 17 mutual fund schemes at 2.52%, foreign institutional investors at 8.65%, and individual investors collectively holding 22.58%. The highest public shareholder is Ajay Upadhyaya with 1.78%.

The top shareholders of Elecon Engg. Co. include the promoters, who hold the majority of the shares. The promoter with the highest holding is Aakaaish Investments Private Limited, which owns 46.62% of the company. Additionally, there are 17 mutual fund schemes that collectively hold 2.52% of the shares, while foreign institutional investors (FIIs) hold 8.65% through 134 different entities. The highest public shareholder is Ajay Upadhyaya, with a holding of 1.78%. Individual investors collectively hold 22.58% of the shares.

What is the bonus history of the Elecon Engg.Co?

Elecon Engineering Company Ltd's most recent bonus issue was a 2:1 bonus announced on October 10, 2007, with a record date of October 11, 2007, allowing shareholders to double their holdings.

Elecon Engineering Company Ltd has a notable bonus history, with its latest bonus issue being a 2:1 bonus announced on October 10, 2007. The record date for this bonus was October 11, 2007. This means that for every share held, shareholders received an additional share, effectively doubling their holdings.

Has Elecon Engg.Co declared dividend?

Yes, Elecon Engineering Company Ltd has declared a dividend of 150%, with an ex-date of June 13, 2025. The company has demonstrated strong total returns across various periods, including a total return of 5942.97% over the last 5 years.

Elecon Engineering Company Ltd has declared a dividend.<BR><BR>Dividend Details:<BR>- Percentage announced: 150%<BR>- Ex-date: 13 Jun 25<BR><BR>Dividend Yield: 0.22%.<BR><BR>Total Returns by Period:<BR>In the last 6 months, the price return was 8.99%, the dividend return was 0.24%, resulting in a total return of 9.23%.<BR><BR>Over the past year, the price return reached 31.76%, with a dividend return of 0.68%, leading to a total return of 32.44%.<BR><BR>In the 2-year period, the price return was 150.02%, the dividend return was 1.70%, culminating in a total return of 151.72%.<BR><BR>For the 3-year period, the price return was 449.5%, with a dividend return of 5.19%, resulting in a total return of 454.69%.<BR><BR>Over the last 4 years, the price return was 1007.4%, the dividend return was 11.93%, and the total return reached 1019.33%.<BR><BR>In the 5-year period, the price return was an impressive 5876.57%, with a dividend return of 66.40%, leading to a total return of 5942.97%.<BR><BR>Overall, Elecon Engineering Company Ltd has declared a substantial dividend and has shown remarkable total returns across multiple periods, indicating strong financial performance and shareholder value.