Bharat gears Limited has announced that CARE Ratings has upgraded the credit ratings on its bank facilities, reflecting improved creditworthiness across multiple facility categories. The rating revision covers bank facilities totaling ₹225 crores and represents a positive development for the automotive components manufacturer.

Rating Upgrades Across Multiple Facilities

The rating upgrades span three distinct categories of bank facilities, with improvements in both long-term and short-term ratings:

Significance of Rating Enhancement

The upgrade from CARE BBB- to CARE BBB for long-term facilities indicates an improvement in the company's credit profile and financial stability. Similarly, the enhancement of short-term ratings from CARE A3 to CARE A3+ across relevant facilities demonstrates strengthened liquidity position and short-term debt servicing capabilities.

Regulatory Compliance and Communication

Bharat Gears Limited communicated this development to both the National Stock Exchange of India Limited and BSE Limited on March 19, 2026, in compliance with Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The company's Corporate Head (Legal) and Company Secretary, Prashant Khattri, signed the official communication to the stock exchanges.

Company Operations Overview

Bharat Gears Limited operates with its registered office and works located at Mathura Road, Faridabad, Haryana, and maintains additional facilities in Mumbai and Mumbra, Maharashtra. The company holds various quality and environmental certifications including ISO 9001, BS OHSAS-18001, and ISO 14001, demonstrating its commitment to operational excellence and regulatory compliance.

Bharat Gears Limited has announced its unaudited financial results for the quarter ended December 31, 2025, demonstrating a strong operational turnaround. The automotive gears manufacturer reported significant improvements across key financial metrics, marking a notable recovery from the previous year's performance.

Financial Performance Overview

The company's quarterly performance showed substantial improvement across all major parameters:

Nine-Month Period Results

For the nine-month period ended December 31, 2025, Bharat Gears demonstrated consistent growth momentum:

Expense Management and Profitability

The company's expense structure for Q3FY26 reflected operational improvements. Cost of materials and components consumed increased to ₹9851.64 lakhs from ₹7850.19 lakhs in Q3FY25. Employee benefits expense rose to ₹3444.10 lakhs compared to ₹2923.74 lakhs in the previous year. Finance costs decreased significantly to ₹336.93 lakhs from ₹430.48 lakhs, indicating improved financial management.

Tax Position and Comprehensive Income

The company reported a total tax expense of ₹84.86 lakhs for Q3FY26, comprising current tax of ₹76.22 lakhs and deferred tax of ₹8.64 lakhs. This contrasted with a tax credit of ₹233.67 lakhs in Q3FY25. Total comprehensive income for the quarter reached ₹260.98 lakhs, including other comprehensive income of ₹4.14 lakhs.

Corporate Developments

The Board of Directors approved the results at their meeting held on February 10, 2026, which commenced at 1:00 PM and concluded at 2:45 PM. The company noted that during the quarter, it received concerns regarding the citizenship status of Chairman and Managing Director Surinder Paul Kanwar. The Board concluded, based on independent legal opinion, that his citizenship status remains unchanged pending any final government direction.

Business Outlook

Bharat Gears operates primarily in the automotive gears business with all activities revolving around this core segment. The company maintains its paid-up equity share capital at ₹1535.51 lakhs with a face value of ₹10 per share. The financial results were reviewed by the statutory auditors Deloitte Haskins & Sells LLP and recommended by the Audit Committee before Board approval.