Kirloskar Oil Engines Limited (KOEL) has reported a stellar performance for the second quarter of FY2026, with revenue crossing the INR 1,500 crore mark for the first time. The company's robust growth was driven by strong performances across all business units, particularly in the Power Generation and Industrial segments.

Key Financial Highlights

Segment-wise Performance

Power Generation

The Power Generation business unit anchored the company's performance, delivering a strong 41% year-on-year growth in sales and achieving its highest ever quarterly revenue of INR 678.00 crores. This robust performance further strengthens KOEL's market leadership position.

Industrial Business

The Industrial business unit also delivered a strong performance with 40% year-on-year sales growth, driven by healthy traction in both defense and railways sectors. The company's Defense business continued its positive trajectory, supported by emergency procurement orders and steady progress on key strategic programs.

International Business Growth

KOEL's international business demonstrated strong diversification and strategic progress:

• Overall International B2B sales grew by 39% year-on-year
• B2C sales registered a 77% year-on-year increase
• Exports for the first half of the year exceeded INR 320.00 crores, reflecting broad-based strength across markets

Strategic Initiatives

The company has recently announced the restructuring of its B2C business, which will be transferred to its wholly-owned subsidiary, LGM, by way of slump sale. This move aims to:

• Maintain dedicated focus on each segment
• Drive greater efficiency through structures best suited to their respective customer needs

Management Commentary

Gauri Kirloskar, Managing Director of KOEL, commented on the results:

"Q2 has been a strong quarter for KOEL with net sales crossing the INR 1,500 crore mark for the first time. I would like to congratulate the entire KOEL team on achieving this new milestone."

She added, "We remain focused on the planned rollout of our products in Q3 FY '26, which we expect will further enhance our competitive position across the domestic power generation business."

Outlook

The management remains optimistic about the coming quarters, citing:

• Healthy market demand
• Encouraging results across key product segments
• Positive reception of new product launches
• Steady progress on strategic priorities outlined in the 2B2B vision

With a strong performance in the first half of FY2026 and a positive outlook for the future, Kirloskar Oil Engines appears well-positioned to capitalize on growth opportunities in both domestic and international markets.

Kirloskar Oil Engines Limited (KOEL), a leader in manufacturing internal combustion engines and generator sets, has successfully completed the postal ballot process for the appointment of Mr. Srikumar Vijayasekharan as an Independent Director. The shareholders have approved the special resolution, confirming his appointment effective from November 11, 2025.

Postal Ballot Results

The company announced the successful completion of the postal ballot process based on the Scrutinizer's Report on voting results. The appointment follows the regulatory framework under Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Director Appointment Details

Mr. Srikumar Vijayasekharan's appointment as Additional Non-Executive Director in the capacity of Independent Director brings significant expertise to KOEL's board:

Professional Background

Mr. Vijayasekharan brings extensive experience across multiple domains:

• Leadership Experience: Served as COO of Deloitte South Asia, overseeing significant growth where the firm expanded over four times during his tenure
• Operational Expertise: Responsible for finance, IT, infrastructure, business plans, strategy implementation, and succession planning
• Industry Experience: Specializes in audit and assurance services across manufacturing, financial services, healthcare, technology, and consumer business sectors
• Board Experience: Currently serves as Independent Director on Arka Fincap Limited's board

Governance and Compliance

The postal ballot process ensured compliance with regulatory requirements:

• Electronic Voting Only: In compliance with MCA circulars, voting was conducted only through remote e-voting
• Scrutinizer Appointment: Mrs. Manasi Paradkar, Practicing Company Secretary, was appointed as scrutinizer
• Independence Criteria: Mr. Vijayasekharan meets the criteria for independence under Section 149(6) of the Companies Act, 2013
• Committee Membership: He has been appointed as Audit Committee Member effective December 12, 2025

Shareholding and Related Information

• Mr. Vijayasekharan holds no equity shares in Kirloskar Oil Engines Limited
• He is not related to any existing board member of the company
• The appointment strengthens the board's independence and governance structure

The successful appointment of Mr. Srikumar Vijayasekharan represents a strategic move by Kirloskar Oil Engines Limited to enhance its board composition with experienced leadership. The company has formally communicated the approval to both BSE and NSE, completing all regulatory requirements for the appointment.