Diffusion Engineers Q1 FY27 Share Price & Earnings Call Analysis
- Market cap
- ₹1,485 Cr
- P/E
- 26.88
- ROE
- 12.39%
- PEG
- 0.87
- Price to sales
- 3.41
- Debt to equity
- 0.07
- 52W high / low
- ₹486 / ₹237
- Sales growth (5Y)
- 21.23%
- EBITDA margin
- 13.78%
- Net profit margin
- 11.81%
- Promoter holding
- 69.76%
- Sales (last year)
- ₹436 Cr
Incorporated in 1982, Diffusion Engineers Ltd manufactures welding consumables, wear plates and wear parts, and heavy engineering machinery[1]
Guidance scorecard · Q1 FY27 call
What Diffusion Engineers Ltd's management guided
and where it ranks in Industrial Products
Industrial Products
RevenueQ1 FY27 call
20–40%- Expecting around 20% growth in FY'27 and FY'28.
- Aiming to double revenues within the next 3 to 4 years.
- New manufacturing capacity has started phased utilization, contributing to revenue growth.
- Majority of INR 209 crore order book is executable in FY'27, with some deliveries preponed.
- Anticipate increased revenues from international markets, railways, and defense segments.
- Order book is expected to grow or maintain current levels with strong traction.
- Q2 generally a stronger quarter due to maintenance activities, supporting continued growth.
2 more points from Diffusion Engineers Ltd's call on revenue
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MarginsQ1 FY27 call
Up 0–2%See what Diffusion Engineers Ltd said on margins — free account, 30 seconds.
CapexQ1 FY27 call
Planned- The company is finishing its earlier capital expenditure (capex) and plans to expand capacity again once utilization of newly installed capacity reaches around 70%-80%.
- No new capex is finalized yet; plans for backward integration and new investments are in the pipeline but remain tentative.
- Capacity expansion funded by the IPO is ongoing with phased utilization started; full ramp-up expected over 2-3 years.
- Approximately INR 67 crores of IPO proceeds remain unutilized as of Dec 2025 and expected to be fully utilized by end of the current year, mostly for pending capacity expansions.
2 more points from Diffusion Engineers Ltd's call on capex
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FundraisingQ1 FY27 call
PlannedSee what Diffusion Engineers Ltd said on fundraising — free account, 30 seconds.
Order bookQ1 FY27 call
Rising- The current order book stands at approximately INR 209 crores at the end of Q1 FY'27.
- Over 80% of this order book is executable within FY'27.
- Customers are requesting faster execution and preponement of deliveries for some items, indicating strong demand.
- Increased activity in sectors like power is driving this demand.
- Small railway orders have been received, with more expected post workshop approval.
- Developmental railway orders (e.g., for Vande Bharat trains and VSHORADS) are in evaluation, with revenue expected between 9 to 12 months after workshop approval.
2 more points from Diffusion Engineers Ltd's call on the order book
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Ranges are what management guided for revenue growth and margins on the latest earnings call. Not investment advice, and not a forecast of returns.
Potential multibaggers · Q2 FY27
Potential multibaggers in Industrial Products
on management's own guidance
- Strong growth2
- Strong growth1
- Strong growth3
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Ranks describe management commentary on revenue and margin from the latest earnings call. Not investment advice.
Peers
Industrial Products companies ranked on guidance
| # | Company | Revenue guided | Margin guided | Market cap | P/E |
|---|---|---|---|---|---|
| 1 | 40%+ | Up 2%+ | ₹532 Cr | 21.2 | |
| 2 | 40%+ | Up 2%+ | ₹450 Cr | 13.2 | |
| 3 | 40%+ | Up 2%+ | ₹371 Cr | 26.1 | |
| 4 | 40%+ | Up 0–2% | ₹1,340 Cr | 32.9 | |
| 5 | 40%+ | Up 0–2% | ₹1,196 Cr | 14.1 | |
| 6 | 40%+ | Flat | ₹966 Cr | 25.0 |
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Pro shows every company guiding 40%+ revenue growth →Full Industrial Products rankingFinancials of Diffusion Engineers Ltd
Quarterly Results, Profit & Loss, Balance Sheet, Cash Flows, and Ratios are shown below as separate sections.
