Bharat Forge Limited (BFL) announced its financial results for the quarter ended December 31, 2025, reporting strong sequential growth during the period.

The quarterly performance continued to be impacted by de-stocking in the North American CV market. Standalone revenues increased 7.0 per cent sequentially to Rs 20,840 million, while EBITDA stood at Rs 5,690 million, up 4.6 per cent quarter-on-quarter, translating into an EBITDA margin of 27.3 per cent. The performance was supported by strong growth in the domestic automotive business and execution of the defence order book.

Export revenues witnessed a 3 per cent sequential decline, with the auto sector down 13 per cent and industrials showing an 11 per cent increase. During Q3, the company secured new orders worth Rs 23,880 million, including Rs 18,780 million in Defence. As of December 31, 2025, the defence order book stood at Rs 111,300 million. Bharat Forge signed the CQB Carbine contract with the Ministry of Defence for the supply of more than 250,000 units to the Indian armed forces. This order unlocks significant growth opportunities for the Small Arms vertical within the Defence business.

During the quarter, JS Autocast (JSA) recorded revenue of Rs 2,030 million and EBITDA of Rs 320 million (15.7 per cent EBITDA margin), representing a 22 per cent and 39 per cent year-on-year increase, respectively.

K-Drive Mobility, a supplier of axle assemblies across segments, witnessed a muted topline but a sharp improvement in profitability, with EBITDA margins increasing from 3.1 per cent in Q2 FY26 to 5.1 per cent in the current quarter. The company expects the margin profile to continue improving over a three-year timeframe.

The US and European operations reported modest operating profits despite seasonal weakness in the PV market. The review of the European steel manufacturing footprint is on track, with concrete measures expected to be in place by the end of the fiscal year.

Commenting on the performance, Baba Kalyani, Chairman & Managing Director, said, “Looking ahead into Q4 FY26 and FY27, it is fair to say that the worst is behind us and things are starting to look up. With both domestic and exports markets looking strong across sectors, and the commencement of ATAGS execution in H2 FY27, we expect high double digit top line growth and commensurate impact on profitability.”