Kamdhenu reported a record net profit after tax (PAT) of ₹28.69 crore for the quarter ended June 30, 2026 (Q1FY27), marking a 34% year-on-year increase from ₹21.42 crore in the corresponding period last year. The steel products manufacturer also posted its highest-ever profit before tax (PBT) of ₹36.43 crore, driven by a 9% rise in revenue from operations to ₹213.35 crore and a significant surge in other income. The Board of Directors explicitly noted during its meeting on July 29, 2026, that the company has achieved the highest-ever PBT and PAT in its history, underscoring strong operational execution and margin expansion.

The unaudited financial results were approved by the Board following a limited review by statutory auditors S S Kothari Mehta & Co. LLP. The results were prepared in accordance with Indian Accounting Standards (Ind AS) and Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Kamdhenu also announced the convening of its 32nd Annual General Meeting (AGM), with further details to be communicated separately.

Financial Performance Highlights

Kamdhenu’s top-line growth was accompanied by robust bottom-line expansion. Total revenue from operations rose to ₹213.35 crore from ₹195.78 crore in Q1FY26. This growth was supported by higher sales from own facilities and increased franchisee volumes. Profit before tax margin expanded significantly to 17.1%, up from 14.6% in the previous year’s first quarter. Earnings per share (basic) stood at ₹1.02, up from ₹0.76 in Q1FY26.

Operational Drivers and Income Composition

The surge in profitability was fueled by volume growth across both manufacturing and franchise channels. Volume from own facilities increased by 6% to 31,900 metric tons, while franchisee volumes grew by 9% to 10.3 lakh metric tons. Satish Kumar Agarwal, Chairman & Managing Director, attributed this to strong execution and the resilience of the branded business model. He noted that Southern India remains a key strategic focus for expanding market share.

A notable component of the quarter's performance was the rise in other income to ₹17.39 crore from ₹8.62 crore in Q1FY26. This increase was primarily driven by unrealized and realized gains on investments measured at fair value through profit or loss, which totaled ₹15.91 crore for the quarter. This contrasts sharply with the previous quarter, where such investments resulted in a loss of ₹11.38 crore.

What the Numbers Show

The expansion in PBT margin from 14.6% to 17.1% indicates effective cost management alongside volume growth. However, management noted that PBT during the quarter included an additional ~₹1.76 crore of legal expenses and ~₹3 crore of fuel costs due to the impact of the West Asia war. Excluding these one-off items, PBT growth would have been 44% YoY. The disproportionate rise in other income highlights the volatility of investment returns, which contributed significantly to the record PAT figure. With over 12,500 dealers and 500 distributors, the brand’s ability to drive growth through partners rather than just heavy capex underscores its operational leverage. Investors should monitor whether the new solar plant’s projected savings materialize as stated, further enhancing bottom-line resilience against energy cost volatility.

Kamdhenu Limited reported a 10.1% year-over-year increase in total sales volume to 11,31,983 MT for Q1 FY27, driven by strong performance across its franchisee network. Alongside the sales growth, the company successfully commissioned a 5 MW solar power plant in Rajasthan to enhance clean energy consumption and achieve annual electricity cost savings of around ₹4-5 crores.

Q1 FY27 Sales Performance

The company's operational performance for the quarter ended June 30, 2026, highlights growth in its asset-light business model. Total sales under the Kamdhenu Brand, including company sales, franchisee partners, and billets, reached 11,31,983 MT compared to 10,28,184 MT in the corresponding period of the previous year.

Kamdhenu Limited continues to strengthen its position through its branding and marketing of steel products, supported by a network of over 12,500 dealers operating under the "KAMDHENU" brand.

5 MW Solar Power Plant Commissioned

In June 2026, the company commissioned a 5 MW Solar Power Plant at Tehsil-Dechu, District-Phalodi, Rajasthan. This initiative aims to reduce dependence on conventional power sources and improve operational efficiency. The project supports the company's commitment towards Green-steel, sustainable growth, and environmental stewardship.