Balkrishna Industries Ltd-$ — Q4 FY26 earnings call
Summary generated by AI from the official transcript Balkrishna Industries Ltd-$ filed with BSE on 14 May 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 quarterly and annual OHT volumes in Q4 and FY26, with standalone Q4 revenue of Rs 2,894 crore and full-year revenue of Rs 10,656 crore, roughly flat year-on-year. EBITDA margin for the quarter was 22.9% and for the full year 22.7%, with management citing raw material price increases and geopolitical supply chain headwinds affecting the end of the quarter. Management also discussed progress on the carbon black capacity expansion, the new commercial vehicle radial and two-wheeler tyre launches, and an additional Rs 2,000 crore capex approval for OHT and on-highway categories.
Numbers mentioned
OHT sales volume: 85,820 metric tons (Q4 FY26)
p. 6
“For the quarter, our OHT sales volume stood at 85,820 metric tons, a growth of 5% year-on-year.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
OHT sales volume: 317,356 metric tons (FY26)
p. 6
“For the financial year '26, our volumes stood at 317,356 metric tons.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Standalone revenue: Rs 2,894 crores (Q4 FY26)
p. 6
“Our stand-alone revenue for the quarter stood at INR2,894 crores, registering a growth of 2% year-on-year.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Standalone revenue: Rs 10,656 crores (FY26)
p. 6
“For the financial year '26, stand-alone revenue stood at INR10,656 crores, registering flattish performance on a year-on-year basis.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
EBITDA: Rs 663 crores, margin of 22.9% (Q4 FY26)
p. 6
“The stand-alone EBITDA for the quarter was at INR663 crores with a margin of 22.9%.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
EBITDA: Rs 2,423 crores, margin of 22.7% (FY26)
p. 6
“For the financial year '26, the stand-alone EBITDA was at INR2,423 crores, registering a degrowth of 10% on a year-on-year basis.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Profit after tax: Rs 295 crores (Q4 FY26)
p. 6
“Profit after tax for the quarter was recorded at INR295 crores, while for financial year, we have recorded a PAT of INR1,222 crores.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Capex spend: approximately Rs 2,800 crores (FY26)
p. 6
“Our capex spend for the year was INR2,800 crores approximately.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Net debt: Rs 895 crores (as on 31st March)
p. 6
“Accordingly, we have a net debt of INR895 crores.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Carbon black capacity: 265,000 MTPA (as of December '25)
p. 4
“In December '25, we commissioned our new line for carbon black, taking the total capacity available to us at 265,000 MTPA.”
Rajiv Poddar, page 4 of the filed PDF · View the filing
Captive power plant capacity at Bhuj: 64 MW (February '26)
p. 4
“To ensure energy circularity model, company increased the captive power plant capacity at Bhuj to 64 MW during February '26.”
Rajiv Poddar, page 4 of the filed PDF · View the filing
CVR/OHT fungible capacity added: 800 tyres per day (Phase 1, February '26)
p. 5
“In February '26, we completed Phase 1 of the commercial vehicle radial tyre project with a capex of INR750 crores, adding fungible capacity of 800 tyres per day for CVR and OHT.”
Rajiv Poddar, page 5 of the filed PDF · View the filing
Raw material price increase: approximately 4%, 5% (Q4 FY26)
p. 7
“Raw material prices has gone up by approximately 4%, 5% for the last quarter, the quarter which we ended.”
Madhusudan Bajaj, page 7 of the filed PDF · View the filing
Freight cost as percentage of revenue: about 4.5% to 5% (Q4 FY26)
p. 7
“It was about 4.5% to 5%, and we expect it to go up marginally, the way things are, subject to no further disruption.”
Rajiv Poddar, page 7 of the filed PDF · View the filing
EUR/INR realization: ~INR99 (Q4 FY26)
p. 12
“~INR99 for this quarter for euro.”
Madhusudan Bajaj, page 12 of the filed PDF · View the filing
Two-wheeler tyre capacity: about 100,000 tyres a month
p. 9
“Presently, we are having a capacity of about 100,000 tyres a month.”
Satish Sharma, page 9 of the filed PDF · View the filing
Overall capex plan: Rs 6,800 crores (FY27 to FY29)
p. 11
“Around INR3,000 crores.”
