In Week of Mar 28, 2026, L G Balakrishnan & Bros Ltd (Auto Ancillaries - 2 Wheelers) is outperforming Nifty 500 with +7.0% relative strength. Fundamentals: Average.
Weekly presence in the outperformers list. Green = beating Nifty 500 by 10%+ that week.
Based on Q3 FY26 earnings • Updated Mar 28, 2026
What: New Hosur plant line adding ₹350 cr annual revenue at 18%+ margins
Impact: +₹85 Cr revenue
“MD stated: 'EV component line is already contributing 15% of Hosur plant revenue with margins 300 bps above traditional products'”
What: 3 new European contracts increasing export mix to 40% with 500 bps margin premium
Impact: +₹120 Cr revenue
“CFO: 'European order book crossed ₹800 cr with average margins of 19.5%, significantly higher than domestic business'”
Earnings deceleration risks from management commentary
Trigger: Steel prices increase beyond 20% YoY
Impact: -200 bps margin impact
Management view: CFO: 'We've hedged 60% of steel requirements but beyond 20% increase would impact margins'
Monitor: Steel price index
Key quotes from recent conference calls
“The EV component line is already contributing 15% of our Hosur plant revenue with margins 300 bps above traditional products — Mr. S. Balakrishnan”
“We've hedged 60% of our steel requirements at current prices but beyond 20% increase would impact margins — CFO”
“Our order book stands at ₹1,250 cr, 35% higher than last year, with 60% visibility for next 12 months — VP Sales”
“We're confident of delivering 15-18% revenue growth and 200 bps OPM expansion for full FY26 — Managing Director”
Forward-looking targets from management for FY26
Revenue Growth Target
16.5%
Implied PAT Growth
20%
OPM Guidance
15.5%
Capex Plan
₹400 Cr
Key Milestones
• EV line 95% utilization by Q1 FY27
• Working capital days reduced to 55 by Q2 FY27
Revenue, profit and margin growth rates
| Metric | YoY | 3Y CAGR | Trend |
|---|---|---|---|
| Revenue | +21% | +7% | Accelerating |
| PAT (Net Profit) | +17% | +7% | Stable |
| OPM | 16.0% | -100 bps | Stable |
The above analysis is parsed from publicly available earnings call transcripts. This is educational research only — not investment advice. Last updated Mar 28, 2026.
Based on publicly available financial data. This is educational research, not investment advice.
L G Balakrishnan & Bros Ltd's latest quarterly results (Dec 2025) show
L G Balakrishnan & Bros Ltd's profit is growing with an stable trend.
L G Balakrishnan & Bros Ltd's revenue growth trend is accelerating.
L G Balakrishnan & Bros Ltd's operating margin is stable.
L G Balakrishnan & Bros Ltd's long-term compounding rates
L G Balakrishnan & Bros Ltd's earnings growth is stable with mixed signals on a sequential basis.
L G Balakrishnan & Bros Ltd's trailing twelve month (TTM) performance
L G Balakrishnan & Bros Ltd appears undervalued based on our fair value analysis.
L G Balakrishnan & Bros Ltd's current PE ratio is 16.9x.
L G Balakrishnan & Bros Ltd's current PE is 16.9x.
L G Balakrishnan & Bros Ltd's price-to-book ratio is 2.7x.
L G Balakrishnan & Bros Ltd is rated Average with a fundamental score of 46.87/100. This score is calculated from objective financial metrics
L G Balakrishnan & Bros Ltd has a debt-to-equity ratio of N/A.
L G Balakrishnan & Bros Ltd's return ratios over recent years
L G Balakrishnan & Bros Ltd's operating cash flow is positive (FY2025).
L G Balakrishnan & Bros Ltd's current dividend yield is 1.17%.
L G Balakrishnan & Bros Ltd's shareholding pattern (Dec 2025)
L G Balakrishnan & Bros Ltd's promoter holding has remained stable recently.
L G Balakrishnan & Bros Ltd has been outperforming Nifty 500 for 1 consecutive week, indicating early-stage outperformance.
L G Balakrishnan & Bros Ltd is a re-entry — it briefly dropped off the outperformance list but has now returned. Re-entries can signal renewed strength.
L G Balakrishnan & Bros Ltd has 2 key growth catalysts identified from recent earnings analysis
L G Balakrishnan & Bros Ltd has 1 key risk worth monitoring
In Q3 FY26, L G Balakrishnan & Bros Ltd's management highlighted
L G Balakrishnan & Bros Ltd's management has provided the following forward guidance for FY26
Based on quantitative research signals, here is why L G Balakrishnan & Bros Ltd may be worth studying
L G Balakrishnan & Bros Ltd investment thesis summary:
L G Balakrishnan & Bros Ltd's forward outlook based on current data signals
The above FAQs are generated from publicly available earnings data and conference call transcripts. This is educational research only. Sector Alpha is not SEBI registered and does not provide investment advice.
