Kalyani Steels Limited has received reaffirmation of its credit ratings from Care Ratings Limited on December 26, 2025. The company informed stock exchanges about this development in compliance with Regulation 30 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Credit Rating Details

Care Ratings Limited has reaffirmed all existing ratings for Kalyani Steels Limited across different financial instruments. The rating reaffirmation covers the company's comprehensive financing structure including bank facilities and commercial paper programs.

Regulatory Compliance

The company has fulfilled its disclosure obligations by notifying both major stock exchanges about the rating reaffirmation. Kalyani Steels Limited trades on BSE Limited under scrip code 500235 and on National Stock Exchange of India Limited under the symbol KSL.

Significance of Rating Reaffirmation

The reaffirmation of credit ratings across all categories indicates Care Ratings' continued confidence in Kalyani Steels Limited's financial position and creditworthiness. The stable outlook on long-term facilities suggests the rating agency expects the company to maintain its current credit profile in the near term.

The communication was signed by Mrs. D.R. Puranik, Company Secretary, and sent to both stock exchanges as part of the company's regular disclosure practices. This rating update provides stakeholders with current information about the company's credit standing as assessed by the rating agency.

Kalyani Steels Limited , a prominent player in the forging and engineering quality carbon and alloy steels sector, has reported a decline in its financial performance for the second quarter of the fiscal year 2025-26. The company's results reflect the challenges faced in the current economic environment.

Revenue and Profit

For the quarter ended September 30, 2025, Kalyani Steels reported:

The company's revenue from operations decreased by 7.32% year-over-year, while net profit saw a 7.43% decline compared to the same quarter in the previous fiscal year.

EBITDA Performance

Kalyani Steels' EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) for Q2 FY26 stood at ₹854.00, down from ₹961.00 in Q2 FY25. The EBITDA margin contracted to 18.73% from 19.53% in the corresponding quarter of the previous year.

Operational Highlights

The company's performance was impacted by various factors:

• Raw Material Costs: The cost of raw materials consumed stood at ₹2,377.58 for the quarter.
• Manufacturing Expenses: These expenses, including stores and spares consumed, job work charges, power and fuel, and repairs, amounted to ₹673.30.
• Employee Benefit Expenses: The company reported ₹220.09 in employee-related costs.

Balance Sheet Position

As of September 30, 2025, Kalyani Steels maintained a strong balance sheet:

• Total Assets: ₹28,211.70
• Equity Share Capital: ₹218.64
• Other Equity: ₹19,475.78

Cash Flow and Liquidity

The company's cash and cash equivalents at the end of the quarter stood at ₹62.06, reflecting a decrease from ₹143.00 at the beginning of the period. This change in cash position was primarily due to operating activities, investments, and financing decisions made during the quarter.

Segment Information

Kalyani Steels continues to focus on its core business of manufacturing forging and engineering quality carbon and alloy steels, which remains its single reportable segment under Ind AS 108.

The financial results indicate that Kalyani Steels is navigating through a challenging period. The decline in revenue and profitability suggests potential headwinds in the steel industry or broader economic factors affecting the company's performance. Investors and stakeholders will be watching closely to see how the company adapts to the current market conditions and works to improve its financial metrics in the coming quarters.