Balkrishna Industries (502355) Q3 25/26 earnings summary

Executive summary

• Sales volume increased by 15% quarter-on-quarter, with India outperforming all markets and Europe rebounding due to destocking and seasonal factors.

• U.S. market saw sequential growth despite ongoing tariffs, with the tariff impact shared with channel partners.

• India’s growth was driven by GST reduction, strong demand, and favorable monsoon rains.

• Unaudited standalone and consolidated financial results for the quarter and nine months ended 31st December 2025 were approved, with no material misstatements.

• Third interim dividend of Rs. 4 per share declared for FY26, totaling Rs. 12 for the year so far.

Financial highlights

• Quarterly volumes reached 80,620 MT, up 6% year-on-year; 9-month volumes were 231,536 MT, down 1% year-on-year.

• Standalone revenue for the quarter was INR 2,682 crores, up 4% year-on-year; 9-month revenue was INR 7,762 crores, flat year-on-year.

• Consolidated revenue for the quarter was Rs. 2,736.79 crores, up from Rs. 2,393.45 crores year-over-year.

• Standalone EBITDA for the quarter was INR 605 crores (22.5% margin); 9-month EBITDA was INR 1,760 crores, down 11% year-on-year.

• Net profit for the quarter was INR 375 crores; 9-month PAT was INR 927 crores.

Outlook and guidance

• CapEx for FY26 expected to be INR 2,500-2,600 crores, with INR 300-400 crores more in the current year and the balance in the next.

• Targeting 2.2x revenue growth by FY30 to Rs. 23,000 crores, with a 17% CAGR.

• Expects blended margins of 23-25% post full commercialization, with robust profitability outlook.

• Too early to provide long-term guidance for Europe and U.S. due to macro and geopolitical uncertainties.

• Capital expenditures previously announced are expected to be completed as per schedule.