Kirloskar Industries announced its financial results for the third quarter on February 10, showing a 46.3% decline in net profit, which dropped to ₹79.5 crore compared to ₹148 crore in the same quarter last year. Revenue for the quarter rose by 4%, reaching ₹1,613.5 crore, up from ₹1,553.5 crore in Q3 of the previous fiscal year.
The company’s earnings before interest, tax, depreciation, and amortization (EBITDA) saw a 24.6% decrease, falling to ₹172 crore from ₹228.3 crore a year earlier. This led to a contraction in EBITDA margin to 10.7%, down from 14.7% in the December quarter of the previous year.
In the previous quarter, Kirloskar Industries had reported a 9.2% rise in net profit, totaling ₹49.7 crore, up from ₹45.5 crore in the same period last year. The company also saw a 7% increase in revenue, reaching ₹1,687.7 crore from ₹1,578 crore. Despite this, EBITDA for the second quarter had fallen by 19.6% to ₹211.7 crore, compared to ₹263.2 crore in Q2 of the previous year, resulting in a significant drop in margin to 12.5% from 16.7%.
Commenting on the Q3 and nine-month results, Aditi Chirmule, Executive Director of Kirloskar Industries Limited (KIL), stated, “KIL has maintained a stable performance this quarter, with significant progress across its subsidiaries. Notably, Kirloskar Ferrous Industries Limited (KFIL) commissioned a 69 MW DC solar plant in Jalna, Maharashtra, and initiated coal mining operations with an annual permitted extraction of 1.24 lakh metric tons.
In the real estate sector, Avante Spaces Limited (Avante) continues to make steady headway on its 1.6 million square foot commercial project in Pune. Additionally, Deepak Porayath has been appointed as CEO of Avante in February, bringing strategic leadership to advance the company’s real estate vision.”
Kirloskar Industries Ltd. is a publicly listed entity on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE). Incorporated in 1978, the company is actively engaged in wind power generation and has diversified into real estate development through its wholly owned subsidiary, Avante Spaces Limited. Additionally, KIL invests in securities of group companies and operates commercial rental properties as part of its portfolio.
