Kirloskar Ferrous Industries Limited (KFIL) has announced its unaudited financial results for the third quarter of FY25, showing a 4% year-on-year growth in standalone revenue, which reached Rs. 1,609 crore. The company reported a standalone net profit of Rs. 61 crore despite margin pressures, mainly due to lower realizations on pig iron and steel.
R.V. Gumaste, Managing Director of KFIL, noted that the quarter remained stable, with a positive outlook in the casting and tube businesses, showing early signs of recovery. He highlighted key initiatives such as the commissioning of oxygen enrichment, which optimizes pulverized coal use and reduces coke consumption, and the start of mining operations with an annual capacity of 1.24 lakh MT. Additionally, the completion of Phase II of the Jalna Solar Power Project raised the total capacity to 69 MW DC, supporting the company’s sustainability goals.
In Q3 FY25, the standalone financial performance reflected a moderate revenue growth of 4% year-on-year (YoY), reaching ₹1,609.3 crore. However, profitability metrics saw a decline, with EBITDA falling by 18% YoY to ₹176.6 crore and the EBITDA margin contracting to 11% from 14% in the previous year. Profit before tax (PBT) dropped significantly by 38% YoY to ₹85.0 crore, while profit after tax (PAT) stood at ₹61.2 crore, marking a 35% decline.
For the year-to-date (YTD) FY25 performance on a standalone basis, revenue grew by 5% YoY to ₹4,830.1 crore. Despite this, EBITDA declined by 18% to ₹559.4 crore, with the EBITDA margin shrinking to 12% from 15% YoY. PBT stood at ₹304.4 crore, registering a 32% decrease, while PAT fell by 20% YoY to ₹221.7 crore, reflecting overall margin pressures and cost challenges.
The consolidated financial performance for Q3 FY25 followed a similar trend, with revenue rising by 4% YoY to ₹1,607.6 crore. EBITDA dropped sharply by 25% to ₹173.8 crore, leading to a contraction in the EBITDA margin to 11% from 15% YoY. The impact on profitability was more pronounced, with PBT declining by 47% to ₹78.5 crore and PAT falling by 48% to ₹54.3 crore compared to the same quarter last year.
On a YTD FY25 consolidated basis, revenue reached ₹4,827.3 crore, reflecting a 5% YoY increase. However, EBITDA fell by 20% to ₹554.9 crore, with the EBITDA margin slipping to 11% from 15% YoY. PBT declined by 37% to ₹284.8 crore, while PAT registered a 28% drop, settling at ₹201.7 crore. The financial performance underscores ongoing margin pressures despite steady revenue growth.
Founded in 1991, Kirloskar Ferrous Industries is a major player in India’s castings and pig iron markets. The company serves sectors such as automobiles, tractors, and diesel engines, with manufacturing facilities in Koppal, Hiriyur, and Solapur. KFIL has expanded its capacity in pig iron and casting, including investments in 3D printing and a coke oven facility with waste-heat recovery. The company has also extended its product range to include seamless tubes through its merger with ISMT Steel.