Financials of Diffusion Engineers Ltd
Quarterly Results
Quarter-by-quarter operating performance
| Jun 2023 | Mar 2024 | Jun 2024 | Sep 2024 | Dec 2024 | Mar 2025 | Jun 2025 | Sep 2025 | Dec 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|---|
| Sales + | 61 | 69 | 67 | 74 | 74 | 101 | 73 | 80 | 88 | 113 |
| Expenses + | 54 | 60 | 59 | 63 | 65 | 87 | 65 | 69 | 76 | 98 |
| Operating Profit | 7 | 9 | 8 | 11 | 9 | 14 | 9 | 11 | 12 | 15 |
| OPM % | 11% | 13% | 12% | 15% | 12% | 13% | 12% | 14% | 13% | 14% |
| Other Income + | 1 | 3 | 3 | 1 | -0 | 5 | 10 | 3 | 3 | 3 |
| Interest | 1 | 0 | 1 | 1 | 0 | 0 | 0 | 0 | 1 | 1 |
| Depreciation | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 1 | 2 | 2 |
| Profit before tax | 7 | 10 | 9 | 11 | 7 | 17 | 17 | 12 | 12 | 16 |
| Tax % | 29% | 25% | 26% | 17% | 9% | 29% | 17% | 19% | 28% | 26% |
| Net Profit + | 5 | 7 | 6 | 9 | 6 | 12 | 14 | 10 | 9 | 12 |
| EPS in Rs | 12.55 | 2.66 | 2.31 | 3.11 | 1.71 | 3.22 | 3.79 | 2.65 | 2.36 | 3.12 |
Financials of Diffusion Engineers Ltd
Profit & Loss
Annual income statement trend
| Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|
| Sales + | 108 | 152 | 146 | 152 | 196 | 244 | 257 | 316 | 354 |
| Expenses + | 94 | 134 | 131 | 133 | 174 | 220 | 227 | 275 | 307 |
| Operating Profit | 14 | 18 | 15 | 19 | 22 | 24 | 30 | 41 | 47 |
| OPM % | 13% | 12% | 10% | 13% | 11% | 10% | 12% | 13% | 13% |
| Other Income + | 3 | 1 | 2 | 2 | 4 | 4 | 7 | 9 | 18 |
| Interest | 2 | 2 | 2 | 2 | 1 | 2 | 2 | 2 | 2 |
| Depreciation | 3 | 3 | 3 | 4 | 4 | 3 | 4 | 4 | 6 |
| Profit before tax | 12 | 14 | 13 | 15 | 21 | 23 | 32 | 43 | 57 |
| Tax % | 21% | 30% | 28% | 31% | 24% | 25% | 26% | 22% | 22% |
| Net Profit + | 9 | 10 | 9 | 10 | 16 | 17 | 23 | 34 | 45 |
| EPS in Rs | 25.12 | 26.25 | 24.24 | 27.99 | 42.17 | 45.00 | 8.35 | 9.02 | 11.93 |
| Dividend Payout % | 20% | 13% | 0% | 14% | 9% | 0% | 6% | 17% | 13% |
Financials of Diffusion Engineers Ltd
Balance Sheet
Capital structure and asset base
| Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|
| Equity Capital | 4 | 4 | 4 | 4 | 4 | 4 | 28 | 37 | 37 |
| Reserves | 77 | 84 | 92 | 101 | 117 | 133 | 150 | 318 | 347 |
| Borrowings + | 17 | 15 | 32 | 19 | 24 | 48 | 34 | 22 | 27 |
| Other Liabilities + | 20 | 30 | 40 | 30 | 41 | 40 | 48 | 52 | 65 |
| Total Liabilities | 118 | 133 | 168 | 154 | 186 | 224 | 260 | 429 | 477 |
| Fixed Assets + | 40 | 41 | 60 | 56 | 58 | 61 | 88 | 96 | 108 |
| CWIP | 0 | 0 | 0 | 0 | 0 | 2 | 1 | 3 | 22 |
| Investments | 15 | 16 | 17 | 16 | 24 | 21 | 30 | 36 | 42 |
| Other Assets + | 63 | 76 | 91 | 82 | 103 | 140 | 141 | 294 | 304 |
| Total Assets | 118 | 133 | 168 | 154 | 186 | 224 | 260 | 429 | 477 |
Financials of Diffusion Engineers Ltd
Cash Flows
Operating, investing and financing cash movement
| Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|
