Kirloskar Ferrous Industries Limited (KFIL) has published its Annual Report for the financial year 2025-2026, covering the period from April 1, 2025 to March 31, 2026. The report reflects performance across the company's integrated ferrous manufacturing operations spanning pig iron, castings, steel, and seamless tubes, and includes the financial impact of the merger of wholly owned subsidiaries Oliver Engineering Private Limited (OEPL) and Adicca Energy Solutions Private Limited (AESPL) with effect from April 1, 2025, following approval by the Hon'ble National Company Law Tribunal (NCLT) on June 2, 2026.

Key Financial Performance (Standalone)

KFIL reported standalone net sales of ₹6,888.57 Crores for FY2026, compared to ₹6,564.22 Crores in FY2025. Total income stood at ₹6,950.93 Crores against ₹6,613.91 Crores in the prior year. The following table summarises the key standalone financial metrics:

The exceptional item of ₹17.66 Crores relates to the statutory impact of the new Labour Codes notified by the Government of India on November 21, 2025, reflecting changes in wage definition affecting gratuity and compensated absences.

Segment-Wise Sales Performance

All four major business segments recorded volume growth or value improvement during FY2026. The castings business demonstrated the strongest volume growth, while the tubes segment expanded both volumes and value. The following table presents segment-wise sales data:

In the castings business, the company maintained market leadership in the domestic segment, with volume growth of approximately 15% year-on-year. Pig iron sales realisation declined by approximately 6% from around ₹40,600 per MT in FY2025 to around ₹38,000 per MT in FY2026 due to margin pressure, partially offsetting volume gains. The tube business recorded growth across automotive, bearing, and power sectors, with exports growing from 5.5% to 8.2% of total tube sales. The steel business grew by over 17%, with bearing steel constituting 70% of the business and the auto segment constituting 25%.

Decade at a Glance: Key Performance Indicators

The following table presents selected KPIs from the company's ten-year financial summary (all figures in INR Crores unless stated otherwise):

Dividend and Capital Structure

The Board of Directors declared an interim dividend of ₹3.00 per equity share of ₹5 each (60%) on February 10, 2026, paid on March 2, 2026. The Board has further recommended a final dividend of ₹3.00 per equity share of ₹5 each (60%) for approval at the 35th Annual General Meeting, bringing the total dividend for FY2026 to ₹6.00 per equity share (120%). The dividend amount (including both interim and proposed final) aggregates to ₹98.95 Crores.

As at March 31, 2026, the issued, subscribed and paid-up share capital of the company stands at ₹82.46 Crores comprising 16,49,21,643 equity shares of ₹5 each. During FY2026, 3,04,305 equity shares were allotted pursuant to the KFIL Employee Stock Option Schemes. ICRA Limited has assigned a long-term rating of 'ICRA AA (Stable)' and a short-term rating of 'ICRA A1+' for the company's fund-based and non-fund-based facilities.

Merger of Subsidiaries and Corporate Developments

A significant corporate event during FY2026 was the NCLT-approved merger of Oliver Engineering Private Limited and Adicca Energy Solutions Private Limited with KFIL, with an appointed date of April 1, 2025. The scheme became operative on June 11, 2026. Oliver Engineering's Rajpura facility commenced commercial production in Q1 FY2026 and recorded sales volumes of 1,602 MT in Q1, 3,311 MT in Q2, 3,434 MT in Q3, and 3,977 MT in Q4. The facility utilises 80% green sand in its sand plant and incorporates 45% recycled scrap in the melt shop. Additionally, ISMT Enterprises SA, Luxembourg, a wholly owned subsidiary, was formally dissolved and deregistered from the Luxembourg Trade Registry with effect from September 1, 2025.

Environmental, Safety, and ESG Highlights

FY2026 was described as the most significant year of environmental investment for KFIL, with ₹100 Crores spent across air emission control, fume extraction, effluent treatment, and green belt development. The company currently operates 51.5 MW of captive power generation through waste heat recovery boilers and turbo generators, a 70 MW DC captive solar plant at Jalna, and a 12 MW solar plant at Solapur. Total Scope 1 emissions for FY2026 stood at 16,85,981 metric tonnes of CO2 equivalent, and Total Scope 2 emissions at 1,75,478 metric tonnes of CO2 equivalent. The Jejuri steel plant received Green Steel Certification and DNV verification for Product Carbon Footprint of billets and rolled bars under ISO 14067:2018. The Lost Time Injury Frequency Rate (LTIFR) for employees improved to 1.29 in FY2026 from 2.80 in FY2025. CSR investment for FY2026 totalled ₹9.41 Crores, covering education, health and hygiene, environment, and rural development.

Annual General Meeting and Key Resolutions

The 35th Annual General Meeting is scheduled for Wednesday, August 5, 2026 at 4:00 p.m. (IST) through Video Conferencing or Other Audio Visual Means. Key agenda items include adoption of audited financial statements for FY2026, confirmation of interim dividend and declaration of final dividend, reappointment of Mr. Nishikant Balakrishna Ektare as Executive Director (Operations), ratification of cost auditor remuneration, approval for issuance of non-convertible debentures up to ₹1,000 Crores on private placement basis, reappointment of Mr. Sathya Moorthy Venkataramani as Independent Director for a term up to October 21, 2031, and appointment of Mrs. Pallavi Pratap Gokhale as Independent Director for a term up to June 11, 2031. The record date for dividend payment is July 17, 2026, and the dividend payment date is on or before August 13, 2026.

Kirloskar Ferrous Industries held a meeting with representatives of Molecule Ventures on June 18, 2026. The discussion focused on the operational overview of the company. The disclosure was made pursuant to Regulation 30 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Meeting Details

The meeting was classified as a 1x1 interaction with an institutional investor, analyst, or financial institution. The company confirmed that no unpublished price sensitive information was discussed during the session.

The intimation was submitted to BSE Limited by Mayuresh Vinayak Gharpure, Company Secretary of Kirloskar Ferrous Industries .