Rajiv Poddar, page 11 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.
Raw material price increase — around 7% to 8% more · Q1 FY27
stated conditionally by Madhusudan Bajaj
p. 7
“This quarter, approximately, it may go up around 7% to 8% more.”
Madhusudan Bajaj, page 7 of the filed PDF · View the filing
Price hikes — around 2% · end of this month
stated firmly by Rajiv Poddar
p. 7
“we are targeting around 2% in this very month, towards the end of this month.”
Rajiv Poddar, page 7 of the filed PDF · View the filing
US volume contribution — back to 10% of volume · FY27
stated as an aspiration by Rajiv Poddar
p. 6
“That is our ambition, and that is what we are targeting for the year.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
FY27 capex — between INR1,500 crores to INR1,800 crores · FY27
stated firmly by Rajiv Poddar
p. 8
“In this financial year, between INR1,500 crores to INR1,800 crores.”
Rajiv Poddar, page 8 of the filed PDF · View the filing
Additional capex — Rs 2,000 crores · staggered over next few years
stated firmly by Rajiv Poddar
p. 10
“It will be staggered over the next few years.”
Rajiv Poddar, page 10 of the filed PDF · View the filing
On-highway business revenue vision — Rs 5,000 crores revenue · by 2030
stated as an aspiration by Satish Sharma
p. 10
“So our stated vision is INR5,000 crores revenue by 2030. We are holding on to that position.”
Satish Sharma, page 10 of the filed PDF · View the filing
EBITDA margin — 23% to 25%
stated as an aspiration by Rajiv Poddar
p. 12
“As we have mentioned, we look at it as a company as a whole, and we have maintained we will be able to keep our sustained levels of EBITDA between 23% and 25%. That is our endeavor.”
Rajiv Poddar, page 12 of the filed PDF · View the filing
PCR tyre launch — end of current calendar year
stated firmly by Rajiv Poddar
p. 4
“Building on this momentum, the company plans to introduce the passenger car radial or PCR tyres by the end of the current calendar year following a phased and calibrated approach.”
Rajiv Poddar, page 4 of the filed PDF · View the filing
TBR capacity expansion — about 3,800 tyres per day
stated firmly by Rajiv Poddar
p. 12
“To about 3,800.”
Rajiv Poddar, page 12 of the filed PDF · View the filing
PCR tyre capacity — 6,700 tyres · first phase, end of calendar year
stated firmly by Satish Sharma
p. 13
“And in the first phase, we should be getting to 6,700 tyres.”
Satish Sharma, page 13 of the filed PDF · View the filing
Maintenance capex — about INR200-odd crores every year
stated firmly by Rajiv Poddar
p. 11
“This is only project. And maintenance is about INR200-odd crores every year, which will be extra, which is also in the past has been always mentioned extra.”
Rajiv Poddar, page 11 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.
Management said it was just short of 10% in FY26 and that reaching 10% again is their target for FY27.
Answered by Rajiv Poddar
Asked by Raghunandhan: What was the US contribution to volume in FY26 and will it return to 10% in FY27 given tariffs?
p. 6
“It was just short of 10%, but close to that number.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Management said they have stopped giving guidance due to geopolitical uncertainty.
Answered by Rajiv Poddar
Asked by Siddhartha Bera: Can you give volume guidance for OHT and CV radial tyres for FY27?
p. 7
“So we stopped giving guidance due to the geopolitical scenarios and uncertainties. But we are, of course, expecting growth, but we don't give guidance on that.”
Rajiv Poddar, page 7 of the filed PDF · View the filing
Management confirmed it covers both capacity expansion and productivity/efficiency improvements.
Answered by Pramod Amthe
Asked by Pramod Amthe: What does the incremental Rs 2,000 crore capex cover, and is it capex or productivity improvement?
p. 8
“So it's a combination of both capex and the productivity improvement, if I heard you right?”
Pramod Amthe, page 8 of the filed PDF · View the filing
Management confirmed they filed as importer of record but have not yet received funds, and part of the refund will be passed back to customers.
