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Elecon Engineering Co. Ltd.
NSE: ELECONIndustrialsSpecialty Industrial Machinery
- Last close
- ₹416.20
- Day change
- −₹12.75 (−2.97%)vs
- Market cap
- ₹9,874 crIndian rupees
- Research updated
- 4 reports
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About Elecon Engineering Co.
Elecon Engineering Co. Ltd. is a prominent company specializing in the design, development, and manufacturing of industrial gear systems and material handling equipment. The primary purpose of Elecon Engineering is to provide essential machinery solutions that enhance the efficiency and productivity of various industries globally. The company serves a diverse range of sectors including power, steel, sugar, cement, and mining, offering products such as helical and bevel-helical gearboxes, conveyor systems, and custom-engineered solutions. Notable features of Elecon Engineering include its cutting-edge technology, extensive product portfolio, and continued focus on innovation and engineering excellence. The company’s solutions are integral to operational processes across heavy industries, providing vital infrastructure components that support everything from construction to resource extraction. As an influential player in the engineering and manufacturing market, Elecon Engineering Co. Ltd. holds significant market importance, often being pivotal in large-scale industrial projects. With a strong emphasis on research and development, the company continues to contribute to advancements in gear technology and material handling systems, sustaining its role as a key enabler in the global industrial landscape.
- Sector
- Industrials
- Industry
- Specialty Industrial Machinery
- Listing
- NSE: ELECON
- Employees
- 2,452
- Headquarters
- Vallabh Vidya Nagar, India
- ISIN
- INE205B01031
- Website
- elecon.com
Public research · Report of
Business model & financial foundation
Elecon Engineering (NSE: ELECON), Industrial gears and material handling equipment: revenue of ₹2,366 crore in FY26 (+6.2% on FY25), an EBITDA margin of 22.1%, net profit of ₹341.2 crore and net cash of ₹532.9 crore.
- Revenue, FY26 (₹ crore)
- 2,366
- consolidated
- Revenue growth, FY26
- +6.2%
- on FY25
- EBITDA margin, FY26
- 22.1%
- EBITDA (Operating EBITDA before other income) / revenue
- Net profit, FY26 (₹ crore)
- 341.2
- to owners
- Return on equity, FY26
- 15.9%
- on average equity
- Net debt, FY26 (₹ crore)
- -532.9
- Net debt including leases and liquid investments; negative net cash
- Market capitalisation (₹ crore)
- 9,874
- at the close of 15 Oct 2026
Company profile
Designs and manufactures industrial gears and bulk material handling equipment for power, steel, cement, mining, ports, sugar and marine applications. Integrated Indian manufacturing and overseas Radicon/Benzlers operations support equipment supply and aftermarket services. MHE focuses on product supply rather than new EPC projects.
| Item | Value |
|---|---|
| Legal name | Elecon Engineering Company Limited |
| Exchange and ticker | NSE: ELECON; BSE: 505700 |
| ISIN | INE205B01031 |
| CIN | L29100GJ1960PLC001082 |
| Sector | Capital goods |
| Industry | Industrial gears and material handling equipment |
| Headquarters | Vallabh Vidya Nagar, India |
| Fiscal year end | March |
| Reporting basis and unit | consolidated, in ₹ crore |
| Auditor | C N K & Associates LLP |
| Market capitalisation | ₹9,874 crore (15 Oct 2026) |
| Shares outstanding | 22.44 crore shares (FY26) |
| Price | ₹486.9 (close, 15 Oct 2026) |
| 52-week range | ₹352.0 - ₹579.0 (to 15 Oct 2026) |
| Website | https://www.elecon.com |
Corporate structure and shareholding
Parent: Aakaaish Investments / Lotus Trust.
| Entity | Holding | Business |
|---|---|---|
| Radicon Transmission UK Limited | 100% | Overseas industrial transmission manufacturing and distribution |
| Elecon Singapore Pte Limited | 100% | International operations and Mexico subsidiary |
| Elecon Middle East FZCO | 100% | Middle East and Africa distribution |
13 wholly owned direct/step-down subsidiaries. Eimco stake reclassified as FVOCI investment effective23Apr2025; dormant associates awaiting liquidation approval.
| Shareholding (% of shares) | Q3FY26 | Q4FY26 | Q1FY27 | Q2FY27 |
|---|---|---|---|---|
| Promoter | 59.27% | 59.27% | 59.27% | 59.27% |
| Promoter holding pledged | 0.00% | 0.00% | 0.00% | 0.00% |
| Foreign institutions | 8.10% | 7.14% | 6.99% | 6.93% |
| Domestic institutions | 4.48% | 5.67% | 7.18% | 7.08% |
| of which mutual funds | 2.45% | 3.47% | 5.78% | 6.73% |
| Retail | 19.59% | 19.40% | 18.08% | 18.33% |
| Other | 8.55% | 8.52% | 8.47% | 8.39% |
The promoter holding pledged is a share of the promoter's own holding.
