Exide Industries’ Q1 results: Net profit rises 24% to ₹275 crore; revenue jumps 6%

Exide Industries, the Kolkata-based leading battery maker, reported its first quarter results for FY26 on Tuesday, August 5. The company reported a 24% year-on-year (YoY) increase in consolidated net profit to ₹275 crore for the first quarter of the financial year 2025-26 (Q1FY26), supported by higher revenue and improved operating efficiency. This compares with a profit of ₹221 crore in the corresponding quarter last year.

Consolidated revenue from operations during the quarter rose 5.9% YoY to ₹4,695 crore, up from ₹4,436 crore in Q1FY25. Total income for the quarter stood at ₹4,723 crore. The company’s consolidated profit before tax also improved, reaching ₹385 crore, compared to ₹316 crore in the same period last year.

On a standalone basis, the company reported a notable improvement in EBITDA margin, which rose to 12.2% during the quarter. This was primarily aided by improved price realisation, a favourable product mix and gains from cost optimisation across manufacturing facilities.

Input material prices continued their upward trajectory, leading to sustained pressure on material costs. However, this impact is being effectively counterbalanced by the gains derived from various cost excellence initiatives undertaken by the company. The liquidity position remained strong, supported by a debt-free status and healthy cash flow generation.

During the quarter ended March 31, 2025, the solar business emerged as the fastest-growing segment, buoyed by the support of multiple government programmes, Exide Industries said. The demand in the replacement market for two-wheeler and four-wheeler batteries stayed strong, driving double-digit growth in the mobility business, thanks to the company’s advanced product offerings and solutions. The industrial UPS segment recorded solid growth due to increased demand for critical power backup solutions across multiple sectors, the company added.

On the other hand, the auto OEM business faced headwinds due to reduced demand from vehicle manufacturers, especially in the passenger vehicle and two-wheeler categories. The industrial infrastructure segment showed year-on-year improvement, with better order inflows and execution in sectors such as power, railways, and traction. However, both the telecom and export businesses saw declines, impacted by shifts in technology and ongoing geopolitical disruptions, respectively.

The EESL (Exide Energy Solutions Limited) project site continues to make steady progress. Exide Industries Limited invested ₹300 crore in Q1FY26 and an additional ₹100 crore in July 2025. With these investments, the total equity infused in EESL now stands at ₹3,702.23 crore, which includes the investment made in the erstwhile merged entity EEPL.

Equipment installation and construction activities at EESL are approaching completion, and the company anticipates starting production by the end of FY26. Efforts are also underway to establish collaborations with OEMs and energy providers across major end-consumer markets, as part of its forward-looking strategy.

Commenting on the Q1 performance, Avik Roy, MD & CEO said, “Ql FY26 was characterised by tough macroeconomic conditions, continuous pressure from input costs with low manufacturing sector growth and de-growth in the most of the automotive OEM segments. In this environment, the company's priority has been on managing profitable growth and focusing on better product mix. The Company continues to deliver stable performance along with maintaining a strong balance sheet and positive cash flow generation, thereby establishing the strength of our brand and trade network.”

“During the quarter, we maintained double-digit growth momentum in auto replacement, industrial UPS and solar verticals. Certain segments of the Industrials like power, railways, traction also showed recovery and was able to achieve double digit growth. However, auto OEMs were impacted by lower demand. International business was impacted due to global tariff uncertainties,” he added.

Shares of Exide Industries closed 1.51% lower at ₹384.90 apiece on the NSE.