Kirloskar Oil Engines Reports FY2026 Results; Recommends Final Dividend of 225%

Kirloskar Oil Engines Reports FY2026 Results; Recommends Final Dividend of 225%

Kirloskar Oil Engines Reports FY2026 Results; Recommends Final Dividend of 225%​

Kirloskar Oil Engines Limited (KOEL) today released its financial results for the quarter and year ended March 31, 2026, detailing its performance across both standalone and consolidated segments. The Board of Directors, in its meeting held on May 14, 2026, also recommended a final dividend of Rs. 4.50 (225%) per fully paid-up equity share of Rs. 2 each for the financial year 2025-26.

The financial results and the detailed segment performance for the Group were reviewed and recommended by the Audit Committee and the Board of Directors.

Consolidated Financial Performance​

The Group's consolidated financial results showed a total income of 7,771.17 (in crores) for the year ended March 31, 2026, compared to 6,329.14 crores in the previous year.

In terms of profitability, the consolidated net profit for the year ended March 31, 2026, stood at 562.46 crores. The statement of profit and loss also detailed a significant portion of the Group's income derived from various operating segments:

SegmentRevenue from Operations (Year Ended March 31, 2026)Total Profit (Year Ended March 31, 2026)
B2B5,685.81592.02
B2C1,138.53106.19
Financial Services780.4592.44
Total Revenue from Operations7,701.01N/A

The Group's total assets stood at 10,852.44 crores as of March 31, 2026, reflecting a substantial increase in assets compared to the previous year.

Standalone Results and Operating Segments​

For standalone operations, Kirloskar Oil Engines recorded a total income of 5,687.49 crores for the year ended March 31, 2026. The standalone net profit reported for the same period was 389.82 crores.

The company's operations are categorized into three reportable segments: Business to Business (B2B), Business to Customers (B2C), and Financial Services. The B2B segment, which covers products like engines and Gensets, remains the largest source of revenue and profitability for the Group.

The company’s standalone financials include detailed data on operational expenses, including a cost of raw materials and components consumed of 2,973.80 crores for the fiscal year 2025-26.

Dividend Recommendation and Governance​

The Board of Directors, meeting on May 14, 2026, recommended a final dividend of Rs. 4.50 (225%) per fully paid-up equity share of Rs. 2 each for the financial year 2025-26. This dividend is subject to approval by the members at the ensuing Annual General Meeting.

The dividends are scheduled to be paid on or before September 5, 2026.

Corporate and Operational Updates​

The company reported several key corporate developments during the period:

1. Subsidiary Formation: Kirloskar Advanced Systems Private Limited (KASPL) was incorporated as a wholly owned subsidiary of the Company, effective March 30, 2026.
2. Business Segment Transfer: The Business to Customers (B2C) business segment, covering Water Management Solutions (WMS) Domestic & Exports Business, was transferred by way of a slump sale to the wholly owned subsidiary, KOEL Fluid Dynamics Private Limited (KFD). This transfer took effect from October 11, 2025.

The Group confirmed that it is classified as operating in three segments: B2B, B2C, and Financial Services.

Financial Highlights Table (Rs. in Crores)​

The following table summarizes the key financial metrics for the year ended March 31, 2026:

MetricStandalone (March 31, 2026)Consolidated (March 31, 2026)
Total Income5,687.497,771.17
Total Expenses5,063.906,982.45
Net Profit/Loss389.82562.46
Total Assets4,811.1110,852.44
Total Equity and Liabilities4,837.1110,852.44

Cash Flow Statement Summary​

The consolidated cash flow statement highlights the Group's cash generation activities:

ActivityYear Ended March 31, 2026
Net Cash Generated from Operating Activities1,115.91 crores
Net Cash Generated from Investing Activities22.57 crores
Net Cash Generated from Financing Activities(588.96) crores
Net Increase/(decrease) in Cash and cash equivalents22.57 crores

KIRLOSENG Stock Price Movement​

Shares of Kirloskar Oil Engines Limited today slipped by 0.29% to close at ₹1596.6. The stock settled amid moderate activity, recording a volume of 166,620 shares for the session.
 

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