Business model
Elecon manufactures industrial gears and material-handling equipment (MHE) for capital-intensive industries. Gear is the larger, higher-margin execution engine; MHE has longer project cycles and is exposed to customer engineering approvals. The consolidated basis captures overseas gear subsidiaries and is the relevant economic perimeter.
| Segment | revenue, FY26 (₹ crore) | Share | segment result, FY26 (₹ crore) | Share | management revenue, FY26 (₹ crore) | Share |
|---|---|---|---|---|---|---|
| Transmission equipment / Gear Division | 1,699 | 70.5% | 319.0 | 60.4% | 1,699 | 71.8% |
| Material Handling Equipment | 712.5 | 29.5% | 208.8 | 39.6% | 667.0 | 28.2% |
Segments as the company reports them (consolidated); each share is of the segments' sum.
| Peer | Why the dossier compares them |
|---|---|
| Shanthi Gears (SHANTIGEAR) | Closest industrial-gear product peer: customised gearboxes, engineering and service for steel/cement. Smaller domestic-focused scope; lacks Elecon MHE and overseas mix. |
| TRF (TRF) | |
| Tega Industries (TEGA) | Mining/mineral-processing engineered equipment and wear consumables benchmark export engineering and aftermarket. Consumable replacement economics differ from capital gearboxes. |
| GMM Pfaudler (GMMPFAUDLR) | Custom-engineered process equipment with international operations and service; useful manufacturing/capex-cycle comparator. Chemical/pharma mix and financing differ from gears/MHE. |
| Thermax (THERMAX) | Industrial energy/environment equipment and systems share customer capex, engineering and order-execution cycles. Larger diversified project/service mix; not a pure gear competitor. |
Financial databook
| Profit and loss (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Revenue from operations | 1,193 | 1,501 | 1,937 | 2,227 | 2,366 |
| Cost of revenue (vendor classification) * | 661.3 | 835.7 | 1,018 | 1,185 | 1,303 |
| Other operating costs (vendor classification) * | 154.6 | 167.0 | 230.0 | 270.0 | 271.1 |
| EBITDA (vendor classification) * | 258.5 | 378.7 | 522.3 | 595.3 | 592.8 |
| EBIT before associates and exceptional, including other income | 207.9 | 313.2 | 467.6 | 541.9 | 500.1 |
| Finance cost including lease interest | 37.3 | 13.3 | 8.64 | 13.0 | 24.9 |
| Profit before tax | 170.5 | 299.8 | 465.4 | 537.0 | 454.5 |
| Current and deferred tax expense | 30.0 | 62.3 | 109.8 | 121.9 | 113.3 |
| Consolidated profit after tax before non-controlling interest | 140.5 | 237.5 | 355.6 | 415.1 | 341.2 |
| Diluted EPS, split-adjusted comparative (₹) | 6.26 | 10.59 | 15.85 | 18.50 | 15.20 |
| Materials consumed and inventory change | 862.2 | 1,026 | 1,125 | ||
| Employee benefit expenses | 188.5 | 208.7 | 241.3 | ||
| Other operating expenses including manufacturing and erection | 412.3 | 444.1 | 476.5 | ||
| Operating EBITDA before other income | 474.5 | 547.8 | 523.1 | ||
| Other income | 44.1 | 54.8 | 81.2 | ||
| Depreciation and amortisation | 50.9 | 60.8 | 104.2 | ||
| Exceptional gain / (loss) | 0.00 | 0.00 | -21.3 | ||
| PAT attributable to non-controlling interests | 0.00 | 0.00 | 0.00 | ||
| Share of associate profit, net of tax | 6.41 | 8.13 | 0.61 | ||
| Profit after tax attributable to owners | 355.6 | 415.1 | 341.2 |
| Balance sheet (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Total equity including paid-up share capital | 1,050 | 1,279 | 1,604 | 1,999 | 2,306 |
| Borrowings including current and non-current leases | 151.2 | 51.6 | 70.5 | 181.2 | 272.7 |
| Cash and cash equivalents | 84.4 | 82.4 | 109.7 | 158.9 | 169.2 |
| Trade receivables | 415.1 | 345.8 | 445.1 | 613.9 | 720.5 |
