Kirloskar Brothers reported a slight 0.78% dip in consolidated revenue to ₹10.28 billion for Q2 FY26. The net profit declined 25.8% to ₹710 million, reflecting margin pressures. EBITDA fell by 23.7% and margins contracted by 317 bps, signaling operational challenges amid a tough market environment.
Kirloskar Brothers Limited announced its Q2 financial results for FY25-26, highlighting a near-flat consolidated revenue of ₹10.28 billion, down marginally by 0.78% year on year. However, the net profit witnessed a sharper decline of 25.8% to ₹710 million from ₹957 million in the previous year’s corresponding quarter.
The drop in profitability was accompanied by a 23.7% decrease in EBITDA to ₹1.08 billion and a contraction of EBITDA margin by 317 basis points to 10.55%. The company operates primarily in the fluid machinery sector, serving both domestic and international markets, with revenues of ₹6.58 billion in India and ₹3.7 billion from abroad.
Despite the modest revenue decline, the results indicate market and margin pressures likely stemming from inflationary costs, pricing pressures, and competitive dynamics. The company remains focused on operational efficiency and market expansion to recover margins and profitability in coming quarters.
Key Highlights:
Consolidated revenue slightly declined 0.78% to ₹10.28 billion in Q2 FY26
Net profit declined 25.8% to ₹710 million, highlighting margin challenges
EBITDA decreased by 23.7%; EBITDA margin contracted by 317 bps to 10.55%
Domestic revenue contributed ₹6.58 billion; international ₹3.7 billion
Operational and market headwinds impacted profitability
Kirloskar Brothers focuses on efficiency and expanding market presence
Investors closely watch future quarters for margin recovery and growth
Sources: CNBC TV18, Scanx Trade, Reuters, Moneycontrol