Everest Kanto's profit jumps 50%, but US order book slips and Egypt plant is late.
Full-year net profit hit ₹126.7 crore on strong CNG demand, but the company disclosed a shrinking US contract and a delayed new plant.
— 1 earlier story on Everest Kanto Cylinder Ltd. →What's new
- FY26 consolidated net profit rose 50.1% to ₹126.7 crore on 15.7% revenue growth.
- EBITDA margin expanded 210 bps to 13.8%, driven by CNG vehicle and industrial gas demand.
- The Egypt plant's start is delayed to end-June 2026; the US order book fell to $75M from $80M.
Why this matters
The headline profit growth is strong, but the operational misses are the real story. A slipping international order book and a delayed greenfield plant suggest execution is not keeping pace with domestic demand. The new CEO's hiring is being kept opaque, adding another question mark.
What we're watching
- The revised timeline and cost for the Egypt plant once it finally begins operations.
- Recovery or further slippage in the $75M US order book.
- The eventual reveal of the incoming CEO's profile and mandate.
The full read
Everest Kanto Cylinder's FY26 numbers are solid: consolidated net profit surged 50.1% to ₹126.7 crore on 15.7% revenue growth to ₹1,470.6 crore, with the EBITDA margin improving 210 bps to 13.8%. The domestic story, powered by CNG and industrial gas demand, is clearly working. The trouble lies outside India. The company's $75 million US order book is smaller than the $80 million it previously reported, and the execution timeline for those orders has stretched to 18-24 months from 12-18 months. Separately, the new manufacturing plant in Egypt has been pushed back and will not start producing until at least the end of June. These are not minor delays; they are execution stumbles on the company's international growth thesis. The opacity around the incoming CEO's hiring adds another layer of uncertainty.
Questions answered
- What drove the 50.1% jump in Everest Kanto's FY26 profit?
- The profit growth was driven by a 15.7% increase in revenue to ₹1,470.6 crore and a 210-basis-point expansion in EBITDA margin to 13.8%. Management cited strong demand for CNG vehicle cylinders and industrial gas applications.
- How has the US order book changed, and what does the new timeline mean?
- The US order book declined to $75 million from $80 million. More significantly, the execution timeline for the orders has stretched to 18-24 months from an earlier 12-18 month window, indicating slower project delivery.
- Why was the Egypt plant delayed, and when will it start?
- The filing does not give a specific reason for the delay. It states the plant is now expected to begin operations by the end of June 2026, having slipped from an earlier timeline.
- What did management say about the new CEO?
- Management declined to provide any background on the incoming CEO, citing that the individual has not yet officially joined the company. No further details were shared on the call.
Story so far
All notes on EKC →- 3 Jun 2026 · 5:01 PM IST Everest Kanto's profit jumps 50%, but US order book slips and Egypt plant is late.
- 5d ago Everest Kanto Cylinder names new CEO as it posts FY26 results