Why did Elecon Engineering Company's shares fall by 13 percent?

The shares dropped after Q3 net profit fell 33 percent to Rs 72 crore, mainly due to margin pressure, higher employee costs, and a cut in revenue guidance.

How did Elecon Engineering perform in Q3 FY results?

Elecon reported lower profitability despite revenue growth, with shrinking EBITDA margins caused by rising costs and weaker operating leverage.

What concerns investors most about Elecon Engineering right now?

Investors are worried about margin compression, slower order inflows, and management’s cautious outlook for near-term revenue growth.

Is the fall in Elecon Engineering Company shares a short-term reaction?

Most analysts believe the sharp decline is a short-term market reaction, but recovery depends on margin improvement and stable demand conditions.

What should investors watch next in Elecon Engineering shares?

Investors should monitor margin recovery, future earnings performance, order inflow trends, and management commentary in upcoming quarters.

IN Stocks

Elecon Engineering Company shares drop 13% as Q3 net profit falls 33% to Rs 72 crore

ByRubaisha January 9, 2026January 9, 2026

Elecon Engineering Company shares came under sharp selling pressure after the company reported weaker-than-expected third-quarter earnings. The stock slipped nearly 13 percent in a single session as investors reacted to a steep fall in profitability, margin pressure, and a cautious revenue outlook shared by the management.