For 3QFY2016, Elecon Engineering reported a disappointing set of numbers on both the standalone and consolidated basis. The standalone top-line grew by 6.0% yoy to `120cr while the EBITDA margin declined by 891bp yoy mainly on account of unfavorable revenue mix involving bulk of the shipments of low margins. The consolidated top-line grew by 10.6% on a yoy basis to `330cr mainly led by the overseas business and growth in the Material Handling Business (MHE) business. But the EBITDA margin deteriorated sharply by 872bp yoy to 2.8%, mainly owing to a spike in raw material cost and other expenses. The company has reported higher other income on its standalone business related to profits from sale of land amounting to ~`22cr, adjusting for which, the standalone bottom-line declined by 66.3% yoy to `2cr. On the consolidated basis, the bottom-line after adjusting for the above mentioned exceptional gains and minority interest reported a loss of `11cr. Recovery in capex taking longer than expected, long term prospects intact: The performance of the MHE business of the company has remained under pressure on account of delay in capex in the core sectors and due to slower execution at customer level. On the other hand,...