RK Forgings Q3 Profit Falls 17% YoY To ₹28 Crore Despite 4% Revenue Growth To ₹342 Crore

Mumbai: RK Forgings reported a 17.4 percent year-on-year decline in standalone net profit to Rs 28.31 crore in Q3 FY26, even as revenue from operations rose 4.2 percent to Rs 342.38 crore. Sequentially, revenue improved 7.2 percent over Rs 319.46 crore in Q2, while net profit fell 12.6 percent from Rs 32.37 crore. The quarterly trend highlights pressure on profitability despite a top-line rebound.

Revenue recovery offset by margin pressure

In Q3 FY26, RK Forgings posted Rs 342.38 crore in revenue from operations, up from Rs 328.54 crore in Q3 FY25 and Rs 319.46 crore in Q2 FY26. However, total expenses surged 12.2 percent sequentially to Rs 296.92 crore, squeezing profit margins. Net profit declined to Rs 28.31 crore from Rs 34.27 crore YoY and Rs 32.37 crore QoQ, indicating a narrowing gap between earnings and rising costs .

Sequential uptick fails to lift earnings

While revenue grew QoQ by 7.2 percent, profitability lagged as cost pressures mounted. Total expenditure rose from Rs 264.57 crore in Q2, driven by raw material inflation and operational overheads. EPS dropped to Rs 4.42 in Q3 from Rs 5.06 in Q2 and Rs 5.36 in Q3 last year. The company's operational leverage remained under strain, reflecting reduced margins despite higher sales .

9M FY26: Flat topline, lower earnings

For the nine months ended December 2025, RK Forgings reported Rs 979.79 crore in revenue, marginally lower than Rs 985.25 crore a year ago. Net profit for the same period stood at Rs 94.42 crore, down 7.4 percent YoY. The company’s cost base expanded, with cumulative expenses touching Rs 825.84 crore, compared to Rs 814.18 crore in 9M FY25. Margins continue to feel the pinch of cost inflation.

Disclaimer: This report is based on publicly disclosed financial results by Asian Paints. It is for informational purposes only and does not constitute investment advice or a recommendation to buy or sell.