Prakash Industries Ltd has reported a strong financial performance for the quarter ended June 30, 2025, with a consolidated profit after tax (PAT) of ₹914 million and total revenue from operations reaching ₹10.37 billion. The company’s resilience in the face of volatile commodity prices and its strategic focus on operational efficiency have contributed to this solid quarterly outcome.
In parallel, the company has made key leadership appointments aimed at strengthening its governance and accelerating its expansion plans across steel, power, and mining verticals.
Financial Performance Snapshot – Q1 FY26
Total revenue from operations stood at ₹10.37 billion, up from ₹9.85 billion in the same quarter last year
Profit after tax surged to ₹914 million, reflecting a year-on-year growth of over 50 percent
EBITDA margins improved to 18.2 percent, driven by cost optimization and higher steel realizations
Net profit margin for the quarter was 8.8 percent, compared to 6.0 percent in Q1 FY25
Sales volume remained stable at approximately 2.4 lakh tonnes, with a favorable product mix
This performance underscores Prakash Industries’ ability to navigate cyclical headwinds in the steel sector while maintaining profitability.
Segment-Wise Revenue Contribution
Steel Division
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Contributed ₹8.45 billion to total revenue
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Benefited from strong demand in infrastructure and auto sectors
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Average steel realization improved by 6 percent quarter-on-quarter
Power Division
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Revenue contribution of ₹1.12 billion
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Stable generation from captive thermal units
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Improved PLF (Plant Load Factor) at 78 percent
Mining and Raw Materials
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Revenue of ₹800 million
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Continued development of Bhaskarpara coal mine with expected commissioning in Q4 FY26
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Captive iron ore sourcing from Sirkaguttu mine helped reduce input costs
Strategic Appointments and Governance Enhancements
Prakash Industries has announced the appointment of Mr. Rajesh Bansal as Chief Financial Officer (CFO), effective August 10, 2025. Mr. Bansal brings over two decades of experience in corporate finance, having previously served with JSW Steel and Vedanta Resources.
Additionally, the company has inducted Ms. Meera Sinha, a former SEBI official, as Independent Director on its Board. Her expertise in regulatory compliance and ESG governance is expected to enhance board oversight and stakeholder engagement.
These appointments reflect the company’s commitment to transparency, financial discipline, and long-term strategic planning.
Market Reaction and Investor Sentiment
Following the earnings announcement, Prakash Industries’ stock rose 3.6 percent intraday, closing at ₹172.40 on the BSE. The stock has gained 18.5 percent over the past month, supported by strong institutional buying and improved earnings visibility.
Key investor developments:
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Dolly Khanna increased her stake to 3.33 percent in Q1 FY26
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Mukul Agrawal acquired a 1.55 percent stake, signaling confidence in the company’s turnaround story
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Analysts have revised FY26 EPS estimates upward by 12 percent
Outlook and Strategic Priorities
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Prakash Industries is focused on the following growth drivers for FY26:
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Commissioning of Bhaskarpara coal mine to ensure raw material security
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Expansion of steel capacity by 0.5 million tonnes through brownfield upgrades
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Strengthening ESG compliance and carbon footprint reduction initiatives
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Exploring export opportunities in Southeast Asia and Africa
The company aims to achieve ₹45 billion in annual revenue by FY27, with a PAT target of ₹4 billion.
Source: The Economic Times – August 11, 2025 Moneycontrol – August 11, 2025 Prakash Industries Official Website – August 11, 2025
