Timken India Ltd Q2FY26: Bearings Giant Rolls Into ₹7,826 Million Revenue, ₹1,936.9 Million H1 PAT, but the Auditor’s Calculator Is Still Warm
1. At a Glance
Timken India Limited — the ₹22,972 crore market-cap rolling powerhouse — just dropped its Q2FY26 results, and let’s just say the bearings kept rolling, but not spinning out of control. With quarterly sales at ₹7,826 million (~₹782.6 crore) and PAT for H1FY26 at ₹1,936.9 million (~₹193.7 crore), the numbers scream “steady driver, not a racer.”
At ₹3,052 a share, the stock trades at a rather Olympic-level P/E of 50.5, clearly implying that even God’s own portfolio manager expects Timken’s bearings to bear gold soon. The company has an enviable ROE of 17%, ROCE of 20.9%, and negligible debt of ₹15 crore — that’s less than what a mediocre Bollywood producer owes Netflix.
But the real action is at the Bharuch facility — fresh off the conveyor belt in June 2025 — a ₹700 crore capex that’s gone live, promising higher capacity and smoother deliveries. Oh, and just to keep the drama alive, Timken is also acquiring Timken GGB Technology for ₹1,288 million by Jan 2026. Bearings meet drama — this script writes itself.
2. Introduction
Timken India is like that one disciplined IIT topper — quiet, punctual, and allergic to debt. Since 1987, when it was born as Tata Timken, it’s been the poster child of manufacturing discipline. Tata exited in 1999, and since then, Timken USA has been the desi cousin’s guardian, guiding the company to become India’s bearing Brahma.
From railways to windmills, every time something spins in India, there’s a Timken bearing silently supporting it. And unlike some of its listed cousins who “diversify” into random fintech apps, Timken has stayed loyal to its craft — metal, friction, and balance sheets that look cleaner than a Bigg Boss contestant before the first episode.
But the company isn’t just about bearings anymore. It’s about power transmission, industrial services, and global ambition. Its revenue mix tells the story — India contributes 73%, USA 18%, others 9%. That’s desi dominance with a little videshi flavour.
And if you think bearings are boring, remember this: Timken’s profit has grown at a 19% CAGR over 10 years, and its ROE has stayed above 17% for a decade. That’s not “boring.” That’s Warren Buffett’s playlist.
3. Business Model – WTF Do They Even Do?
Timken India makes anti-friction bearings, components, and mechanical power transmission products. In simpler words: everything that spins, rotates, or moves with grace might have a Timken inside it.
Their portfolio includes tapered roller bearings, cylindrical and spherical roller bearings, and now, the new Bharuch plant adds even more firepower with Spherical Roller Bearings (SRB) and Cylindrical Roller Bearings (CRB).
But they don’t stop there — Timken also plays in linear motion systems, couplings, belts, gears, lubrication systems, and industrial services. If motion were a religion, Timken would be its high priest.
The company caters to aerospace, mining, railways, automotive, and even wind energy. Basically, they’re everywhere friction exists. One major customer group alone contributes 30% of revenue — a reminder that while diversity is good, loyalty still pays bills.
And now that the Bharuch plant is live (June 2025), expect the company to hum like a well-oiled machine. Or, more appropriately — like a perfectly lubricated bearing.
4. Financials Overview
Source table
Metric
Latest Qtr (Sep’25)
YoY Qtr (Sep’24)
Prev Qtr (Jun’25)
YoY %
QoQ %
Revenue
₹7,826 mn
₹7,530 mn
₹8,090 mn
+3.9%
-3.3%
EBITDA
₹1,380 mn
₹1,330 mn
₹1,420 mn
+3.8%
-2.8%
PAT
₹895 mn
₹900 mn
₹1,040 mn
-0.6%
-13.9%
EPS (₹)
11.9
12.0
13.9
-0.8%
-14.4%
Annualised EPS = ₹11.9 × 4 = ₹47.6, giving a P/E ≈ 64 on CMP ₹3,052. (So, yes, “premium” is not just in the bearing quality — it’s in the valuation too.)
Commentary: The numbers aren’t fireworks, but steady torque beats flashy revs. Revenue grew modestly YoY, while PAT remained flat — blame rising input costs and the new plant’s initial expenses.
5. Valuation Discussion – Fair Value Range Only
Method 1: P/E Approach
Current EPS (FY25 TTM): ₹60.5
Industry P/E: ~50
Reasonable range: 40–55x
Fair Value Range = ₹60.5 × 40 to ₹60.5 × 55 = ₹2,420 – ₹3,327
