Press Release

Date: November 04, 2026 To, To, The Manager The Manager Listing Department Corporate Relationship Department National Stock Exchange of India Limited BSE Limited Exchange Plaza, Bandra Kurla Complex Floor 25, Phiroze Jeejeebhoy Towers, Bandra (East), Dalal Street, Mumbai - 400 051 Mumbai - 400 001 NSE Symbol: DIFFNKG BSE Scrip Code - 544264 Dear Sir/Madam, Subject: Press/Media Release for the Un-Audited Financial Results for the quarter and half year ended September 30, 2026 Pursuant to regulation 30 read with Schedule III of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we are enclosing herewith Press/Media Release on the Un- Audited Financial Results for the quarter and half year ended September 30, 2026. The same is also being disseminated on the Company's website at https://diffusionengineers.com/investors-relation/ Thanking You. Yours faithfully, For Diffusion Engineers Limited Chanchal Jaiswal Company Secretary and Compliance Officer Membership no. A67136 Enclosed as above. Diffusion Engineers Limited Media Release Diffusion Engineers Ltd. Continues Strong Momentum Delivers Another Record Quarter with 50.70% Revenue Growth in Q2 FY27  Consolidated Revenue from Operations stood at ₹1,259.34 Mn, up 50.70% YoY  EBITDA increased by 34.51% YoY to ₹166.35 Mn, with EBITDA Margin at 13.21%  Strong order book of ₹2,267.93 Mn as at 30 September 2026, across Heavy Engineering, Wear Plates & Wear Parts, and Welding Consumables H1 FY27 consolidated Revenue from Operations grew 43.73% to ₹2,360.42 Mn; PAT increased 31.21% to ₹294.30 Mn Nagpur, November 2026: Diffusion Engineers Limited (BSE: 544264, NSE: DIFFNKG), a manufacturer of welding consumables, wear plates, wear parts and heavy engineering equipment for core industries in India, announced its unaudited financial results for the quarter and half year ended 30 September 2026. These financial results have been prepared in accordance with Indian Accounting Standards (Ind AS). Key Financial Highlights (₹ in Mn, except EPS): Consolidated Standalone Particulars H1 FY27 H1 FY26 YoY Growth H1 FY27 H1 FY26 YoY Growth Revenue from 2,360.42 1,642.31 43.73% 2,039.91 1,533.33 33.04% Operations EBITDA* 307.89 229.49 34.16% 247.68 198.41 24.83% PAT 294.30 224.30 31.21% 252.17 241.17 4.56% EPS (₹) 7.84 5.95 — 6.75 6.44 — *Consolidated EBITDA excludes other income and share of profit/loss of associates and joint ventures. *Standalone EBITDA excludes other income. Standalone PAT for Q2 FY27 includes other income as reported in the investor presentation. Diffusion Engineers Limited Order Book Status (₹ in Mn): 30 September Type 31 March 2026 Change 2026 Heavy Engineering 1,778.52 1,421.64 356.88 Wear Plates and Wear Parts 239.62 220.08 19.54 Welding Consumables 249.79 99.37 150.42 Grand Total 2,267.93 1,741.09 526.84 Consolidated Standalone Q2 Q2 Q1 Q2 Q2 Q1 Particulars YoY% YoY% FY27 FY26 FY27 FY27 FY26 FY27 Revenue from 1,259.3 835.66 1,101.08 50.70% 1,080.78 799.61 959.13 35.16% Operations 4 EBITDA* 166.35 123.67 141.54 34.51% 126.14 111.86 121.54 12.76% PAT 127.53 101.65 166.77 25.46% 152.38 99.13 99.79 53.72% EPS (₹) 3.39 2.69 4.47 — 4.07 2.65 2.68 — Consolidated Performance Highlights – Quarter and Half Year ended 30 September 2026  Revenue from Operations was ₹1,259.34 Mn in Q2 FY27, compared with ₹835.66 Mn in Q2 FY26, registering year-on-year growth of 50.70%. For H1 FY27, revenue increased 43.73% to ₹2,360.42 Mn from ₹1,642.31 Mn on the back of strong demand across core industrial segments, higher execution levels and a healthy order book.  EBITDA, excluding other income and share of profit/loss of associates and joint ventures, stood at ₹166.35 Mn in Q2 FY27, compared with ₹123.67 Mn in Q2 FY26, an increase of 34.51%. H1 FY27 EBITDA increased 34.16% to ₹307.89 Mn supported by operating leverage from higher volumes, improved execution efficiency and better absorption of fixed costs.  EBITDA Margin stood at 13.21% in Q2 FY27, compared with 14.80% in Q2 FY26. For H1 FY27, EBITDA Margin was 13.04% due to higher Input costs including raw material, energy and logistics.  