Kranti Industries Limited has reported robust financial performance for Q2, showcasing significant growth across key metrics. The company has also announced a strategic alliance with Universal Autofoundry Limited, marking a significant step in its expansion plans.

Financial Highlights

Kranti Industries demonstrated strong financial performance in Q2:

The company's total income for H1 reached ₹42.27 crores, reflecting a solid 14.6% growth compared to the previous year's H1.

Strategic Alliance with Universal Autofoundry

Kranti Industries has signed a Memorandum of Understanding (MOU) with Universal Autofoundry Limited for a long-term machining alliance in Rajasthan. Key points of this partnership include:

• Seven-year agreement starting January 2026
• Focus on integrated manufacturing for automotive and engineering sectors
• Addition of 48 machines to Kranti's operations in Jaipur
• Expected to contribute ₹4-4.5 crores in monthly revenue

Operational Highlights

• Current monthly sales revenue rate: ₹8-8.5 crores
• Capacity utilization in Pune facility: 65-68%, expected to reach 75-78% by fiscal year-end
• Jaipur facility (post-alliance) initial capacity utilization: 50-55%
• EBITDA margin expected to stabilize at 16.5-17% in the long run

Future Outlook

• Focus on non-automotive and export sectors for higher margins
• Expansion into electric vehicle (EV) components manufacturing
• New purchase order from Ingersoll-Rand US for housing components
• Clearance to begin series production of EV components for Eka Mobility

Sachin Subhash Vora, Chairman & Managing Director, commented, "Our Q2 and H1 results reflect strong revenue growth along with significant improvements in profitability and operational efficiency. These results position us well for continued success and sustained momentum in the coming quarters."

The company aims to maintain double-digit growth annually for the next three years, focusing on product diversification, geographic expansion, and operational efficiency.

Kranti Industries continues to strengthen its position in the auto component manufacturing sector, with a clear strategy to capitalize on emerging opportunities in the EV and non-automotive segments while maintaining a strong foothold in its traditional markets.

Kranti Industries Limited , a precision engineering firm, has reported robust financial results for the second quarter of fiscal year 2026, showcasing significant growth across key metrics.

Financial Highlights

The company's performance demonstrates substantial improvement in profitability, with margins expanding across all metrics.

Half-Year Performance

Kranti Industries' half-year results also paint a picture of strong growth and improved profitability:

The company has achieved a remarkable turnaround in its bottom line, moving from a loss of ₹3.80 lakh in the previous year to a profit after tax of ₹197.00 lakh in H1FY26.

Driving Factors

The impressive financial performance of Kranti Industries can be attributed to:

1. Strong Automotive Demand: The company has benefited from robust demand in the automotive sector, which has been a key driver of its revenue growth.

2. Operational Efficiency: The significant jump in EBITDA (85.5% YoY) suggests improved operational efficiency and cost management.

3. Market Position: As a precision engineering firm, Kranti Industries appears to be capitalizing on its expertise to meet the growing needs of the automotive industry.

The company's ability to translate revenue growth into substantial profit improvements indicates effective management and a strong market position. As the automotive sector continues to evolve, Kranti Industries' performance in the coming quarters will be of interest to investors and industry observers alike.