Shankara Building Q2 FY26 Earnings Analysis

Published 6 Jul 2026 | Retailing | Market Cap: ₹346 Cr

Price

141

Market Cap

₹346 Cr

P/E Ratio

66.5

Revenue Rank

Rank 3

Margin Rank

Rank 2

How does Shankara Building rank in Retailing?

Compare Shankara Building against every Retailing company this quarter on revenue, margins and earnings-call signals.

Revenue: Rank 3Margin: Rank 2
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Shankara Building — Quarterly revenue & net profit

Revenue Net Profit
Dec 2024
Mar 2025
Jun 2025
Sep 2025
Dec 2025
Mar 2026

Reported quarterly figures (₹ Cr). Latest: revenue ₹341 Cr, net profit ₹7 Cr.

Full financials →

Earnings Summary

Marketplace (Shankara Buildpro) revenue growth target: 15% to 20% for FY '27. Marketplace Business (Shankara Buildpro)**: - Targeting 15%-20% revenue growth in FY '27.

📊 Revenue & Sales Performance

Rank 3
- Marketplace (Shankara Buildpro) revenue growth target: 15% to 20% for FY '27. - Manufacturing business revenue growth target: approximately 10% for FY '27. - Steel volume growth sustained at around 28% to 30% in the marketplace business; trucks pipes and tubes segment growing about 30%. - Non-steel business aiming for sustained 10% growth in the second half of the current fiscal year. - Expansion plans include increasing retail stores by about 5 and fulfillment centers by around 3 in FY '27. - Non-steel segment expected to increase its share toward 20% of total revenue over the next 2 to 3 years (FY30 target). - Capacity utilization in manufacturing to rise from sub-50% to 60-65%, driving margin and volume growth. - Focus on niche and value-added products for growth in manufacturing. Overall, growth driven by expansion of retail footprint, volume increase in steel segments, and increased non-steel business contribution.

📈 Profitability & Margins

Rank 2
  • **Marketplace Business (Shankara Buildpro)**:
  • - Targeting 15%-20% revenue growth in FY '27.
  • - EBITDA margins expected to increase to above 3.5% in FY '27 from current ~3.3%.
  • - Long-term marketplace EBITDA margin aspirational target around 4% (closer to FY '30).
  • - ROCE expected to sustain between 28%-30% in the long term.
  • **Manufacturing Business (Shankara Building Products)**:
  • - EBITDA margins expected to improve from current 1.5%-2% in FY '26 to around 3% by end of FY '27.
  • - Capacity utilization targeted to rise from 50% to 60%-65% to drive margin growth.
  • - Revenue growth guidance for FY '27 around 10%.
  • - Capital expenditure of INR 10-15 crores planned to upgrade machinery aiding value-added products and margin expansion.
  • **Earnings outlook**: Overall improvement in profits expected from operational efficiency, operating leverage, and increasing contribution from higher-margin non-steel and value-added products segments.

🏗️ Capital Expenditure Plans

Yes
  • Planned CapEx for FY '27: INR 10 to 15 crores.
  • CapEx aims to upgrade machinery, including:
  • - Upgrading older tube mills to cater better to the auto industry.
  • - Adding finishing lines for enhanced end-customer service.
  • Focus on improving capacity utilization from sub-50% to 60-65% to drive margins.
  • Strategic focus on niche and value-added products in manufacturing.
  • Separate marketing team to target niche products in manufacturing business.
  • Plans to expand retail stores and fulfillment centers:
  • - Around 8 to 9 new fulfillment centers and stores to be added between H2 FY '26 and FY '27.
  • Manufacturing business leasing properties to marketplace business from October onwards, generating rental income (~INR 5 crores for 6 months).

💰 Fundraising & Capital Structure

No information
  • No specific mention of any current or planned new fundraising through debt or equity in the provided transcript.
  • The management discussed operational improvements, capacity utilization, and organic growth plans rather than external capital raising.
  • They plan CapEx of INR 10-15 crores in FY '27 mainly for machinery upgrades in manufacturing, likely funded internally.
  • No direct references to equity issuance or debt raising were made during the call.
  • The focus appears to be on improving margins and growth through operational initiatives and listing of Shankara Buildpro Limited by end-November 2025, not on new fundraising plans.

📋 Order Book & Pipeline

No information
- The acceptance (orderbook) in Shankara Buildpro's retail business for Q2 is approximately INR 300 crores. - There is no explicit mention of the total current or expected orderbook beyond this figure in the transcript. - The company is focusing on growth in both steel and non-steel businesses, with working capital cycles of 25 days for steel and around 45 days for non-steel. - The orderbook in retail signifies active pending orders contributing to the company's working capital and revenue growth. No further detailed information on the total or expected orderbook size was provided in the transcript.

Key Metrics

Revenue

Rank 3

Margin

Rank 2

Capex

Yes

Fundraise

No information

Order Book

No information

Frequently Asked Questions

What were Shankara Building Q2 FY26 results?

Marketplace (Shankara Buildpro) revenue growth target: 15% to 20% for FY '27. Marketplace Business (Shankara Buildpro)**: - Targeting 15%-20% revenue growth in FY '27.

What is Shankara Building share price analysis?

Shankara Building currently shows a below-average growth signal. The stock trades at a P/E of 66.5 with a market cap of ₹346 Cr. Investors should review the full earnings analysis for detailed insights.

Is Shankara Building planning capital expenditure?

Planned CapEx for FY '27: INR 10 to 15 crores.

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This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.

What Shankara Building Products Ltd's management said in earlier quarters

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