Bharat Forge , a global leader in advanced forging and precision engineering, has secured a long-term contract with Embraer, the Brazilian aerospace manufacturer, for the manufacturing and supply of critical landing gear forgings — becoming the first Indian supplier of forged components to enter Embraer's global aerospace supply chain. The agreement was announced on May 11, 2026, and marks a significant milestone for India's advanced manufacturing sector.

A Landmark Aerospace Contract

Under the long-term agreement, Bharat Forge will supply high-integrity forged components for landing gear systems across Embraer's commercial and defence aircraft programs. The contract reflects a shared commitment to quality, reliability, and long-term collaboration, while underscoring Bharat Forge's capabilities in delivering forged products that meet stringent global certification standards.

Leadership Commentary

Commenting on the development, Mr. Amit B Kalyani, Vice Chairman & Joint MD, Bharat Forge Limited, stated: "The fact that BFL is the first Indian supplier of forged components for Embraer is a proud moment & a testament to the capabilities we have built in the Aerospace business and we thank them for the trust they have reimposed on BFL. We look forward to growing and adding value to our association with Embraer in the coming years. These contracts will enable to create scale for critical structural components complementing the scale built in the Aero Engine components space."

Embraer also acknowledged the strategic importance of the partnership, noting that this first contract signed with an Indian company reflects its commitment to advancing the aerospace ecosystem in India and creating long-term value across the entire supply chain. The development comes as Embraer continues to expand its presence in India and maintain active dialogue with local industry leaders and government stakeholders.

Significance for India's Aerospace Supply Chain

This agreement establishes a precedent for Indian manufacturers supplying safety-critical forged components to global aerospace original equipment manufacturers. Bharat Forge's Aerospace Division is dedicated to the design, development, and manufacturing of critical aerospace components, with deep expertise in forging, precision machining, and sub-assembly integration. The contract reinforces Bharat Forge's expanding role in the global aerospace supply chain and strengthens its position as a trusted partner for complex, safety-critical components.

Bharat Forge Limited 's Board of Directors, at its meeting held on May 7, 2026, approved the audited standalone and consolidated financial results for the quarter and year ended March 31, 2026. The extracts of these results were subsequently published in the Financial Express (all editions) and Loksatta (Pune edition) on May 8, 2026, in compliance with Regulation 30 and 47 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Board recommended a final dividend of ₹6.50 per equity share of face value ₹2 each (325%) for FY26, subject to shareholder approval at the Annual General Meeting scheduled for August 11, 2026. The company also announced the re-appointment of Mr. Ashish Bharat Ram as Non-Executive Non-Independent Director for a term of five years effective September 1, 2026.

Consolidated Financial Performance

Bharat Forge reported consolidated revenue from operations of ₹168,116.53 million in FY26, up from ₹151,228.03 million in FY25. Consolidated profit before exceptional items and tax stood at ₹18,216.15 million, compared to ₹16,128.90 million in the previous year. After accounting for exceptional items of ₹1,544.43 million, profit before tax was ₹16,671.72 million. Consolidated net profit for FY26 increased to ₹10,893.98 million from ₹9,132.75 million in FY25. Basic and diluted earnings per share (EPS) for the year were ₹22.58, compared to ₹20.05 in FY25. During the earnings conference call, CFO Kedar Dixit noted that the company ended the year with revenues of ₹16,812 crores and EBITDA of ₹2,921 crores, representing growth of 11% in revenues and approximately 6% in EBITDA. Consolidated net debt-to-equity stood at 0.41x as of March 2026.

For Q4 FY26, consolidated revenue from operations was ₹45,280.43 million versus ₹38,526.04 million in Q4 FY25. Net profit for the quarter stood at ₹2,334.48 million, down from ₹2,826.24 million in the prior year, impacted by exceptional losses of ₹987.28 million. The consolidated net worth stood at ₹95,798.40 million, with paid-up debt capital of ₹1,248.26 million and a debt equity ratio of 0.72.

Key Balance Sheet & Coverage Metrics (Consolidated)

The published financial extract also disclosed key balance sheet and coverage metrics for the year ended March 31, 2026, providing further context on the company's financial position.

