Bharat Forge Q3 profit rises 28% despite ₹56 cr exceptional hit; EBITDA at ₹750 crore
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Automotive and aerospace forging major Bharat Forge on Thursday reported a 28.14% year-on-year (YoY) increase in its consolidated net profit at ₹273 crore for the quarter ended December 31, 2025 (Q3 FY26). The company had reported a net profit of ₹213 crore during the same quarter of the previous fiscal (Q3 FY25).
Top-line growth and defence momentum
The Pune-based multinational saw its consolidated revenue from operations jump 24.9% YoY to ₹4,343 crore, compared to ₹3,476 crore in the year-ago period. This growth was primarily fuelled by a massive surge in the defence and industrial segments, which helped offset the weakness in international automotive markets. Notably, the company’s defence revenue surged 102% YoY to ₹682 crore, as execution of its massive ₹11,130 crore order book gathered pace.
EBITDA and margin
On the operational front, Bharat Forge maintained steady performance despite global headwinds. As per the latest consolidated results, the EBITDA stood at ₹750.3 crore for the quarter, marking a 20.3% growth over the ₹6,238 million reported in Q3 FY25. The consolidated EBITDA margin stood at 17.3%, showing a slight moderation from the 18% seen in the previous year, largely due to a shift in the product mix and higher raw material costs.
Labour code impact
The bottom line was impacted by an exceptional loss of ₹55.72 crore during the quarter. This one-time charge was primarily on account of the newly notified labour codes by the government of India.
Dividend and outlook
The board has declared an interim dividend of ₹2 per equity share, and set the record date as February 18, 2026.
Chairman and managing director Baba Kalyani expressed optimism, stating that "the worst is behind us." He said that with domestic markets looking strong and the commencement of the ATAGS (advanced towed artillery gun system) execution in H2 FY27, Bharat Forge expects high double-digit top-line growth and a commensurate impact on overall profitability.
The shares of Bharat Forge ended 2.23% higher at ₹1,713.70 apiece on the national stock exchange on Thursday. The company's stock has surged over 55% in the past year, outperforming the benchmark Nifty 50 index that has risen nearly 11% during the same period.