Q3 2026 Oswal Pumps Ltd Earnings Call Transcript
Key Points
- Oswal Pumps Ltd (NSE:OSWALPUMPS) reported a strong year-on-year growth of 33.4% in total income for Q3 FY26, reaching INR507.7 crore.
- Operating revenue for the quarter stood at INR501.1 crore, reflecting a healthy year-on-year growth of 31.9%.
- The company achieved an operating EBITDA margin of 25.4% for Q3 FY26, showing a sequential improvement of 164 basis points.
- Oswal Pumps Ltd has executed over 90,000 solar pumping systems under various government programs, strengthening its leadership position in the solar pumping ecosystem.
- The company maintains a strong order book of over 24,500 pumps and a near-term pipeline exceeding 25,000 pumps, providing healthy revenue visibility for upcoming quarters.
- The company faced pricing pressures due to competitive tender pricing, particularly in government-led solar pumping programs.
- There was a sequential increase in net debt during the quarter, primarily due to higher working capital requirements driven by delays in receivables from state model agencies.
- The cash conversion cycle increased to 177 days in December from 157 days in September, reflecting a 20-day increase due to collection timing from government-linked customers.
- Receivables from government and government-backed entities have been delayed, impacting working capital efficiency.
- The company's financial performance is heavily reliant on government programs like PM Kusum, which could pose risks if there are delays or changes in these programs.
Ladies and gentlemen, good day and welcome to the Oswal pumps 3Q FY26 earnings call hosted by IIFL Capital Services Limited.
(Operator Instructions)
Please note that this call is being recorded.
I now hand the conference over to Ms. Renu Baid from IIFL Capital Services Ltd. Thank you and over to you.
Thank you. Very good afternoon, everyone. On behalf of IIFL Capital, I'd like to welcome the management of Oswal Pump for discussing the third quarter FY26 earnings call. Today from the management team we have with us Mr. Vivek Gupta, Chairman and Managing Director; Mr. Shivam Gupta, Full-Time Director; Mr. Subod Kumar, Chief Financial Officer; and Mr. Sanjeev Sancheti, the Investor Advisor for Oswal Pumps.
Without taking much time, I now hand the session to Mr. Vivek Gupta for his opening comments. Thank you and over to you, sir.
Yeah, hi, Sanjeev here. Thank you and good afternoon,
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