Kalyani Steels Q4 Profit Declines 11% To ₹72 Crore As Revenue Slips Amid Softer Steel Demand

Mumbai: Kalyani Steels Limited reported a 10.6 percent year-on-year decline in consolidated net profit to Rupees 71.7 crore for the quarter ended March 31, 2026, compared with Rupees 80.2 crore in the corresponding quarter last year. Consolidated revenue from operations during Q4 FY26 stood at Rupees 484.4 crore against Rupees 544.3 crore in Q4 FY25, reflecting lower sales realisations and softer operating performance during the quarter. Total income declined to Rupees 499.3 crore from Rupees 558 crore a year earlier.

Profit before tax for the quarter came in at Rupees 97.5 crore compared with Rupees 108.1 crore in the year-ago quarter. Total expenses also declined to Rupees 400.5 crore from Rupees 449.9 crore in Q4 FY25, mainly due to lower raw material consumption and reduced purchase costs. Finance costs during the quarter dropped sharply to Rupees 14.8 crore from Rupees 41.6 crore in the corresponding quarter last year, while depreciation expenses stood at Rupees 136.6 crore.

Sequential Performance Improves

Despite lower year-on-year earnings, Kalyani Steels reported sequential improvement in quarterly profitability compared with Q3 FY26. Net profit rose 15.7 percent from Rupees 62 crore reported in the December quarter, while revenue from operations increased 4.8 percent from Rupees 462.4 crore. Profit before tax improved to Rupees 97.5 crore from Rupees 83.5 crore in Q3 FY26. Earnings per share rose to Rupees 16.42 during the March quarter compared with Rupees 14.19 in the previous quarter.

The company recognised an exceptional charge of Rupees 7.9 crore during FY26 linked to the implementation impact of India’s new Labour Codes framework. According to the company’s notes to accounts, the exceptional item arose primarily due to changes in wage definitions and employee benefit obligations under revised labour regulations.

FY26 Profit Remains Stable

For the full financial year FY26, Kalyani Steels reported consolidated revenue from operations of Rupees 1,845.6 crore compared with Rupees 1,981.9 crore in FY25. Annual consolidated net profit increased marginally to Rupees 257.9 crore from Rupees 256.2 crore a year earlier, while total comprehensive income stood at Rupees 257.2 crore. The company’s consolidated reserves increased to Rupees 2,087.3 crore as of March 31, 2026.

The board recommended a dividend of Rupees 10 per equity share of face value Rupees 5 each for FY26, subject to shareholder approval at the upcoming annual general meeting.

Disclaimer: This article is based solely on Kalyani Steels Limited’s audited Q4 FY26 financial results and regulatory disclosures and should not be considered investment advice.