Steel Strips Wheels has submitted its Business Responsibility and Sustainability Report (BRSR) for the financial year ended March 31, 2026, to the stock exchanges. The filing outlines the company’s environmental, social, and governance performance, highlighting a strategic shift toward renewable energy despite an overall increase in total energy consumption.

The company reported a turnover of ₹51,828 crore and a net worth of ₹16,819 crore as of March 31, 2026. These figures establish the scale against which its sustainability metrics are measured, with CSR applicability confirmed under Section 135 of the Companies Act, 2013.

Energy and Emissions Data

Total energy consumption rose to 14,41,390 GJ in FY26, up from 12,83,756 GJ in FY25. This increase was driven primarily by higher non-renewable energy usage, which climbed to 12,85,049 GJ from 11,26,075 GJ in the prior year. Conversely, renewable energy consumption saw a marginal decline to 1,56,341 GJ from 1,57,681 GJ.

Despite the rise in absolute energy use, efficiency metrics showed mixed results. Energy intensity per rupee of turnover improved slightly to 2.78 GJ/lakh rupees from 2.89 GJ/lakh rupees. However, energy intensity in terms of physical output increased marginally to 3.68 GJ/MT from 3.63 GJ/MT.

Greenhouse gas emissions also reflected this trend. Scope 1 emissions rose to 49,457 metric tonnes of CO2 equivalent from 43,676 metric tonnes, while Scope 2 emissions increased to 1,02,977 metric tonnes from 91,553 metric tonnes. Total Scope 1 and Scope 2 emission intensity per rupee of turnover decreased to 0.29 metric tonnes/lakh rupees from 0.31 metric tonnes/lakh rupees.

Water and Waste Management

Water withdrawal increased to 5,87,521 kilolitres from 5,24,683 kilolitres. The company maintains a Zero Liquid Discharge (ZLD) system, with no water discharged outside the plant premises. Water intensity per rupee of turnover improved to 1.13 KL/lakh rupees from 1.18 KL/lakh rupees.

Total waste generated rose to 96,241 metric tonnes from 88,637 metric tonnes. Of this, 95,009 metric tonnes were recycled, representing a high recovery rate. Waste intensity per rupee of turnover declined to 0.19 tonnes/lakh rupees from 0.20 tonnes/lakh rupees.

Social Metrics and Governance

The company employed 2,431 permanent employees and 7,783 workers as of March 31, 2026. Female representation among permanent employees stood at 3.13%, while it was 1.35% among workers. The turnover rate for permanent employees was 31.5%, compared to 20.87% in FY25.

Intertek India Private Limited provided reasonable assurance on the core disclosures of the BRSR. The company reported no fatalities among employees and one fatality among workers in FY25, with zero fatalities in both categories for FY26. Lost Time Injury Frequency Rate (LTIFR) for employees was 0.26 per million person-hours worked, up from 0.13 in FY25.

What the Numbers Show

The divergence between rising absolute energy consumption and improving revenue-based energy intensity suggests that production volumes or revenue growth outpaced the increase in energy input. While total energy use grew by approximately 12.3%, the turnover base expanded sufficiently to lower the energy cost per unit of revenue. However, the rise in physical output intensity indicates that the manufacturing process itself became slightly less energy-efficient per tonne produced, potentially pointing to a shift in product mix or operational load that warrants monitoring alongside renewable energy investments.

Steel Strips Wheels filed its annual report for FY26, reporting standalone total income of ₹5,19,467.31 lakhs, up 16.93% from ₹4,44,243.74 lakhs in FY25, alongside a proposed final dividend of ₹1.50 per equity share.

Financial performance

The company's standalone and consolidated results for FY26 reflect revenue growth driven by higher wheel rim and aluminum steering knuckle volumes, though profitability declined modestly due to higher depreciation and finance costs.

On a standalone basis, EBITDA rose 4.54% to ₹52,295.60 lakhs, while profit before tax declined 3.92% and profit after tax fell 3.75%. Wheel rim sales reached 196.96 lakh units, up 3.17%, and aluminum steering knuckle sales grew to 257,147 units from 46,952 units in FY25.

On a consolidated basis, total income rose 17.01% to ₹5,18,596.67 lakhs, EBITDA grew 5.31%, and profit after tax declined 2.60% to ₹19,021.80 lakhs.

Dividend and capital expenditure

The Board recommended a final dividend of ₹1.50 per equity share (face value ₹1, payout rate 150%) for FY26, up from ₹1.25 per share in FY25. The total cash outflow for the dividend, if approved at the AGM, will be ₹2,358.98 lakhs, representing a payout of 11.67% of standalone net profit.

Standalone capital expenditure for FY26 stood at ₹20,820.97 lakhs, compared to ₹21,225.88 lakhs in FY25, covering capacity expansion for knuckles and alloy wheels at the Mehsana, Gujarat facility.

Key business developments

During FY26, the Board approved two new manufacturing units at Bhuj, Gujarat:

• A new alloy wheel manufacturing unit expected to expand capacity by 1.2 million units per annum
• A new aluminum steering knuckle manufacturing unit expected to expand capacity by 0.6 million units per annum

The company also entered into a Tripartite Agreement with Liuzhou Arays Technology Co. Limited and Hainan Jihoo Import & Export Co. Ltd. for supply, installation, and commissioning of machinery and transfer of technical know-how for the Bhuj alloy wheel facility.

Share capital and ESOP

During FY26, the Allotment Committee allotted 251,100 equity shares at an exercise price of ₹20 per share under the Employee Stock Option Scheme 2021 (ESOS 2021). As on March 31, 2026, the paid-up equity share capital stood at ₹15,71,80,425 (157,180,425 equity shares of face value ₹1 each). Post the financial year, a further 84,680 equity shares were allotted, taking the paid-up capital to ₹15,72,65,105.

AGM and governance

The 40th Annual General Meeting is scheduled for September 30, 2026 at the company's registered office in Mohali, Punjab. Key resolutions include adoption of financial statements, declaration of the final dividend, re-appointment of directors retiring by rotation, enhancement of borrowing limits from ₹2,000 crore to ₹3,500 crore, and creation of security on company assets.

Dheeraj Garg (Managing Director) and Sanjay Garg (Non-Executive Director) are proposed for re-appointment as directors retiring by rotation. Mohan Joshi resigned as Deputy Managing Director effective June 3, 2026. Rahul Kumar was appointed as Chief Financial Officer effective November 12, 2025.

Credit rating and foreign exchange

India Ratings and Research assigned and affirmed bank loan facilities totalling INR 16,165 million at IND AA-/Stable/IND A1+. Foreign exchange earned during FY26 was ₹50,873.51 lakhs against outgo of ₹72,302.35 lakhs.

CSR spending

The company spent ₹6,34,95,050 on CSR activities in FY26 against an obligation of ₹4,74,29,346.46, resulting in excess spending of ₹1,60,65,703.54 available for set-off in succeeding years.

Source: https://lodr-files.dhan.co/lodr-inputs/Company/INE802C01033/d379e9d0-4ba4-4d37-ad7b-f0f8e27b4ead.pdf