Synopsis:
Kirloskar Brothers Ltd is in focus after receiving a domestic contract by Indian Oil Corporation Limited.
A small-cap stock engaged in the business of engineering and manufacturing of systems for fluid management, is in the spotlight after receiving a domestic contract by Indian Oil Corporation Limited.
With the market capitalization of Rs. 15,818.26 crore, the shares of Kirloskar Brothers Ltd are trading at Rs. 1,992, up by 3.23 percent from its previous day’s close price of Rs. 1,929.70 per equity share. Stock made a high of Rs. 2,029 up 5.15 percent.
Work Order
Kirloskar Brothers Ltd has been awarded a domestic contract by Indian Oil Corporation Limited for the supply of over 14,000 pump sets. The contract specifies 100 percent payment upon delivery and is to be executed within 12 months from the award date.
As of June 2025, the company has a standalone order book of Rs. 1,929 crore from various sectors including Rs. 913 crore from Irrigation and water resource sector, Rs. 461 from Power sector, Rs. 162 crore from Industry, Rs. 141 crore from building and construction. From customer support & ESD they have Rs. 100 crore order, Rs. 61 crore from marine and defence, Rs. 57 crore from oil & gas sector and Rs. 34 crore from valves.
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About the Company & Financials
Kirloskar Brothers Limited, founded in 1888 and headquartered in Pune, is a global fluid management company specializing in pumps, valves, and pumping systems. Its product range includes utility, solid-handling, process, split-case, multi-stage, turbine, submersible, firefighting, HVAC, and engineered pumps, along with various valves and monitoring systems.
The solutions cater to applications such as water supply, irrigation, desalination, sewage treatment, flood control, firefighting, power, marine, and industrial processes. The company serves diverse industries including chemicals, pharma, sugar, steel, cement, mining, food, textiles, oil and gas, construction, and defense.
In Q1FY26, the company reported revenue of Rs. 979 cr, down 5.1 percent YoY from Rs. 1,031 cr in Q1FY25 and down 23.6 percent QoQ from Rs. 1,281 cr in Q4FY25. Profit rose to Rs. 68 cr, up 3 percent YoY from Rs. 66 cr in Q1FY25, but declined 50.7 percent QoQ from Rs. 138 cr in Q4FY25, reflecting lower sales despite marginally higher profitability.
A return on equity (ROE) of about 21.6 percent, the return on capital employed (ROCE) of about 27.6 percent and the debt-to-equity ratio of 0.09, demonstrate the company’s financial position. At the moment, the company’s P/E ratio is 37.6x lower as compared to its industry P/E 42.1x.
Written by Akshay Sanghavi
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