Elecon Engineering Company Limited experienced a significant downturn in its stock performance on Friday, January 9, 2026, with shares plummeting by nearly 14% after the company disclosed its Q3 FY26 financial results. The share price saw an intraday fall of up to 17% in some instances. The primary triggers for this sharp decline were a substantial 33% year-on-year slump in consolidated net profit, which fell to ₹72 crore for the December quarter from ₹108 crore in the corresponding period last year. Alongside the disappointing earnings, the company also announced a key leadership change: the resignation of its Chief Financial Officer (CFO) and Key Managerial Personnel (KMP), Narasimhan Raghunathan. His departure, effective from the close of business hours on January 31, 2026, was cited as being due to personal or family commitments. While the company's consolidated revenue from operations saw a modest increase of 4.3% to ₹552 crore, against ₹529 crore year-on-year, this growth was overshadowed by compressed operating margins and increased expenses. The Earnings Before Interest, Tax, Depreciation, and Amortisation (EBITDA) also declined by 23.4% to ₹109 crore. The company attributed the muted performance to delays in order inflows, particularly affecting its core gear business, which saw flat revenue growth. Conversely, the Material Handling Equipment (MHE) segment showed some resilience with a 16.3% year-on-year revenue growth. This news, emerging from an Indian capital goods manufacturer, has significant implications for investors in the Indian stock market.