Carborundum Universal (CU IN) – Q2FY27 Result Update – Healthy Q2, Ceramics leads the charge – Upgrade to ‘ACCUMULATE’
Published on 03 Nov 2026
Carborundum Universal (CUMI) reported a Q2FY27 performance with consolidated revenue growth of ~13% YoY, supported by broad-based growth across Ceramics (+36.1%) and Electrominerals (+11%) with EBITDA margin expanded by 49bps YoY. Ceramics remains the key growth driver, supported by strong traction in industrial engineered ceramics, metallized cylinders and Bloom Energy-related products, alongside improving product mix. We roll forward to Sep’28E and upgrade our rating from ‘Hold’ to ‘Accumulate’, driven by an improved growth outlook for the Ceramics division following management’s upward revision in guidance, with a SoTP-based revised TP of INR1,178 (INR1,072 earlier) valuing Abrasives/Ceramics/Electrominerals at 35x/41x/15x Sep’28E (35x/41x/15x Mar’28E).
