Kirloskar Pneumatic Company Ltd has filed its Business Responsibility and Sustainability Report (BRSR) for the financial year 2025-26, obtaining reasonable assurance on core indicators from BDO India Services Private Ltd. The report outlines the company's environmental, social, and governance performance, including a significant increase in renewable energy usage and the maintenance of safety standards across its operations.

The company reported that renewable energy sources accounted for 15% of its total electricity requirement during FY26, up from 1.5% in FY23. Total energy consumption stood at 71,065.63 GJ, while total Scope 1 and Scope 2 greenhouse gas emissions were recorded at 11,282.03 metric tonnes of CO2 equivalent. The company achieved zero fatalities for the reporting period, with a Lost Time Injury Frequency Rate (LTIFR) of 0.18 for employees and 0 for workers.

ESG Commitments and Governance

Kirloskar Pneumatic has established specific ESG targets for 2030 to accelerate its sustainability journey. These commitments include increasing renewable energy usage to 50% of total energy requirements, achieving 100% waste recycling with zero waste to landfill, and reducing water consumption by 25% to attain Zero Liquid Discharge (ZLD) status. On the social front, the company aims to maintain zero fatal accidents and achieve a diversity of 12% female employees and 3% differently abled personnel by 2030.

The Managing Director oversees the implementation of Business Responsibility policies, reporting progress to the Board. The company has constituted a Core ESG Committee, an Environment Conservation Committee (EnCon), and a War on Waste Committee (WoW) to drive key ESG initiatives. Governance structures include a majority independent Board and active committees overseeing audit, risk management, and stakeholder relations.

Operational and Financial Metrics

The company’s operations span three plants and 11 offices nationally, with a presence in 27 countries. Exports contributed 6% to the total turnover. The workforce comprised 1,050 employees and 878 workers as of March 31, 2026. Women represented 8% of the total workforce and 12.50% of the Board of Directors.

The table below summarizes key operational and financial metrics disclosed in the report:

Stakeholder Engagement and Materiality

Kirloskar Pneumatic identified 12 material issues through a reassessment conducted by an independent third-party agency. Key focus areas include business ethics, human capital development, occupational health and safety, innovation, and climate action. The company engages with stakeholders through various channels, including annual general meetings, supplier meets, and CSR initiatives.

The report also details the company's value chain disclosures, covering partners contributing to 2% of purchases or sales value, cumulatively covering up to 75% of total value. The assurance engagement covered the company's standalone operations for the period from April 1, 2025, to March 31, 2026.

Kirloskar Pneumatic Company Limited has fixed Friday, July 3, 2026, as the record date to determine shareholder eligibility for a final dividend of ₹8.50 per equity share for the financial year ended March 31, 2026. The dividend, amounting to 425%, was recommended by the Board at its meeting on April 27, 2026, and is subject to approval by Members at the upcoming Annual General Meeting (AGM). If declared, the payout will be made on or after July 21, 2026, subject to tax deduction at source where applicable.

The 51st AGM is scheduled for Tuesday, July 21, 2026, at 3.00 p.m. IST via Video Conferencing (VC) or Other Audio Visual Means (OAVM). The facility for remote e-voting will be available from Saturday, July 18, 2026, at 9.00 a.m. IST to Monday, July 20, 2026, at 5.00 p.m. IST. Shareholders eligible to vote and attend the meeting will be determined based on a cut-off date of Tuesday, July 14, 2026. The e-voting and AGM attendance facilities are managed through the National Securities Depository Limited (NSDL).

Dividend payments will be credited to beneficial owners based on data provided by NSDL and the Central Depository Services (India) Limited as of the close of business hours on the record date. For physical shareholders, the payout will be processed after valid transmission or transposition requests are completed. Members attending via VC or OAVM will be counted for quorum purposes under Section 103 of the Companies Act, 2013.

The company stated that dividend income is taxable in the hands of members, requiring tax deduction at source (TDS) as per the Income-Tax Act, 2025. To ensure correct TDS rates, members must submit prescribed documentation to the Registrar & Share Transfer Agent via a specific weblink or email by July 5, 2026. Resident shareholders without a registered or valid Permanent Account Number (PAN), or those who have not linked PAN with Aadhaar, will face TDS deduction at a higher rate of 20%.

Key AGM and Dividend Details