| Inventories | 261.7 | 278.8 | 229.7 | 243.0 | 301.2 |
| Trade payables, MSME and other creditors | 270.4 | 195.8 | 187.9 | 280.1 | 288.4 |
| Net property, plant and equipment * | 18.6 | 19.6 | 54.2 | 159.5 | 304.3 |
| Capital work in progress * | 0.51 | 0.12 | 0.91 | 6.70 | 23.1 |
| Total assets * | 1,718 | 1,732 | 2,124 | 2,729 | 3,234 |
| Current financial investments, net of pledged non-current portion | 203.3 | 414.6 | 594.4 | ||
| Unrestricted bank deposits with original maturity 3-12 months | 116.7 | 147.8 | 41.9 | ||
| Other bank balances, including restricted balances | 153.6 | 199.6 | 43.4 | ||
| Net debt including leases and liquid investments; negative net cash | -359.2 | -539.9 | -532.9 | ||
| Period-end actual shares, not split-adjusted historical shares | 22.44 | 22.44 | 11.22 | 22.44 | 22.44 |
| Cash flow (₹ crore) | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Net cash generated from operating activities | 379.6 | 423.4 | 364.8 | 425.4 | 311.5 |
| Free cash flow (vendor definition) * | 201.5 | 262.1 | 333.3 | 359.4 | 194.7 |
| Dividends paid (the provider's sign: an outflow is negative) * | -4.57 | -15.7 | -33.7 | -33.7 | -44.9 |
| Cash PPE capital expenditure; outflow negative | -13.9 | -46.2 | -31.5 | -66.0 | -119.5 |
| Quarterly profit and loss (₹ crore) | Q3FY25 | Q4FY25 | Q1FY26 | Q2FY26 | Q3FY26 | Q4FY26 | Q1FY27 | Q2FY27 |
|---|---|---|---|---|---|---|---|---|
| Revenue from operations | 528.9 | 797.6 | 490.6 | 578.1 | 551.7 | 745.6 | 520.6 | 638.9 |
| Cost of revenue (vendor classification) * | 268.0 | 444.0 | 232.9 | 313.0 | 428.5 | 283.8 | ||
| Other operating costs (vendor classification) * | 70.5 | 91.0 | 68.1 | 70.9 | 93.5 | 65.9 | ||
| EBITDA (vendor classification) * | 159.2 | 216.4 | 157.3 | 128.0 | 73.8 | 131.0 | ||
| EBIT before associates and exceptional, including other income | 142.7 | 194.7 | 132.2 | 118.7 | 100.8 | 148.4 | 101.3 | 135.1 |
| Finance cost including lease interest | 3.46 | 5.10 | 6.15 | 5.69 | 6.82 | 6.25 | 8.11 | 10.3 |
| Profit before tax | 140.2 | 192.0 | 207.1 | 113.0 | 94.0 | 40.4 | 93.2 | 124.8 |
| Current and deferred tax expense | 32.7 | 45.6 | 31.7 | 25.3 | 22.0 | 34.4 | 22.8 | 28.4 |
| Consolidated profit after tax before non-controlling interest | 107.5 | 146.5 | 175.4 | 87.7 | 72.0 | 6.00 | 70.4 | 96.4 |
| Diluted EPS, INR per share, quarter not annualised | 4.79 | 6.53 | 7.82 | 3.91 | 3.21 | 0.27 | 3.14 | 4.29 |
| Materials consumed and inventory change | 225.9 | 400.7 | 189.9 | 286.3 | 266.8 | 382.2 | 230.9 | 279.4 |
| Employee benefit expenses | 47.9 | 67.3 | 59.3 | 57.7 | 58.7 | 65.6 | 61.8 | 65.7 |
| Other operating expenses including manufacturing and erection | 112.5 | 134.2 | 111.1 | 108.5 | 117.1 | 139.8 | 118.8 | 146.0 |
| Operating EBITDA before other income | 142.6 | 195.3 | 130.3 | 125.6 | 109.2 | 158.0 | 109.1 | 147.9 |
| Other income | 15.6 | 18.6 | 26.4 | 18.3 | 18.9 | 17.6 | 21.9 | 19.8 |
| Depreciation and amortisation | 15.5 | 19.3 | 24.5 | 25.3 | 27.2 | 27.2 | 29.8 | 32.6 |
| Exceptional gain / (loss) | 0.00 | 0.00 | 80.5 | 0.00 | 0.00 | -101.8 | 0.00 | 0.00 |
| PAT attributable to non-controlling interests | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Share of associate profit, net of tax | 1.02 | 2.48 | 0.61 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
| Profit after tax attributable to owners | 107.5 | 146.5 | 175.4 | 87.7 | 72.0 | 6.00 | 70.4 | 96.4 |
Consolidated, as reported. Lines marked * are the market-data provider's figures; the rest are extracted from the company's filings or derived from them. n.d. not disclosed, n.r. not retrieved, n.a. not applicable.
