Bharat Forge: Business Overview & Financial Analysis
Bharat Forge is the flagship company of the Kalyani Group and one of the world's largest forging manufacturers. Headquartered in Pune, Maharashtra, the company manufactures critical safety components and specialised engineering solutions for the automotive, industrial, defence, aerospace, and energy sectors. It operates a global manufacturing network with facilities across India, Europe, North America, and Asia.
Standalone Revenue Mix of Bharat Forge (FY2026)
Exports contribute slightly over half of the company's standalone revenue, reflecting its strong presence in global markets.
- Exports – Rs 42,912 million (~51%)
- Domestic – Rs 41,046 million (~49%)
The export business remains a key revenue driver for Bharat Forge, led by commercial vehicle forgings and industrial components supplied to customers across North America and Europe.
Segment Revenue Mix of Bharat Forge (FY2026)
The company has a diversified business across automotive and industrial segments.
- Commercial Vehicles – 42%
- Industrial – 38%
- Passenger Vehicles – 20%
Commercial vehicles remain the largest contributor to standalone revenue, while the industrial segment, which includes defence and heavy engineering components, continues to provide strong earnings support.
Manufacturing Facilities & Tonnage of Bharat Forge (FY2026)
Bharat Forge operates a global manufacturing network that supports customers across multiple regions.
- Total Standalone Tonnage Sold – 238,375 Metric Tonnes
- Domestic Operations Revenue – Rs 104,118 million
- European Operations Revenue – Rs 28,462 million
- US Operations Revenue – Rs 11,425 million
The company operates advanced forging and machining facilities across India, Europe, and North America. Indian operations account for the largest share of manufacturing output, while European and US facilities cater to regional demand for aluminium and steel automotive components.
Defense & Order Book Metrics of Bharat Forge (FY2026)
Defence continues to be one of the company's fastest-growing business segments.
- Total Defense Order Book – Rs 10,961 crore
- Total New Orders Secured (FY2026) – Rs 4,814 crore
- Defense Order Wins (FY2026) – Rs 2,816 crore
- CQB Carbines Order Win – 250,000+ units for Indian Armed Forces
The defence business continues to expand through artillery systems, small arms, marine platforms, and unmanned solutions. During the year, Bharat Forge secured an exclusive contract to supply Close Quarter Battle (CQB) carbines to the Ministry of Defence.
Latest Quarterly Financial Performance of Bharat Forge (Q4 FY2026)
The company reported healthy growth in revenue and profitability during the fourth quarter.
- Standalone Revenue from Operations – Rs 22,605 million (+8.5% QoQ)
- Standalone Operating EBITDA – Rs 6,100 million (+7.2% QoQ)
- EBITDA Margin – 27.0%
- Profit Before Tax (before exceptional items) – Rs 4,862 million (+9.7% QoQ)
- Tonnage Sold – 62,201 Metric Tonnes (+7.5% QoQ)
Standalone revenue growth during Q4 FY2026 was supported by improving commercial vehicle demand in North America and inventory restocking. Operating margins remained strong at 27.0%, supported by operating leverage and healthy export performance.
Consolidated Financial Highlights of Bharat Forge (FY2026)
The company delivered steady growth in consolidated revenue during FY2026.
- Consolidated Revenue from Operations – Rs 168,120 million (+11.2% YoY)
- Consolidated EBITDA – Rs 29,210 million (+5.9% YoY)
- Consolidated EBITDA Margin – 17.4%
- Standalone Revenue – Rs 83,958 million
- Standalone EBITDA – Rs 23,121 million
Consolidated revenue increased by 11.2% during the year, supported by strong performance in India, higher defence execution, and the successful integration of K-Drive Mobility (formerly AAM India's CV assets).
Balance Sheet & Financial Ratios of Bharat Forge (FY2026)
The company continues to maintain a healthy financial position with manageable debt levels.
- Consolidated Net Debt to Equity Ratio – 0.41x
- Standalone Net Debt to Equity Ratio – 0.18x
- Net Debt to EBITDA Ratio – 1.35x
- Return on Capital Employed (Net) – 15.6%
- Cash and Cash Equivalents – Rs 29,307 million
Bharat Forge maintained a standalone net debt-to-equity ratio of 0.18x during the year. Cash and cash equivalents of Rs 29,307 million provide financial flexibility to support future expansion and strategic investments.
Key Subsidiaries & Acquisitions of Bharat Forge (FY2026)
The company's subsidiaries continued contributing to business growth during the year.
- K-Drive Mobility Revenue Contribution – Rs 9,578 million
- K-Drive Mobility EBITDA Contribution – Rs 418 million
- JS Autocast Topline – Rs 757 crore (EBITDA margin: 14.3%)
K-Drive Mobility became a wholly-owned subsidiary from July 1, 2025, strengthening Bharat Forge's commercial vehicle portfolio. JS Autocast also improved its industrial casting business and profitability despite export challenges in the wind infrastructure market.
Management Commentary of Bharat Forge (FY2026)
Management remains focused on expanding defence, aerospace, and commercial vehicle businesses while improving operational efficiency.
- Management targets achieving ~25% consolidated revenue growth in FY2027, barring geopolitical disruptions.
- Defense execution will remain a primary growth driver as order book execution ramps up across small arms and artillery platforms.
- The company has taken one-off non-cash impairment write-offs in e-mobility assets where immediate revenue visibility is limited.
- European overseas manufacturing operations are being scaled down and restructured to lower fixed cost structures.
- The aerospace division is witnessing a resurgence with new customer onboarding for engine, structural, and landing gear components.
- Unmanned aerial systems and underwater marine systems are being scaled up to build product and payload capabilities.
- Management expects the North American commercial vehicle market to stabilize following the cyclical bottom seen in Q3 FY2026.
The company's long-term strategy focuses on expanding defence and aerospace businesses, improving manufacturing efficiency, strengthening product capabilities in unmanned systems, and benefiting from the expected recovery in the North American commercial vehicle market.
Sources & References
- BSE India & Bharat Forge Analyst Update Presentation (Q3 FY2026 & Q4 FY2026)
- Bharat Forge Earnings Call Transcript (Q4 FY2026 & FY2026)
- Bharat Forge Earnings Call Transcript (Q3 FY2026)
- Ticker Finology Bharat Forge Page
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Disclaimer
The information presented above on Bharat Forge has been compiled from the company's Annual Reports, Investor Presentations, Earnings Call (Concall) Transcripts, official regulatory filings and the financial data available on Finology Ticker. Certain figures, classifications or comparisons may vary due to differences in accounting policies, reporting methodologies or subsequent restatements by the company. This content is intended solely for informational purposes and should not be considered as investment advice. Investors are advised to refer to the latest company filings and the updated financial data, ratios and disclosures available on this Finology Ticker Bharat Forge page before making any investment decision. Investment in securities market are subject to market risks. Read all the related documents carefully before investing.