📌 At a Glance
Kirloskar Industries (KIL) posted a ₹970.9 Cr consolidated net profit for Q4 FY25, bringing its full-year PAT to ₹3,082 Cr — up from ₹1,405 Cr last year. Talk about a steel-powered leap! Revenue from operations stands at ₹66,080 Cr, a modest increase, but the bottom-line story is all fire and ferrous.
🛠️ From casting iron to casting subsidiaries out of Europe, KIL is remodelling faster than a Bigg Boss house.
🏢 About the Company
Kirloskar Industries Ltd. (KIL) is a holding and investment company with interests in:
- 🧱 Iron castings (via Kirloskar Ferrous)
- 🏢 Real estate (Avante Spaces)
- 🛠️ Steel, Tube, and Power segments
- 🏭 Wind energy (assets now held for sale, lol)
It’s like a buffet — except instead of pizza and chaats, you get blast furnaces, steel billets, and bankrupt Nordic firms.
👨💼 Key Managerial Personnel (KMP)
- CMD: Atul Kirloskar
- Audit Firm: Deloitte Haskins & Sells LLP
(And yes, they’ve seen worse at Credit Suisse.)
📊 Financial Highlights (FY25 vs FY24)
| Metric | FY25 | FY24 | YoY Change |
|---|---|---|---|
| Revenue from Operations | ₹66,080 Cr | ₹62,254 Cr | 🔼 +6.1% |
| Total Income | ₹66,776.8 Cr | ₹63,212.6 Cr | 🔼 +5.6% |
| EBITDA (Est.) | ₹7,140 Cr+ | ~₹6,350 Cr | 🔼 +12% est |
| Net Profit (PAT) | ₹3,082.2 Cr | ₹1,404.9 Cr | 🔼 +119% |
| EPS (Basic) | ₹146.41 | ₹66.8 | 🚀 |
| Other Comprehensive Income | ₹1,127.9 Cr | ₹-1,127.9 Cr | 💚 From red to green |
| Final Dividend | ₹— (Not yet announced) | ₹60/share (FY24) | TBA |
🧮 Forward-Looking Fair Value (FV)
Let’s keep it real and do the math:
- Assumed EPS growth: 10%
- Estimated FY26 EPS: ₹161.05
- Industry P/E (Holding + Iron/Steel): ~20x
- 🎯 Forward FV = ₹3,221/share
🟢 CMP: ₹3,490
➡️ Already ahead of fundamentals. So you’re paying a premium for Kirloskar’s empire and drama.
💣 Explosive Developments (Highlights)
1. 📉 Swedish Meltdown
- KFIL’s Luxembourg subsidiary held Structo Hydraulics AB, Sweden
- Eurozone slowdown → Business kaput
- Filed for bankruptcy in Feb–Mar 2024
- Took a ₹20.57 Cr loss on the books
2. 💀 Goodbye to USA Biz
- Indian Seamless Inc. (US trading arm) liquidated on Feb 29, 2024
Yes, they shut it down on leap day for added drama
3. 🧾 Exceptional Items
- ₹12.24 Cr gain due to reversal of ESAR charges for retiring director
(Retirement = free money apparently)
🏗️ Segment Performance
| Segment | FY25 Revenue (Cr) | FY25 Profit (Cr) |
|---|---|---|
| Iron Casting | ₹40,811 | ₹3,489 |
| Tubes | ₹21,904 | ₹1,192 |
| Steel | ₹16,758 | ₹596 |
| Real Estate | ₹4.17 | ₹-55 |
| Investments & Others | ₹567 | ₹335 |
| Wind Power (Held for Sale) | ₹2.91 | — |
💡 Iron casting is king. Real estate is the drunk uncle. Wind power? It’s packed and ready to go.
🧠 EduInvesting Take
“If the iron casting biz is the engine, the rest of Kirloskar is either luggage or overhead.”
- 🟢 EPS doubled, profit nearly tripled
- 🟢 Stronghold in Indian casting market
- 🔴 Foreign subsidiaries = expensive learning curve
- 🔴 Still no clarity on dividend
Despite hiccups, this ₹1 lakh crores+ empire is managing capital and expansion smartly.
⚠️ Risks & Red Flags
- 🧾 Dependence on Kirloskar Ferrous = 80%+ of profits
- 🌍 International ventures → failed expansions
- 🧱 Real estate remains loss-making
- 🧮 Valuation rich post-run-up — no longer cheap
📉 Bottom Line
You’re not buying “just” Kirloskar — you’re buying a holding company that’s undergone intense therapy, shut off toxic relationships (Sweden, USA), and is focusing on its cash-generating core: iron casting.
🧲 If KFIL keeps firing and dividend payout improves, there’s still meat on the bone.
Otherwise, at ₹3,490 CMP… it’s more “Kirlo-scar” than Kirloskar.
Tags:
Kirloskar Industries Q4 FY25 results, Kirloskar Ferrous, Structo Hydraulics Sweden, Iron Casting India, Kirloskar EPS, Kirloskar dividend 2025, EduInvesting, NSE 500 FY25
