Bharat Forge Maintains Strong Operational Momentum in Q2 FY26; Defence and Domestic Businesses Lead Growth

Bharat Forge Limited (BFL) delivered a resilient performance in the second quarter of FY26, reinforcing its strong domestic foundation and growing defence presence, even as global markets remained subdued.

The company reported standalone revenue of ₹1,947 crore, reflecting temporary softness in North American commercial vehicle (CV) exports. Despite this, EBITDA remained strong at ₹545 crore, maintaining a healthy 28% margin, supported by operational efficiency and a favourable product mix. Profit before tax (PBT) stood at ₹432 crore, while net profit (PAT) was ₹310 crore, showcasing BFL’s ability to sustain profitability despite market headwinds.

At the consolidated level, Bharat Forge recorded revenue of ₹4,032 crore, up from ₹3,909 crore in Q1 FY26, driven by strong traction across Indian manufacturing and defence operations. EBITDA stood at ₹715 crore, with a margin of 17.7%, reflecting the company’s diversified business strength.

During the first half of FY26, BFL secured new orders worth ₹1,582 crore, including ₹559 crore in defence, further enhancing its defence order book to ₹9,467 crore. As part of its long-term strategy to scale its presence in the defence sector, Bharat Forge successfully transferred all defence-related assets to its wholly owned subsidiary, Kalyani Strategic Systems Limited (KSSL).

Chairman and Managing Director Baba Kalyani said the company’s efforts to de-risk and diversify operations have enabled it to navigate global demand fluctuations effectively.
“While North American truck production saw a sharp correction, our focus on domestic industrial growth and defence manufacturing helped maintain strong margins and profitability. Our strategic diversification continues to deliver tangible results,” he said.

The company’s Indian manufacturing operations remained a key growth driver, reporting ₹2,746 crore in revenue and ₹676 crore in EBITDA for the quarter, underscoring Bharat Forge’s strong positioning in sectors such as defence, aerospace, castings, and advanced engineering.

BFL continues to maintain a robust balance sheet, with cash reserves of ₹2,309 crore and a net return on capital employed (ROCE) of 15.5%, providing a strong platform for future expansion.

Looking ahead, the company expects domestic demand, defence projects, and non-US export markets to fuel growth in the second half of FY26. Bharat Forge’s ongoing review of its European operations is progressing on schedule, with strategic outcomes expected by the fiscal year-end.

With a clear focus on innovation, diversification, and sustainable growth, Bharat Forge remains confident of strengthening its leadership position in India’s manufacturing and defence ecosystem.