Pitti Engineering Shares Drop 6% as Q2 Profit Falls 15.5%

Key Facts

1Pitti Engineering's net profit fell 15.5% year-on-year to ₹33.9 crore in the second quarter.

2The EBITDA margin contracted to 15.2% from 17.2% in the same period last year.

Pitti Engineering's net profit fell 15.5% year-on-year to ₹33.9 crore in the second quarter. Business Upturn reported that the company's shares dropped more than 6% following the announcement, as investor sentiment was weighed down by declining profitability despite a 20.9% increase in revenue to ₹578 crore.

The EBITDA margin contracted to 15.2% from 17.2% in the same period last year. While EBITDA value increased by 7.3% to ₹88 crore, this growth rate lagged behind the top-line revenue expansion, resulting in significant pressure on the company's operating margins.