Bharat Forge reports 11.3% drop in Q4FY25 profit, with annual revenue and profit also declining; defence orders drive new business, while FY26 focus shifts to profitability, E-Mobility losses, and operational improvements.
08 May 2025 | 909 Views | By Autocar Professional Bureau
Pune-based engineering giant Bharat Forge has reported a decline in standalone profit after tax for the fourth quarter of the financial year 2025 (Q4FY25). The company's net profit stood at Rs 345.5 crore, marking a 11.3% decrease from the Rs 389.7 crore recorded in the same period last year (Q4FY24).
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Pune-based engineering giant Bharat Forge has reported a decline in standalone profit after tax for the fourth quarter of the financial year 2025 (Q4FY25). The company's net profit stood at Rs 345.5 crore, marking a 11.3% decrease from the Rs 389.7 crore recorded in the same period last year (Q4FY24).
The revenue for the quarter also took a hit, coming in at Rs 2,163 crore, down by 7.1% compared to Rs 2,328.6 crore in Q4FY24, according to the company's regulatory filing.
For the entire fiscal year FY25, Bharat Forge's net profit amounted to Rs 1,322.2 crore, reflecting a 7.2% decline from the previous year's figure of Rs 1,424.9 crore. The company's annual revenue also saw a marginal drop, standing at Rs 8,843.8 crore as opposed to Rs 8,968.7 crore in FY24, representing a 1.4% decrease.
B.N. Kalyani, Chairman & Managing Director, Bharat Forge said, " In Q4 FY25, The company recorded Standalone Revenues of Rs 2,163 Crores and EBITDA of Rs 629 Crores (EBITDA margins of 29.1%) and PBT of Rs 494 crores. For the full year, revenues marginally dipped to Rs 8,844 Crores as against 8,969 Crores in FY24.
EBITDA at Rs 2,524 Crores (EBITDA margins of 28.5%) and PBT at Rs 1,972 Crores saw a marginal improvement as compared to FY24. Balance sheet remained robust with cash on books of Rs 2,623 Crores. At a consolidated level, revenues remained flat at Rs 15,123 Crores as against Rs 15,682 Crores in FY24. EBITDA margins improved from 16.4% to 18.2%"
During the quarter the company secured new orders worth Rs 4,343 Crores including Rs 3,417 Crs towards the ATAGS order. As of March 2025, the defence order book stood at Rs 9,420 Crores. Bharat Forge group secured new orders worth Rs 6,959 Crore in FY25 with Defence accounting for 70% of those.
For FY26, as of now, Bharat Forge refrained from providing any outlook for the export business (30% of consolidated revenues) due to volatility & lack of visibility caused by the tariff situation.
"Our focus will be on improving the consolidated profitability driven by the following internal actions; reducing losses in the E-Mobility vertical; evaluating options for the steel business in Europe; improving operational performance in the Aluminum business leading to meaningful reduction in losses; leveraging our manufacturing footprint in North America to garner new business; focus on new business wins in traditional forgings, Defence, Aerospace & castings business to ensure continuation of momentum. The integration of AAM India business will occur in FY26 and we will leverage that platform to further our product portfolio and presence in India.” Kalyani said.