Kirloskar Ferrous Industries Ltd

Dematerialisation status

• Securities received for dematerialisation in quarter ended 30 September 2026 were confirmed to depositories and listed on exchanges.
• Dematerialisation certificates were mutilated and cancelled after verification, with depositories' names substituted as the registered owner.

Kirloskar Ferrous Industries Limited: Trading Window closed from 1 October 2026 to 3 November 2026

Leadership appointment

• Board approved Ajay Patil's appointment as Joint Managing Director, effective 21 September 2026 to 20 September 2029.
• Ajay Patil brings 36 years' experience in growth, governance, strategy, capital allocation and M&A.
• Prior role: Global Chief Financial Officer of RSB Transmission (India) Limited.
• Appointment aims to strengthen leadership bandwidth and support sustainable growth.

Ajay Shriram Patil – appointment as Additional Director and JMD

• Co-opted as Additional Director; appointed JMD and KMP for three years from 21 September 2026.
• Subject to members’ approval.
• Profile: 62-year-old Commerce graduate and CMA by profession.
• Has 36+ years leadership in manufacturing across global roles.
• Independent Director at Ingersoll Rand India and KSH International.
• Does not hold Kirloskar Ferrous equity; not related to other directors; not debarred by SEBI.
• Term: three-year period from 21 September 2026.
• Designation: Joint Managing Director and Key Managerial Person.

Ankur Gupta – Deputy Chief Financial Officer appointment

• Effective 1 October 2026; full-time Deputy Chief Financial Officer appointment.
• Profile: 46-year-old CA with ~25 years’ finance experience.
• Previously CFO (B2B) at Kirloskar Oil Engines Limited since 2019.
• Earlier roles with Motherson Sumi Systems and Surya Roshni.
• Completed ISB-NUS Global Advanced Management Program.
• No stated relationship with other directors; not debarred.

Kirloskar Ferrous Industries Limited: Trading Window closed from 12 September 2026 to 23 September 2026.

Financial performance

• Pig iron production: 1,65,120 MT vs 1,57,112 MT; +5%.
• Castings production: 43,800 MT vs 36,929 MT; +19%.
• Tube production: 51,968 MT vs 56,558 MT; -8%.
• External sales: 1,28,737 MT vs 1,32,392 MT; -3%.
• Casting sales: 41,345 MT vs 34,941 MT; +18%.
• Tube sales: 41,512 MT vs 48,461 MT; -14%.
• Q1 EBITDA margin: 12%–13%.
• Realizable capacity across six foundries: 270,000 MT/yr.

Project progress and capacity

• 35 MW solar plant commissioning; 12 windmills (2.1 MW each) expected by Jun–Sep FY27.
• Solapur: 2-part foundry, 15,000 MT/yr; no-bake foundry 1,250 MT/mo by Oct.
• Rajpura: Phase 1 40,000–50,000 MT/yr; Phase 2 to ~70,000 MT/yr; total ~110,000 MT across six foundries.
• Total realizable capacity across six foundries ~270,000 MT/yr (Koppal ~110k, Solapur ~90k, Rajpura ~70k).
• Koppal pig iron upgrades; liquid metal target ~900,000–1,000,000 MT/yr; 0.5 MT pig iron for sale.
• Large casting capacity target: one customer; Solapur no-bake/2-part capacity ~1,250 MT/mo; 1 year to reach 500–600 MT/mo.

Outlook and guidance

• Capex guidance for the year: INR 600–700 crores; higher in subsequent years.
• Tube capacity target: ~350,000 MT/yr; expansion through expander mill (2 years) and beyond to ~400,000 MT/yr.
• Pig iron capacity: target ~900,000–1,000,000 MT/yr; potential to sell ~0.5 MT if steel-making persists.
• Realizable castings capacity target: ~270,000 MT/yr; plan to reach ~300,000 MT in medium term.
• Medium-term revenue aspiration: INR 14,000 crores with 3L casting, 3L casting sales, 4L tube sales.

Q&A highlights

• Q1 EBITDA seen at 12–13%; improvement expected from pig iron pricing and casting demand.
• Pig iron volumes guided ~7,00,000 MT for the year; volumes to be supported by exports.
• Castings growth expected >15% in remaining quarters; price realization to improve with commodity trends.
• Solapur large-casting foundry: 1,250 MT/mo; potential to expand if demand warrants.
• Power trading benefits reduced by regulation; solar/wind expected to yield 70–80 crores annual savings.
• Forest development fee contingent liability ~INR 350 crores; sub judice; judgment pending.

Operational update

• Additional 35 MW DC solar plant at Mantha, Helas, Jalna, Maharashtra completed; operations commenced on 6 August 2026.

Capacity and project scope

• Total Jalna solar capacity now 105 MW DC.
• Project cost for the enhancement ₹97 crore net of recoverable taxes.

Financing and impact

• Financed by borrowings and internal accruals.
• Captive generation to reduce power costs.