Carraro India shares reversed their early market gains, trading 4.8% lower at ₹579.10 as of 1:19 pm on May 27, despite the company's impressive Q4 FY26 results. According to latest exchange data, the auto component maker reported a 77% surge in consolidated net profit to ₹41.81 crore in Q4 FY26, compared to ₹23.61 crore in the same period last year. Revenue from core operations advanced 36.5% to ₹606.72 crore in Q4 FY26, compared with ₹444.27 crore in the corresponding quarter of the previous financial year. The company's EBITDA margin witnessed a 70 basis point expansion to 11.6% in Q4 FY26, compared to 10.9% in the same period last year, while profit margins recorded a marginal increase to 6.8% from 5.3% year-on-year.
Despite strong revenue growth, input costs increased 37% YoY to ₹454 crore in Q4 FY26, compared to ₹330 crore in the same quarter of the previous financial year, due to rising supply chain disruptions. However, the company managed to maintain profitability through operational efficiency improvements. EBITDA (including other income) stood at ₹70.96 crore, registering a growth of 45.1% compared with ₹48.89 crore posted in the corresponding quarter last year. The company's EBITDA margin stood at 11.7% in Q4 FY26 compared with 11.0% in Q4 FY25, demonstrating effective cost management despite input cost pressures.
As reported by Business Standard, revenue from agricultural equipment rose 37% YoY to ₹278.4 crore, while construction equipment jumped 36% YoY to ₹261.3 crore. The other segment increased 40% YoY to ₹67 crore in Q4 FY26. In Q4 FY26, domestic sales stood at ₹396.8 crore, up 24% YoY, while export sales climbed sharply 68% YoY to ₹209.9 crore. According to the company, the domestic agriculture business continued to witness strong momentum, supported by the accelerated transition from 2WD to 4WD tractors following the GST-led narrowing of the price gap between 2WD and 4WD tractors.
The company's board of directors recommended a final dividend of ₹6.75 per equity share for the financial year ended March 31, 2026, subject to shareholders approval at the Annual General Meeting. As per the exchange filing, the dividend is recommended on equity shares of face value ₹10 each (67.5%), with the company announcing the record date after the annual meeting of members. Carraro India shares have delivered more than 28% returns on their investment in the past one year period and gained more than 10% so far in 2026. The stock hit its 52-week high of ₹667.55 on April 16, 2026, while the 52-week low was at ₹401.05 on June 20, 2025, with the company's market capitalisation at ₹3,291.70 crore as of Wednesday's trading session.
