Ganesha Ecosphere Q2 FY27 slides: revenue surges, margins compress

Ganesha Ecosphere Limited reported its Q2 FY27 financial results on November 2, 2026. The company experienced a 41.2% year-over-year increase in consolidated revenue, reaching INR 513.0 crore. Sales volumes climbed to 49,382 metric tons, driven by robust demand for recycled polymers. Despite the market's cautious response, Ganesha Ecosphere highlighted significant operational milestones, such as obtaining FSSAI approval for a fourth rPET granules line and expanding manufacturing capacity across its network.

The company's Q2 FY27 performance demonstrated strong top-line growth, with revenue increasing 21.1% quarter-over-quarter to INR 513.0 crore from INR 423.7 crore in Q1 FY27, representing a 41.2% year-over-year increase. EBITDA surged 172% to INR 60.7 crore, and profit after tax improved to INR 28.1 crore, while earnings per share grew from negative INR 0.28 to INR 10.50.

However, margin compression occurred, with EBITDA margins falling to 11.8% from 14.1% in Q1 FY27 and EBITDA per ton declining from INR 14.9 to INR 12.3. The company attributed this to high volatility in PET bottle scrap and finished goods prices. Despite margin pressure, consolidated sales reached 49,382 MT, a 23.1% increase from the previous quarter.

Production volumes remained stable at 42,316 MT, while H1 FY27 revenue grew 33.7% to INR 936.6 crore, with EBITDA more than doubling to INR 120.4 crore. The company's scale and reach include an installed recycling capacity of 218,940 MTPA across six facilities, processing 8.5 billion scrap bottles annually and serving over 400 customers globally.

However, the Warangal facility faced a production loss due to a fire incident in August, impacting operations through Q4 FY27.