Carraro India Reports 18% Revenue Growth in First Half of FY26

Carraro India Limited reported total income of ₹1,093 crore for the first half of FY26, an 18% increase from ₹922.7 crore in the same period last year. Profit after tax rose to ₹60.8 crore, up from ₹49.7 crore in H1 FY25.

The Pune-based automotive component manufacturer recorded ₹593.1 crore in revenue for Q2 FY26, a 33% year-on-year increase. Export revenue for the quarter stood at ₹220.1 crore, up 65% from the corresponding period last year. EBITDA for H1 reached ₹114.1 crore, a 13% rise.

Construction equipment continued to be a major growth driver, with segment revenue increasing 35% to ₹484.3 crore in H1 FY26. The growth was led by the ramp-up of Tele Boom Handler (TBH) axle production for an international OEM. Agricultural equipment revenue rose 6% to ₹476 crore during the period.

Exports maintained strong momentum, with overall export revenue up 31% to ₹411.3 crore in the first half. The company cited steady demand for Backhoe Loader drivelines from African, Middle Eastern, and Latin American markets. Domestic sales grew 11% to ₹667.9 crore.

Carraro India signed an engineering services agreement worth ₹17.5 crore with Montra Electric (TICMPL) for the industrialization and supply of e-transmissions for electric agricultural tractors. Engineering services revenue reached ₹5 crore in Q2 FY26, compared to ₹1.7 crore in the same quarter last year.

Managing Director Dr. Balaji Gopalan stated that the domestic construction equipment market declined around 9% in H1 FY26, with the Backhoe Loader segment down 12%, mainly due to prolonged monsoon conditions and slower adoption of higher-cost BS-V machines.

The company reported capital expenditure of ₹21.1 crore in H1 FY26, directed toward new telescopic handler axle production facilities and transmission range expansion for agricultural applications. Investments included two Sealed Quenched Furnace units at the gear plant and an 800-pallet MAZAK machining center.

Carraro India expanded its after-sales network by adding authorized service centers—one in North India and two in South India—to strengthen its presence in the aftermarket spares segment. The company developed six prototypes during the period, with three progressing to production.

The shift from 2WD to 4WD tractors has accelerated following the GST reduction, which has nearly equalized the effective price gap between the two configurations. The company is increasing capacity to meet projected demand in this segment.

Established in 1997, Carraro India Limited is an independent Tier-I supplier of axles, transmission systems, gears, and related components. It operates two manufacturing plants in Pune and serves OEM customers in the agricultural and construction equipment sectors.