GMDC Q2FY26 Earnings Results Out: Profit Jumps on One-Time GST Gain; Revenue and Margins Decline

As per GMDC Q2FY26 earnings results, the company’s revenue declined 11% year-on-year to ₹527.6 crore. This was driven by lower realisations and softer demand in key segments. Despite this, the company recorded a sharp rise in net profit due to a one-time GST credit.

How Do GMDC Q2FY26 Earnings Results Fare Against Q2FY25? 

What Do the Earnings Indicate About GMDC’s Operational Performance?

The company’s EBITDA fell sharply by 51% to ₹69.5 crore, reflecting higher costs and weaker pricing conditions. Its EBITDA margin also contracted significantly from 24% last year to 13.2% this quarter.

One-Time GST Gain Boosts Profit

The headline net profit of ₹466 crore was primarily driven by a one-time gain of ₹474 crore. This gain came from GST credit on lignite following recent GST policy changes.

 Without this credit, GMDC would have reported a net loss of ₹8 crore, indicating stress in core operations.

GMDC Share Price Reaction

GMDC share price fell sharply after the earnings announcement. The stock dropped as much as 5% intraday but later trimmed some losses, trading 3.8% lower at ₹566.7.

Despite the correction, the stock has delivered strong returns in 2025, rising 75% year-to-date.

Read more: HDFC, ICICI, SBI, and Other Banks Migrate Their Domain Structure to .bank.in.

Conclusion

GMDC’s Q2FY26 results reflect a mixed performance. While the company reported a strong increase in net profit, this was due to a one-time GST credit rather than operational strength. Adjusted figures show weakening demand, lower revenue, and heavy margin pressure. The market reacted negatively, signalling concerns about the company’s core profitability going forward.

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