KPT Industries Limited reported a 13.3% decline in net profit to ₹1,206.79 lakh for the financial year ended March 31, 2026, compared to ₹1,392.69 lakh in the previous year. Revenue from operations rose 4.6% to ₹17,377.28 lakh from ₹16,605.12 lakh in FY25. The company's Board of Directors approved the audited financial results for the quarter and year ended March 31, 2026, in a meeting held on May 29, 2026.

For the quarter ended March 31, 2026, the company recorded a net profit of ₹282.71 lakh, a decrease from ₹301.09 lakh in the corresponding period of the previous year. Revenue from operations for the quarter stood at ₹6,006.53 lakh, up from ₹3,969.17 lakh in Q4FY25. The results were reviewed by the Audit Committee and subsequently approved by the Board.

The financial performance included an exceptional item regarding the impact of the New Wage Code on employee benefit expenses. The company recognized an additional provision of ₹55.04 lakh for the year ended March 31, 2026, following the notification of four labour codes by the Government of India on November 21, 2025. This expense arose from immediate recognition of past service costs as required by Ind AS 19.

Financial Performance

The company's total expenditure for FY26 increased to ₹15,763.27 lakh from ₹14,775.14 lakh in the prior year. Key expenditure components included the purchase of stock in trade at ₹7,021.04 lakh and employee benefit expenses at ₹1,790.79 lakh. Finance costs decreased to ₹344.15 lakh from ₹461.84 lakh in FY25.

Segment Performance

Revenue from the Power Tools segment for FY26 was ₹11,442.02 lakh, while the Blowers segment contributed ₹4,246.04 lakh. The E-Vehicles segment generated revenue of ₹1,637.84 lakh. The Windmills segment reported revenue of ₹51.36 lakh. Segment profit before tax and interest was highest for Power Tools at ₹1,573.84 lakh, followed by Blowers at ₹747.67 lakh and E-Vehicles at ₹496.99 lakh.

Dividend Declaration

The Board of Directors recommended a dividend of 60%, or ₹3 per share, for the financial year 2025-26 on equity shares of ₹5 each. This declaration is subject to the approval of the shareholders. The company's paid-up equity share capital remained constant at ₹170 lakh for the period under review.

Auditor's Report

M/s. P G Bhagwat LLP, Chartered Accountants, audited the standalone financial results and issued an unmodified opinion. The auditors confirmed that the results give a true and fair view of the company's financial performance in conformity with the recognition and measurement principles laid down in the applicable accounting standards.

KPT Industries Ltd. has approved the re-appointment of three independent directors for a second term of five years effective from April 01, 2027. The Board of Directors passed the resolution on May 29, 2026, to re-appoint Mr. Sanjay Ramakant Buch, Mr. Niraj Shishir Shirgaokar, and Ms. Rama Sanjay Kirloskar, subject to the approval of the company's members at the forthcoming Annual General Meeting.

The re-appointments align with the provisions of Section 149 and Section 152 of the Companies Act, 2013, read with Schedule IV and Regulation 17(1)(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. The Board acted on the recommendation of the Nomination and Remuneration Committee, considering the directors' expertise and professional background beneficial to the company.

Director Profiles and Expertise

Mr. Sanjay Ramakant Buch (DIN-00391436) is a Senior Advocate & Solicitor and a partner at M/s. Crawford Bayley & Co., practicing in Mumbai for over three decades. He specializes in business and corporate laws, mergers and acquisitions, and securities laws. Mr. Niraj Shishir Shirgaokar (DIN-00254525) holds a Bachelor's Degree in Computer Engineering and is the Managing Director of The Ugar Sugar Works Ltd. He co-founded iResearch Services Pvt. Ltd. and has served as President of the India Sugar Mills Association. Ms. Rama Sanjay Kirloskar (DIN-07474724) holds a double major in Mathematics and Biology from Bryn Mawr College, USA. She is the Joint Managing Director of Kirloskar Brothers Limited and Managing Director of Kirloskar Ebara Pumps Limited.

Compliance and Eligibility

The company has received declarations from all three directors confirming they meet the criteria of independence under sub-section (6) of Section 149 of the Companies Act, 2013, and Regulation 16(1)(b) of the SEBI (LODR) Regulations, 2015. The Board has stated that none of the directors are disqualified from being appointed under Section 164 of the Act. The directors have given their consent to act in their respective capacities and will not be liable to retire by rotation.