Q3 FY26 revenue came in at ₹4,175 Mn (yes, ₹ Mn, not crore), down 0.7% YoY. But the real drama? PAT fell 64% YoY to ₹197 Mn. EBITDA margin dropped from 24% to 14%. Investors didn’t need a mining drill to find the pain — it was visible from space.
Yet, the stock trades at 61x earnings, nearly double the industry P/E of 28.4. Price-to-book is 8.41x. This is not a value stock. This is a “future potential” stock wearing designer boots.
The company still generated ₹12,103 Mn revenue in 9M FY26 (up 6% YoY) and PAT of ₹1,000 Mn (up 2% YoY). Order book stands at ₹11,402 Mn. But the big question:
Was Q3 a one-off operational pothole — or is margin compression becoming structural?
Let’s dig.
2. Introduction – From Mill Liners to Billion-Dollar Ambitions
Tega Industries Ltd isn’t some random industrial company manufacturing nuts and bolts. It makes critical consumables for mining and mineral processing. These are the parts that wear out constantly. And when they wear out, guess what? The mining companies can’t stop production.
That’s recurring revenue gold.
Globally, it’s the second-largest producer of polymer-based mill liners. Present in 70+ countries. 85–90% of revenue comes from outside India. This isn’t “Make in India.” This is “Sell Everywhere.”
And then came the twist.
In November 2025, Tega announced the acquisition of Molycop for ~$1.45 billion. Funding includes:
₹1,500 Cr debt facility
₹3,517 Cr OCRPS
₹99 Cr India WoS investment
₹1,713 Cr raised via preferential issue at ₹1,994 per share
Suddenly, this quiet consumable business decided to play in the big league.
Question for you: Is this strategic expansion… or digestion risk waiting to happen?
3. Business Model – WTF Do They Even Do?
Imagine you run a mining plant. You crush rocks. You grind ores. You move bulk solids. Everything is harsh, abrasive, violent.
