Garware Hi-Tech Plunges 12% and Bansal Wire Slides Despite 40% Profit Spikes
Dalal Street witnessed a classic "sell on news" reaction on Thursday, October 22, 2026, as BSE 1000 index constituents Garware Hi-Tech Films and Bansal Wire Industries faced aggressive liquidation despite reporting stellar double-digit operational growth across revenue, operating profit, and margins for the second quarter of FY2026-27. While both manufacturing players posted remarkable year-on-year financial improvements over the corresponding quarter of the previous fiscal, broader secondary market weakness and immediate profit-taking quickly overshadowed the fundamental scorecard. Shares of specialty film manufacturer Garware Hi-Tech tumbled over 12 percent following an extraordinary multi-bagger rally throughout 2026, while industrial wire producer Bansal Wire underwent a sharp intraday reversal, entirely erasing an early 7 percent post-earnings spike to settle 3 percent lower, catching market participants off-guard amidst an otherwise impressive corporate performance.
Garware Hi-Tech Posts Record Revenue, but Standalone Profit Dip Triggers 12% Sell-Off
Garware Hi-Tech Films delivered an exceptional headline performance in the September quarter, with consolidated net profit surging 42 percent year-on-year to ₹129.4 crore compared to ₹91.2 crore in the corresponding period of the previous year. The company's revenue from operations rose 22 percent to an all-time quarterly high of ₹695.5 crore against ₹570 crore in the year-ago period, driven by sustained export and domestic consumption of specialized performance films. On the operational front, earnings before interest, tax, depreciation, and amortization (EBITDA) surged 41.5 percent to ₹169.5 crore, while operating EBITDA margins expanded impressively from 21 percent to 24.37 percent, confirming enhanced pricing power and manufacturing efficiencies. However, market sentiment was quickly dampened by a year-on-year contraction in standalone net profit, which dropped from ₹160 crore to ₹140 crore, raising margin concerns in core domestic operations. Coming on the heels of an explosive run where the stock had already more than doubled in value during calendar year 2026, institutional desks utilized the standalone contraction as a trigger to lock in massive gains, sending the stock tumbling more than 12 percent in heavy-volume deals.
Bansal Wire’s 39.5% Earnings Spike Erased by High-Level Selling as 1-Year Returns Languish
In a parallel market trend, Bansal Wire Industries demonstrated strong fundamental momentum in its second quarter, only to be overwhelmed by relentless distribution at elevated levels. The company reported a 39.5 percent year-on-year jump in consolidated net profit to ₹53 crore against ₹38.3 crore in the corresponding quarter last year, while operational revenue expanded 24 percent to ₹1,308 crore compared to ₹1,055 crore a year earlier. Operating EBITDA advanced 36.3 percent to ₹105 crore from ₹77 crore, with EBITDA margins improving from 7.3 percent to 8 percent, underscoring solid volume throughput across infrastructure and industrial wire segments. Immediately following the earnings disclosure, enthusiastic buying briefly catapulted the stock nearly 7 percent higher; however, persistent market-wide selling and institutional offloading quickly took control, forcing the counter to surrender all intraday gains and close 3 percent in the red. The post-results retreat extends prolonged consolidation for the counter, keeping its trailing one-year return negative at -7 percent as Dalal Street awaits sustained volume expansion before rerating the stock.
