Kirloskar Ferrous Industries reported modest revenue growth in Q1FY27, but profit fell sharply as last year's tax benefit did not repeat and the latest quarter included a one-time loss.
Shares of Kirloskar Ferrous were trading at Rs 453, down 2.40% at 2:45 pm on August 5. The stock hit an intraday high of Rs 476.50 and a low of Rs 438.30, against the previous close of Rs 464.15.
Kirloskar Ferrous Industries Ltd. reported a 65.4% year-on-year decline in consolidated net profit to Rs 82.3 crore for the quarter ended June 2026, compared with Rs 238 crore in Q1FY26.
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The sharp fall in profit needs context. The year-ago quarter included a Rs 108 crore tax write-back, which had boosted reported earnings. Q1FY27, meanwhile, included a one-time loss of Rs 29 crore, making the year-on-year comparison look much weaker.
Revenue from operations increased 4.4% YoY to Rs 1,772 crore, from Rs 1,698 crore a year ago. However, EBITDA remained almost flat at Rs 215 crore, compared with Rs 217 crore in Q1FY26. The EBITDA margin narrowed to 12.1% from 12.8%.
Beyond the headline numbers, KFIL is working on several projects that could shape its earnings over the next few years. The company plans to increase the share of value-added and engineered castings, while expanding its tubes business into large-diameter tubes. It is also targeting higher volumes in castings, tubes and pig iron during FY27.
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Another important project is its renewable-power push. KFIL plans to commission 35 MW of solar and 25 MW of wind capacity, taking renewable power to around 35% of its requirement by the end of FY27. The company has also outlined measures such as pulverised coal injection and oxygen enrichment to reduce production costs.
The company recently secured a $13.51 million order, worth around Rs 128 crore, to supply 30,000 tonnes of pig iron to a London-based buyer, with the latest shipment due by August 15. This provides an additional export opportunity for its pig iron business.
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