| Cash from Operating Activity + | 10 | 14 | 12 | 20 | 6 | -16 | 32 | 5 | 17 |
| Cash from Investing Activity + | -2 | -6 | -26 | 2 | -10 | -4 | -33 | -18 | -31 |
| Cash from Financing Activity + | -9 | -8 | 14 | -16 | 3 | 20 | 3 | 129 | -11 |
| Net Cash Flow | -1 | 1 | -1 | 7 | -2 | -0 | 1 | 116 | -24 |
| Free Cash Flow | 6 | 11 | -11 | 21 | -1 | -24 | 1 | -9 | -20 |
| CFO/OP | 87% | 104% | 95% | 105% | 45% | -47% | 126% | 33% | 61% |
Financials of Diffusion Engineers Ltd
Ratios
Working capital efficiency and return ratios
| Mar 2018 | Mar 2019 | Mar 2020 | Mar 2021 | Mar 2022 | Mar 2023 | Mar 2024 | Mar 2025 | Mar 2026 | |
|---|---|---|---|---|---|---|---|---|---|
| Debtor Days | 100 | 81 | 90 | 98 | 89 | 109 | 92 | 100 | 113 |
| Inventory Days | 186 | 146 | 220 | 117 | 135 | 119 | 120 | 132 | 123 |
| Days Payable | 97 | 73 | 125 | 80 | 90 | 62 | 78 | 68 | 71 |
| Cash Conversion Cycle | 189 | 153 | 185 | 136 | 134 | 166 | 134 | 164 | 166 |
| Working Capital Days | 86 | 68 | 70 | 81 | 68 | 75 | 82 | 114 | 117 |
| ROCE % | 16% | 13% | 14% | 15% | 14% | 16% | 14% | 15% |
Guidance history
How Diffusion Engineers Ltd's guidance has moved, call by call
| Call | Revenue | Margins | Capex | Fundraising | Order book |
|---|---|---|---|---|---|
| Q1 FY27 call → | 20–40% | Up 0–2% | Planned | Planned | Rising |
| Q4 FY26 call → | 20–40% | Up 0–2% | Planned | — | Rising |
| Q3 FY26 call → | 20–40% | Up 0–2% | Planned | — | Rising |
| Q2 FY26 call → | 10–20% | Up 0–2% | Planned | None planned | Rising |
What management guided on each call, newest first. Not investment advice, and not a forecast of returns.
Momentum score · price trend
75 out of 100 — Strengthening
Over the past year its share price has done better than most of the stocks we track.
| Period | Share price change | Better than … of 1,910 stocks |
|---|---|---|
| Last 12 months | +9.2% | 69% |
| Last 6 months | +31.9% | 82% |
| Last 3 months | +3.3% | 73% |
How we calculate it
“Better than 30%” means that over that period the share price did better than 30 out of every 100 stocks we track (1,910 Indian companies worth ₹500 Cr or more, with at least a year of prices).
The score weighs the longer periods more: 40% × 12-month + 40% × 6-month + 20% × 3-month. For Diffusion Engineers Ltd: 0.4 × 69 + 0.4 × 82 + 0.2 × 73 = 75.
Strengthening is 70 and above, Steady 40 to 70, Cooling below 40. Scores are recalculated every night after the market closes.
Full methodology →This describes only how the share price has moved up to 30 Oct 2026, compared with other stocks. It says nothing about the business, and it is not a prediction, a price target or a recommendation to buy or sell.
Continue your research
What Diffusion Engineers Ltd's management said in earlier quarters
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