Balkrishna Industries Ltd-$ — Q1 FY27 earnings call
Summary generated by AI from the official transcript Balkrishna Industries Ltd-$ filed with BSE on 05 Aug 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Balkrishna Industries reported its highest-ever OHT segment sales volume in Q1 FY27, with 16% year-on-year volume growth and standalone revenue of Rs 3,409 crores, up 24% year-on-year. EBITDA margin came in at 20.61%, impacted by raw material cost pressures and a higher share of India volumes, partially offset by price hikes taken during the quarter. Management also detailed progress on Carbon Black capacity expansion to 360,000 MTPA and the initial rollout of its On-Highway business in TBR and 2-wheeler segments.
Numbers mentioned
OHT segment volume: 93,770 metric tons (Q1 FY27)
p. 6
“For the quarter, our OHT segment volume stood at 93,770 metric tons, a growth of 16% year on-year.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Standalone revenue: INR3,409 crores (Q1 FY27)
p. 6
“Our stand-alone revenue for the quarter stood at INR3,409 crores, registering a growth of 24% year-on-year.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
EBITDA: INR703 crores (Q1 FY27)
p. 6
“The stand-alone EBITDA for the quarter was at INR703 crores with a margin of 20.61%.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
EBITDA margin: 20.61% (Q1 FY27)
p. 6
“The stand-alone EBITDA for the quarter was at INR703 crores with a margin of 20.61%.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Profit after tax: INR432 crores (Q1 FY27)
p. 6
“Profit after tax stood for the quarter at INR432 crores.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Capex: approximately INR1,000 crores (Q1 FY27)
p. 6
“Our capex for this quarter stood at approximately INR1,000 crores.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Gross debt: approximately INR4,690 crores (as on June 30, 2026)
p. 6
“As on June 30, '26, gross debt and cash and cash equivalents were approximately INR4,690 crores and INR2,965 crores, respectively.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Cash and cash equivalents: approximately INR2,965 crores (as on June 30, 2026)
p. 6
“As on June 30, '26, gross debt and cash and cash equivalents were approximately INR4,690 crores and INR2,965 crores, respectively.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Net debt: approximately INR1,725 crores (as on June 30, 2026)
p. 6
“Accordingly, we have a net debt of approximately INR1,725 crores.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Euro rate: around INR102 (Q1 FY27)
p. 6
“The euro rate for the quarter was around INR102.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Interim dividend: INR4 per equity share (FY27)
p. 6
“The Board of Directors has recommended a first interim dividend of INR4 per equity share.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Carbon Black capacity: 360,000 MTPA (Q1 FY27)
p. 4
“In this quarter, we commissioned our Phase II of Carbon Black plant, taking the total capacity to 360,000 -MTPA.”
Rajiv Poddar, page 4 of the filed PDF · View the filing
Captive power plant capacity: 64 megawatts (Q1 FY27)
p. 4
“For the energy circularity model, we have also increased our captive power plant to 64 megawatts.”
Rajiv Poddar, page 4 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Total capex for FY27 — between INR1,500 crores to INR2,000 crores additional · FY27
stated firmly by Rajiv Poddar
p. 8
“Around additional about between INR1,500 crores to INR2,000 crores.”
Rajiv Poddar, page 8 of the filed PDF · View the filing
On-Highway tires revenue — INR5,000 crores · by 2030
stated firmly by Satish Sharma
p. 12
“I think the vision statement states that INR5,000 crores revenue from On-Highway tires by 2030, we're standing on that figure.”
Satish Sharma, page 12 of the filed PDF · View the filing
Total capex plan for growth to INR23,000 crores topline — INR6,800 crores
stated firmly by Rajiv Poddar
p. 9
“capex is INR6,800 crores. Out of that, we have spent roughly INR3,800 crores, INR3,000 crores is balance.”
Rajiv Poddar, page 9 of the filed PDF · View the filing
US market share — 15%, 16%
stated as an aspiration by Rajiv Poddar
p. 10
“in the U.S.A., we expect the markets to go back to, as you rightly said, 15%, 16%.”