Answered by Ravi Joshi
Asked by Arjun Khanna: On the US reciprocal tariff refund, has BKT filed and will it receive the refund or pass it to distributors?
p. 9
“So as a fair practice, obviously, we are supposed to pass back part of it, what was recovered from the customers.”
Ravi Joshi, page 9 of the filed PDF · View the filing
Management said margin pressure may occur near term but reaffirmed the company-wide sustained EBITDA range.
Answered by Rajiv Poddar
Asked by Sagar Parekh: Is the 23%-25% EBITDA margin sustainable given the on-highway scale up, and will there be margin pressure in FY27 from raw material costs?
p. 10
“So at this moment, we are seeing the pressure to come. We are evaluating the situation and see how much we can pass on. But at this moment, we may have some price pressures, margin pressures.”
Rajiv Poddar, page 10 of the filed PDF · View the filing
Management confirmed the figure includes past spend, with around Rs 3,000 crore already spent.
Answered by Rajiv Poddar
Asked by Joseph George: Does the Rs 6,800 crore capex guidance include amounts already spent, and how much is spent so far?
p. 11
“Around INR3,000 crores.”
Rajiv Poddar, page 11 of the filed PDF · View the filing
Management said 30% is consumed internally, 70% sold externally, with margins in line with industry average.
Answered by Madhusudan Bajaj
Asked by Yash Agarwal: What is the split between captive consumption and external sales in carbon black, and expected margins?
p. 11
“30% we are consuming locally from the current capacity, around 70% is sold in the market, and margins are as per industry average.”
Madhusudan Bajaj, page 11 of the filed PDF · View the filing
Management said pricing will be at par with market leaders, relying on product quality and operational excellence rather than discounting.
Answered by Satish Sharma
Asked by Sriram R: What is BKT's pricing strategy for on-highway products relative to the market leader, and how will it gain share?
p. 14
“Our price positioning is at par with the market leaders.”
Satish Sharma, page 14 of the filed PDF · View the filing
Management said they cannot predict peak debt given the volatile environment and ongoing project announcements.
Answered by Rajiv Poddar
Asked by Sriram R: Is the current debt level the company's peak debt?
p. 14
“We can't assume anything. It's a volatile world. It's a moving world. Projects are being announced.”
Rajiv Poddar, page 14 of the filed PDF · View the filing
Management attributed the increase to higher production volumes driving up conversion costs, not a structural change.
Answered by Rajiv Poddar
Asked by Vijay Pandey: What is driving the increase in other expenses this quarter and full year?
p. 15
“So it is in line with that increased production, the other expenses to make those conversion costs, etcetera, which has been accounted for.”
Rajiv Poddar, page 15 of the filed PDF · View the filing
Risks flagged
Raw material price increases due to supply chain disruptions
p. 3
“We are now witnessing raw material price upticks due to supply chain disruptions and are closely monitoring the situation, while maintaining a steady balance between superior product mix and price hikes to partially offset this impact.”
Rajiv Poddar, page 3 of the filed PDF · View the filing
Margin impact from geopolitical scenario affecting supply chain
p. 6
“The margin was particularly impacted towards the end of the quarter on account of headwinds faced due to geopolitical scenario and its impact on supply chain.”
Rajiv Poddar, page 6 of the filed PDF · View the filing
Potential further raw material cost increases in the coming quarter
p. 7
“This quarter, approximately, it may go up around 7% to 8% more.”
Madhusudan Bajaj, page 7 of the filed PDF · View the filing
Freight cost expected to rise further absent disruption
p. 7
“It was about 4.5% to 5%, and we expect it to go up marginally, the way things are, subject to no further disruption.”
Rajiv Poddar, page 7 of the filed PDF · View the filing
Volatility and geopolitical uncertainty preventing forward guidance
p. 10
“So Vijay ji, as I mentioned earlier, it's too volatile to give any guidance, and we'll continue to monitor.”
Rajiv Poddar, page 10 of the filed PDF · View the filing
Possible margin pressure from raw material cost pressures in FY27
p. 10
“So at this moment, we are seeing the pressure to come. We are evaluating the situation and see how much we can pass on. But at this moment, we may have some price pressures, margin pressures.”
Rajiv Poddar, page 10 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.