The company has sold about 600 tonnes of casting from its recently commissioned Oliver Foundry in Punjab and expects to increase production every month next month. Castings remain the dominant segment of the company, contributing 43 percent of total revenue by March 2025, followed by 23 percent in the tube business and 18 percent of the steel products.
Management expects an increase in backward integration, including captive iron -mining, strengthens margins and protects the company from raw -material volatility.
The company was able to expand earnings from pigs – iron segment, because low coking -COL costs and – Iron – Kirloskar India, despite the supply of benchmark prices due to the supply of India mines. After announcing the quarter numbers on March 09, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD. MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD, MD.
To increase the initiative of green energy, it plans to double the solar power power capacity at 55-60 MW (MW) in FY 26. The company aims to add 12.6 MW wind energy and 35 MW solar capacity in the current financial year, with another 50-60 MW solar for the next financial year.
Despite the headwinds in the price of RAW-steel and pig-iron, the company is confident of retaining 14-16 percent of the depreciation and orbulence (EBITDA margin) in both its casting and tube department. “We continue to work on two fronts, reduce production costs and move a mixture to high -value products.”
“The Kirloskar ferrous margin is well vibrant on the expansion path, among new projects to reduce the cost of raw materials, the margin is linked to an active product profile,” the JM Financial Institutional Securities stated in a report. Broking Pay FirM has maintained ‘by’ Call on stock. However, it has reduced the price target by 17% to 610 and reduced the earnings of 22% for the financial year, citing low volume growth. The stock traded on BSE on Thursday at Rs 582.
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