GNA Axles filed its Business Responsibility and Sustainability Report for FY26, highlighting the expansion of its renewable energy capacity and detailing its environmental and social governance metrics. The filing, submitted to BSE Limited and the National Stock Exchange of India, covers the financial year 2025–26 and forms part of the company's 33rd Annual Report.

Sustainability Initiatives

The company reported a total installed solar power generation capacity of 6 MW as of the close of the financial year. Additionally, GNA Axles initiated a solar park project at Thikriwal village in Kapurthala district, Punjab, with a planned power generation capacity of 10 MW. These initiatives are part of the company's broader strategy to increase renewable energy adoption and support sustainable energy management across its operations.

Operational and Financial Metrics

GNA Axles operates two manufacturing plants and one office nationally, serving 30 states and 12 international markets. The contribution of exports to the total turnover during the reporting period was 45.91%. The company’s paid-up capital stands at ₹429,308,000. Manufacturing activities, which account for 100% of the turnover, include the production of axle shafts, spindles, and other shafts.

Workforce Composition

As of the end of FY26, the company employed a total of 515 employees and 2,148 workers. The workforce includes 484 male employees and 31 female employees, while the worker count comprises 1,999 males and 149 females. The Board of Directors consists of 12 members, with female representation at 8.33%. There were no differently abled employees or workers reported during the year.

Environmental Performance

The company reported total energy consumption of 485,087.04 GJ for the current financial year, with energy intensity per ₹ of turnover recorded at 3.28 GJ. Total Scope 1 and Scope 2 greenhouse gas emissions were 1,657.22 tCO2e and 85,886.64 tCO2e, respectively. GNA Axles maintains a zero liquid discharge system, treating and repurposing all industrial wastewater for irrigation. The company confirmed compliance with all applicable environmental laws and regulations in India.

Governance and Stakeholder Engagement

GNA Axles has established policies covering eight of the nine National Guidelines on Responsible Business Conduct (NGRBC) principles. The Board of Directors is responsible for decision-making on sustainability-related issues. During the year, the company received 14 shareholder complaints, of which one was pending resolution at the close of the year. There were no reported instances of fines, penalties, or product recalls.

GNA Axles Limited reported a 9.22% increase in net profit to ₹116.99 crore for the financial year ended March 31, 2026, despite a 4% decline in revenue. The company’s revenue from operations decreased to ₹1,478.42 crore from ₹1,539.74 crore in the previous year, primarily due to lower export sales impacted by tariffs imposed by the United States. However, domestic sales increased by 13.94%, driven by robust demand from the tractor segment.

Profit before tax rose by 9.31% to ₹157.70 crore. The company’s EBITDA for the year stood at ₹237.99 crore, with an EBITDA margin of 16.10%. The Board of Directors has recommended a dividend of ₹3 per equity share, subject to shareholder approval at the upcoming Annual General Meeting.

Financial Performance

The company’s financial performance for the year reflects improved operational efficiency and cost control measures. While export sales faced headwinds, the domestic market provided resilience with strong demand from the commercial vehicle and tractor segments.

Operational Highlights

GNA Axles sold 40.83 lakh rear axle shafts, 9.42 lakh spindles, and 4.68 lakh other shafts during the year. The company continues to focus on expanding its presence in higher-margin segments such as light vehicles and passenger vehicles. It also enhanced its rooftop solar capacity to 6 MW during the year as part of its sustainability initiatives.

Corporate Governance

The company’s statutory auditors, M/s G S Syal & Co., issued an unmodified opinion on the financial statements. The Board met four times during the year. The 33rd Annual General Meeting is scheduled to be held on June 30, 2026, through audio-visual means.