DEE‍‌‍‍‌‍‌‍‍‌ Development Engineers Limited Reports Strong Revenue Growth but Lower Profit in Q2 FY26

Faridabad, November 4, 2025: DEE Development Engineers Limited (NSE: DEEDEV | BSE: 544198) – disclosed a strong revenue increase for the quarter ending September 30, 2025 (Q2 FY26). However, the profit figure was lower year-on-year. This was due to the non-repetition of a one-off income recorded in the previous year.

Key Financial Highlights

The company’s operating income rose 39% year-on-year (YoY) to ₹27,000 lakh, while total income reached ₹27,517 lakh, marking a 31% increase over the corresponding quarter of the previous year. Operating EBITDA expanded significantly by 47.9% to ₹4,406 lakh, reflecting improved margins and effective cost-management efforts. However, profit after tax (PAT) declined 19.8% to ₹1,786 lakh, compared to ₹2,226 lakh in Q2 FY25.

According to the management, the decline in net profit was primarily due to a high base effect, as the corresponding quarter of the previous year included a one-time income of ₹1,598 lakh. After adjusting for this, the normalised profit showed an impressive rise of nearly 69%, underscoring the company’s strong underlying operational performance.

For the first six months of FY26, the revenue from operations amounted to ₹49,376 lakh, representing a 30.3% year-on-year increase. At the same time, PAT for the period went up by 22.1% to ₹3,106 lakh, thus reflecting the company’s sustained business momentum.

Operational Highlights and Capacity Expansion

The company achieved a substantial order inflow of about ₹170 crores during the quarter, which was mostly attributable to the major clients in the thermal power sector. As of September 30, 2025, the company’s order book was ₹1,308 crore, thus giving the company a strong revenue horizon for the next few quarters.

DEE Development, as part of its expansion plan, unveiled a new 30,000 MT production unit at Anjar in September 2025. Furthermore, the company is looking forward to its 7,000 MT seamless pipe unit going operational by January 2026. A step that would allow the company to integrate backward, increase its efficiency, and lower its costs.

Management Outlook and Commentary

Chairman Krishan Lalit Bansal said the company showed solid operational results because of higher revenues, better margins, and disciplined execution. He pointed out that DEE is committed to capacity expansion and making the most of opportunities in the power and oil & gas sectors that are the mainstays of the company’s growth.

Bansal stated that the company is still very much upbeat about maintaining its growth trajectory, aided by a strong order book, technological edge and operational efficiency.

Stock Performance

DEE Development Engineers’ share price closed at ₹245.60, down 5.08% after the announcement of the results. Over the past few months, the stock has managed to stay strong. This was largely due to the consistent order wins and the expansion updates. The results have been mostly welcomed by investors who have put their attention on the robust revenue trend despite the normalization of profits.

DEE Development Engineers Limited is among the leading process piping solutions companies in India. It provides its services to industries such as oil & gas, power (nuclear & thermal), chemicals, and process manufacturing. The company, which is based in Faridabad, has several advanced production units in Haryana and Gujarat. It offers complete engineering, procurement, and manufacturing services for complex piping ‍‌‍‍‌‍‌‍‍‌systems.

REF: https://nsearchives.nseindia.com/corporate/DDEL_04112025131319_NSEBSESIGNED.pdf

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