Profit After Tax stood at ₹127.53 Mn in Q2 FY27, compared with ₹101.65 Mn in Q2 FY26, registering year-on-year growth of 25.46%. H1 FY27 PAT increased 31.21% to ₹294.30 Mn. Diffusion Engineers Limited Standalone Performance Highlights – Quarter and Half Year ended 30 September 2026  Revenue from Operations was ₹1,080.78 Mn in Q2 FY27, compared with ₹799.61 Mn in Q2 FY26, registering year-on-year growth of 35.16%. H1 FY27 revenue increased 33.04% to ₹2,039.91 Mn due to healthy demand across core industrial segments, improved execution capabilities and a strong order book .  EBITDA, excluding other income, stood at ₹126.14 Mn in Q2 FY27, compared with ₹111.86 Mn in Q2 FY26, an increase of 12.76%. H1 FY27 EBITDA increased 24.83% to ₹247.68 Mn on account of higher operating volumes and better execution, supported by operating leverage.  EBITDA Margin stood at 11.67% in Q2 FY27, compared with 13.99% in Q2 FY26. For H1 FY27, EBITDA Margin was 12.14% due to higher input costs including Raw materials, logistics and energy costs mainly due to macro economic and geopolitical issues  Profit After Tax stood at ₹152.38 Mn in Q2 FY27, compared with ₹99.13 Mn in Q2 FY26, registering year-on-year growth of 53.72%. H1 FY27 PAT increased 4.56% to ₹252.17 Mn for the same reason as above, though the business delivered stronger operational performance. Management Comment: Commenting on the Company’s performance, Mr. Prashant Garg, Chairman & Managing Director, Diffusion Engineers Limited, said: “The Company delivered a strong performance during Q2 FY27, with Revenue from Operations growing by 50.70% year-on-year to ₹1,259.34 Mn. EBITDA increased by 34.51% to ₹166.35 Mn, while Profit After Tax grew by 25.46% to ₹127.53 Mn. This performance reflects sustained demand across our business segments and the continued strength of our business fundamentals. Geopolitical uncertainties and disruptions in global supply chains have led to an increase in input costs. Rising energy and logistic costs further added to the cost pressures, impacting operating margins. Despite these challenges, the Company continues to focus on operational efficiencies, cost optimisation and improved resource utilisation to maintain healthy profitability. Diffusion Engineers Limited Our diversified business portfolio, comprising welding consumables, wear protection solutions and specialised engineering services, continues to provide a strong foundation for growth. We remain focused on strengthening customer relationships and expanding our presence across industrial applications. We are pleased to share that the major capital expenditure undertaken by the Company is nearing completion. These investments are expected to progressively contribute to enhanced manufacturing capacity, improved operational efficiencies and stronger execution capabilities, supporting our next phase of growth. Innovation and product development remain important priorities. We continue to develop new products, upgrade existing solutions and strengthen our technological capabilities to address evolving customer requirements and create new business opportunities. Looking ahead, while geopolitical developments, input cost volatility and rising energy prices remain areas of focus, we remain optimistic about the Company's long-term growth prospects. With capacity expansion nearing completion, continued product innovation and a strong customer base, we believe the Company is well positioned to capitalize on emerging opportunities. We remain committed to sustainable and profitable growth, operational excellence and long-term value creation for all stakeholders. I sincerely thank our employees, customers, suppliers, bankers and shareholders for their continued trust and support” About Diffusion Engineers Limited Our Company incorporated in 1982, pioneer in advanced manufacturing of welding consu [Showing first 8,000 characters — download PDF for full document]