Rajiv Poddar, page 10 of the filed PDF · View the filing
Raw material cost impact on margins — 2% of margins · coming quarter
stated conditionally by Madhusudan Bajaj
p. 7
“Out of that, we are expecting it may impact 2% of our margins in the coming quarter.”
Madhusudan Bajaj, page 7 of the filed PDF · View the filing
On-Highway business ramp-up — starting Q2
stated firmly by Rajiv Poddar
p. 5
“Having seeded the business in Q1, we expect a gradual ramp-up starting Q2.”
Rajiv Poddar, page 5 of the filed PDF · View the filing
On-Highway business scale — FY28 onwards
stated as an aspiration by Satish Sharma
p. 12
“And we continue to release more and more products.”
Satish Sharma, page 12 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
India market share is around 18-19%, US is 3-4%, and Europe is roughly 7-8%.
Answered by Rajiv Poddar
Asked by Raghunandhan: What is the current market share in India, US, and Europe for the Off-Highway segment?
p. 6
“So India, market share is around close to 18%, 19%. U.S. is about 3% to 4%.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
A price hike of about 5% was taken across the quarter, with more raw material inflation expected in Q3.
Answered by Rajiv Poddar
Asked by Raghunandhan: What price hike was taken and what is the commodity inflation outlook?
p. 7
“So we have taken on a price hike of about 5% scattered across the various parts of the quarter, you will see the full pass-through coming in this quarter.”
Rajiv Poddar, page 7 of the filed PDF · View the filing
Management said there may be some increase if the current geopolitical scenario continues.
Answered by Rajiv Poddar
Asked by Siddhartha Bera: Will freight rate increases continue into upcoming quarters?
p. 8
“We may see some change if the scenario continues the way it is now with the stop in the peace process. So we may see some impact coming.”
Rajiv Poddar, page 8 of the filed PDF · View the filing
Management said inventory levels are normal and they do not see meaningful prebuying.
Answered by Rajiv Poddar
Asked by Vijay Pandey: Was there any dealer prebuying in Europe ahead of price increases?
p. 10
“No, we don't see any prebuying in the sense the level that -- as I mentioned earlier, the levels are normal.”
Rajiv Poddar, page 10 of the filed PDF · View the filing
The increase reflects Gujarat minimum wage hikes, staff increments, and additional hiring to support the new business.
Answered by Sushil Mishra
Asked by Raghunandhan: What is driving the increase in employee costs this quarter?
p. 13
“I think -it is a permutation combination of 2, 3 things. One is, as you rightly said, the increase in wages in Gujarat -.”
Sushil Mishra, page 13 of the filed PDF · View the filing
Management declined to give forward-looking statements on sales momentum.
Answered by Rajiv Poddar
Asked by Disha Sheth: Will the current sales momentum sustain in coming quarters given the order book?
p. 13
“So we don't give forward-looking statements, and we'll refrain from doing the same.”
Rajiv Poddar, page 13 of the filed PDF · View the filing
Risks flagged
Geopolitical uncertainty affecting supply chain, material availability and costs
p. 4
“For upcoming quarters, we would like to highlight geopolitical uncertainty with supply chain impacts on both availability of materials as well as the costs, availability of vessels, containers and freight costs as well.”
Rajiv Poddar, page 4 of the filed PDF · View the filing
Weather challenges in Europe and uncertain monsoon in India
p. 4
“These, along with weather challenges in Europe and the sketchy monsoon expected in India, are key variables towards near-term performance -.”
Rajiv Poddar, page 4 of the filed PDF · View the filing
Geopolitical challenges impacting Carbon Black pricing and supply due to rising crude prices
p. 4
“Going forward, we expect geopolitical challenges to impact the pricing and supply of Carbon Black on the back of increased crude prices.”
Rajiv Poddar, page 4 of the filed PDF · View the filing
Margin impact from higher India volume mix, which carries relatively lower margins
p. 6
“Further, India's contribution has increased to overall 40% of the volumes, which has impacted the margin slightly.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Possible further freight rate increases if the current disrupted scenario continues
p. 8
“There will be some part which will -- I mean, if the scenario continues like this, we had a dip in the middle and then again back up, we thought it would have subsided.”
Rajiv Poddar, page 8 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.