Standalone Financial Performance

On a standalone basis, revenue from operations for FY26 was ₹83,956.78 million, compared to ₹88,437.30 million in FY25. The standalone business reported a revenue of ₹8,396 crores, which was lower by approximately 5% year-over-year, mainly on account of regulatory uncertainties in North America and demand challenges in the U.S. commercial vehicle market. Standalone EBITDA for FY26 was ₹2,312 crores, translating to an EBITDA margin of 27.50%. Profit before exceptional items and tax was ₹18,208.10 million versus ₹19,720.78 million in FY25. The standalone results were significantly impacted by exceptional items of ₹5,495.85 million, largely due to an impairment of investment in Kalyani Powertrain Limited amounting to ₹4,996.50 million. Consequently, standalone net profit for FY26 declined to ₹8,187.41 million from ₹13,222.51 million in the prior year. Standalone EPS for FY26 was ₹17.12 compared to ₹28.16 in FY25. The balance sheet remained robust with net debt-to-equity at 0.18x for the year.

For Q4 FY26, standalone revenue was ₹22,604.49 million versus ₹21,630.29 million in Q4 FY25, up 8.50% quarter-over-quarter, driven by recovery in exports and strong performance in the domestic automotive segment. Q4 EBITDA was ₹610 crores, translating to an EBITDA margin of 27%, which included a one-time retrospective sub-cess charge of approximately ₹11 crores by MSEDCL on captive power. The quarter recorded a standalone net loss of ₹1,177.57 million, compared to a net profit of ₹3,456.25 million in Q4 FY25, primarily due to exceptional items of ₹4,929.64 million. PBT before exceptional items for the quarter was approximately ₹486 crores. The company also absorbed a tariff impact of approximately ₹12 crores during the quarter.

Segment-Wise Performance

The Forgings segment remained the largest contributor, with revenue of ₹139,285.82 million in FY26. The Others segment reported a significant increase in revenue to ₹21,698.12 million from ₹9,519.96 million in FY25. The Defence segment revenue stood at ₹17,571.72 million. Management disclosed that full-year defense revenue for FY26 was ₹1,562 crores. The aerospace business, now a meaningful part of industrial exports, contributed approximately ₹400 crores in FY26 and represented approximately 26% of non-auto industrial exports in Q4 FY26, making it the second largest contributor to industrial exports.

Overseas Operations

The European Union operations registered revenue of ₹3,865 crores and EBITDA of ₹151 crores, resulting in an EBITDA margin of 4%, while U.S. operations recorded revenue of ₹1,534 crores and EBITDA of ₹54 crores, translating to an EBITDA margin of 3.50%. The company has initiated restructuring of its German steel business, CDP Bharat Forge, which is expected to be completed by the end of the next calendar year. Management indicated that losses from the overseas subsidiaries are expected to improve as the CDP restructuring progresses.

New Business Wins & Order Book

During FY26, the company secured new businesses worth ₹4,814 crores across key business segments. The defense order book stood at close to ₹11,000 crores, providing stable revenue visibility over the next 3 to 4 years. Management highlighted that key defense milestones for the current year include the ATAGS Field Operability Performance Milestone (FOPM) and subsequent production ramp-up, as well as production of the CQB carbine. The company is also planning to set up an explosives manufacturing facility in Andhra Pradesh, with groundbreaking planned for the near term, construction expected to begin by the end of the current year, and pilot production anticipated within approximately 24 months thereafter.

Corporate Developments & Strategic Initiatives

The company completed the acquisition of AAM India Manufacturing Corporation Private Limited (renamed K Drive Mobility Solutions Private Limited) on July 1, 2025, for ₹7,474.16 million. K Drive has won new business from OEMs and management indicated a potential 2x growth in the business over the next 3 to 4 years, targeting mid-teens EBITDA margins. Bharat Forge also acquired a 30% stake in Fortuna Engineering, a Nashik-based machining company, for ₹130 crores. Fortuna Engineering has a revenue of approximately ₹380 crores and a net cash position of approximately ₹20 crores, and is strategically complementary given its focus on machining of connecting rods and other high-value components. Additionally, JSA, the company's castings unit, raised external capital from Premji Invest to drive capacity expansion and position the business as an independent growth driver, with management describing it as a potential multi-thousand crore business. The Board also approved the re-appointment of Mr. Ashish Bharat Ram as Non-Executive Non-Independent Director for five years from September 1, 2026. The company noted that it has taken write-offs on certain e-mobility investments where near-term revenue ramp-up is not anticipated, citing a global recalibration of EV strategies. The full format of the financial results is available on the stock exchange websites ( www.bseindia.com and www.nseindia.com ) as well as on the company's website at www.bharatforge.com . The transcript of the Analyst/Investor Conference Call held on May 7, 2026, is also available on the company's website.