Metrics dashboard
| Metric | FY22 | FY23 | FY24 | FY25 | FY26 |
|---|---|---|---|---|---|
| Revenue growth | 15.2% | 25.9% | 29.0% | 14.9% | 6.2% |
| EBITDA margin | 24.5% | 24.6% | 22.1% | ||
| Net margin | 18.4% | 18.6% | 14.4% | ||
| Return on equity | 24.7% | 23.0% | 15.9% | ||
| Return on capital employed | 16.9% | 24.7% | 31.1% | 28.1% | 21.0% |
| Return on assets | 18.4% | 17.1% | 11.4% | ||
| Net debt (₹ crore) | -359.2 | -539.9 | -532.9 | ||
| Net debt / EBITDA | -0.76x | -0.99x | -1.02x | ||
| Interest cover | 5.57x | 23.5x | 54.1x | 41.6x | 20.1x |
| Asset turnover | 0.64x | 0.87x | 1.00x | 0.92x | 0.79x |
| Receivable days | 127 | 84 | 84 | 101 | 111 |
| Inventory days (on revenue) | 80 | 68 | 43 | 40 | 46 |
| Payable days (on revenue) | 83 | 48 | 35 | 46 | 44 |
| Cash conversion | 1.03x | 1.02x | 0.91x | ||
| Capex intensity | 1.2% | 3.1% | 1.6% | 3.0% | 5.1% |
| Free cash flow (₹ crore) | 365.7 | 377.2 | 333.3 | 359.4 | 192.0 |
| Dividend payout | 9.5% | 8.1% | 13.2% | ||
| EPS, diluted (₹) | 6.26 | 10.59 | 15.85 | 18.50 | 15.20 |
| Book value per share (₹) | 46.80 | 57.00 | 143.0 | 89.07 | 102.8 |
Computed from the statements above:
- Revenue growth: revenue over the previous year's, less one.
- EBITDA margin: EBITDA (Operating EBITDA before other income) / revenue.
- Net margin: net profit to owners / revenue.
- Return on equity: net profit to owners / average equity.
- Return on capital employed: EBIT / average equity plus borrowings.
- Return on assets: net profit to owners / average total assets.
- Net debt (₹ crore): Net debt including leases and liquid investments; negative net cash.
- Net debt / EBITDA: net debt / EBITDA (Operating EBITDA before other income).
- Interest cover: EBIT / finance cost.
- Asset turnover: revenue / average total assets.
- Receivable days: receivables / revenue x 365.
- Inventory days (on revenue): inventory / revenue x 365.
- Payable days (on revenue): payables / revenue x 365.
- Cash conversion: cash from operations / net profit to owners.
- Capex intensity: capital expenditure / revenue.
- Free cash flow (₹ crore): cash from operations less capital expenditure.
- Dividend payout: dividends paid / net profit to owners.
- EPS, diluted (₹): as reported (Diluted EPS, split-adjusted comparative).
- Book value per share (₹): equity / shares outstanding.
Source: the company's filings and disclosures as extracted into Mool's company dossier (version 4, information to 15 Oct 2026); market data at the close of 15 Oct 2026. Every figure is read from the dossier's files or computed from them; the account of the business model is the analyst's, from the dossier's workings.
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What the full research on Elecon Engineering Co. includes
Every piece of Mool’s research is built the same way: a researched evidence base, analyses that build on each other, a research model and a report with the call. This page shows the first analysis.
The report and Mool’s call
- The 12-month rating and target
- The 3-month view
- Mool's estimates beside the street's
- The claims the view rests on, and what would change it
The analyses, among them
- Business model & financial foundationOn this pageWhat the company does and how it makes money, its structure, five years of financials and the metrics that matter for it.
- Future earnings & financial modelForecasts built from the drivers that move the business, by scenario, beside the street's.
- Fundamental valuation & 12-month thesisWhat the business is worth on several methods, what the market already prices in and the 12-month thesis that follows.
The research model
The model behind the report: the company’s history, the drivers that move it, its forecasts by scenario and the valuation the 12-month target comes from.
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Report history
Reports on Elecon Engineering Co.
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Prices are the last close on the NSE, 23 Oct 2026. Research from Mool’s report of 15 Oct 2026; page updated 25 Oct 2026.
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