Anup Engineering and Glenmark Both Miss Q2: India Mid-Cap Earnings Season Stumbles

The Quick Take

• Anup Engineering fell ~7% after Q2 FY26 net profit crashed 79% YoY and EBITDA collapsed 66% to ₹17.4cr from ₹51.4cr
• Glenmark Pharmaceuticals dropped ~4% after Q2 FY26 revenue fell 30% YoY to ₹4,247cr and net profit declined 57%
• Both prints miss expectations and compound concerns about India's mid-cap industrial and pharma earnings season

India's mid-cap earnings season delivered two notable disappointments on Friday as Anup Engineering and Glenmark Pharmaceuticals both reported sharp year-on-year declines in key financial metrics. Anup Engineering, an Ahmedabad-based process equipment manufacturer, saw EBITDA collapse to ₹17.4 crore from ₹51.4 crore in the same quarter last year — a 66% decline — while net profit fell 79% YoY, sending shares down approximately 7%. The company serves India's refinery, fertiliser, and chemical sectors, and the miss suggests delayed order execution rather than demand destruction, though management guidance will be closely watched for any formal project deferrals by customers.

Glenmark Pharmaceuticals posted a steeper revenue decline, with consolidated revenues falling 30% YoY to ₹4,247 crore against ₹6,047 crore in Q2 FY25, and net profit down 57%. The company, which has been undergoing a strategic restructuring — including the demerger of its innovator arm Ichnos Sciences — saw revenues impacted by the base effect from last year's business transfers and pricing pressure in the US generics market. Shares fell approximately 4% in a broader indication that investors had not priced in the magnitude of the top-line decline. Glenmark's branded India business remains a stabilising factor but is insufficient to offset the US and international business volatility.

Together, these prints paint a cautious picture for India's mid-cap industrials and pharma sectors heading into Q3 FY26. Anup Engineering's recovery timeline will depend on whether its refinery and chemicals customers restart capital projects after a pause; Glenmark's recovery hinge on US pipeline launches and pricing stabilisation. Both stocks face near-term headwinds from earnings momentum, though their fundamentally different business models mean any recovery catalysts will be sector-specific rather than correlated. Investors with cross-sector India mid-cap exposure may reassess positioning given the dual disappointment.

Synthesized from 2 source(s).