Transformers & Rectifiers Shares Crash 20% After Disappointing Q2 FY26 Results; Net Profit Slumps 35% YoY

Shares of Transformers & Rectifiers (India) Ltd nosedived nearly 20% in early trade on Monday after the company reported disappointing Q2 FY26 earnings on Saturday, November 8. The stock opened sharply lower at Rs. 313.55 apiece on the NSE, compared to the previous close of Rs. 391.90, which was the steepest intraday fall in the last five sessions.

The sell-off came after the transformer maker announced a 35% sequential decline in net profit for the September 2025 quarter. Investor sentiment turned negative as the company's revenue and profit both dropped sharply. At current levels, Transformers & Rectifiers shares have slipped over 36% in the past month, erasing recent gains.

Transformers & Rectifiers Q2 Results

Transformers & Rectifiers (India) Ltd announced its unaudited standalone financial results for the quarter ended September 30, 2025, i.e., Q2 FY26, reporting a sharp decline in profitability both sequentially and on a yearly basis.
The company's total income for Q2 FY26 stood at Rs. 440.81 crore, marking a 16.3% decline quarter-on-quarter (QoQ) from Rs. 526.96 crore in Q1 FY26. On a year-on-year (YoY) basis, revenue also dropped 3.7% from Rs. 457.71 crore recorded in Q2 FY25.

The slowdown in project execution and moderation in transformer orders are likely key reasons behind the lower income during the quarter.

Total expenses for the quarter came in at Rs. 415.20 crore, down 14.5% QoQ from Rs. 485.65 crore, but up 4.2% YoY compared to Rs. 398.55 crore. The marginal yearly increase indicates steady raw material and operational costs despite the revenue dip.

The company's profitability took a major hit this quarter as the Profit Before Tax (PBT) fell 38% QoQ to Rs. 25.61 crore, compared to Rs. 41.32 crore in Q1 FY26. On a YoY basis, PBT declined sharply by 57%, from Rs. 59.55 crore in Q2 FY25. Net Profit (PAT) dropped 35.5% QoQ to Rs. 16.80 crore and 60% YoY from Rs. 42.10 crore in the same period last year.

The decline is mainly because of multiple reasons: weaker sales, lower order inflow, and a contraction in margins due to cost pressures and slower project completions.

About TRIL

Transformers & Rectifiers (India) Limited (TRIL) is a leading Indian manufacturer specialising in a wide range of transformers, catering to domestic and global markets since its incorporation in 1994. TRIL manufactures a diverse portfolio of transformers, including power and distribution transformers, rectifier transformers, furnace transformers, speciality transformers, shunt and series reactors, and mobile substations, with offerings up to 1,200 kV class. The company operates mainly on a B2B model, serving India's power generation, transmission, and industrial sectors. It has three key manufacturing facilities located in Ahmedabad, Gujarat, with a workforce of over 1,200 employees.

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