TJL Earnings Review 3Q FY26 | Bartleet Religare Securities 📉 Earnings Under Pressure, Recovery Hinges on Cost Efficiencies 🔻 3Q FY26: Net loss of LKR 504.4mn vs. profit of LKR 978.3mn in 3Q FY25, driven by 16% YoY revenue decline to LKR 14.4bn amid lower volumes and pricing pressure. 📉 Gross margin 5.3% | EBIT margin -3.5% (vs. 13.1% | 9.0%), impacted by lower utilization (67%) and restructuring costs. 📘 Outlook: FY27E recovery expected to be gradual and driven by cost-reduction initiatives, with weak demand and pricing pressure persisting; order book improvement expected from 2H FY27E onwards, supporting a slow pickup in volumes. 📈 Recommendation: • TJL.N – SELL | TP: LKR 30.00