Kirloskar ferrous industries ltd

About Company
Kirloskar ferrous industries ltd is a flagship company of kirloskar group, promoted by kirloskar oil engines ltd. At present KFIL is having two manufacturing plants, one at Koppal district in Karnataka state and another at Solapur in Maharashtra state.KFIL is in the business of pig iron, grey iron casting and S.G. iron casting.
Koppal Plant has an installed Pig Iron manufacturing capacity of 360,000 MT per annum and Casting manufacturing capacity of 108,000 MT per annum. Solapur plant has an installed casting manufacturing capacity of up to 42,000 MT per annum.
KFIL supplies Pig iron to foundries who cater to the Auto, Engines & Compressors, Textile, Pumps, Pipes & Fittings & Fans etc
KFIL – Foundry is equipped to produce Grey Iron & S.G Iron Castings for a variety of applications such as Cylinder Blocks, Cylinder heads & different types of housings required by Automobile, Tractor, & Diesel engine Industries.

Current News
Company, will carry out upgradation work at its Koppal plant in Karnataka to raise the pig iron capacity at the site by 31,000 metric tonne per annum (MTPA) with an investment of around Rs 36 crores.
one mini blast furnace (MBF-I) of the company situated at Koppal plant in Karnataka has been shut down on September 19, 2016, for around 85 days on account of MBF-I upgrade,” said the company in a BSE filing.

The MBF-I upgrade will involve changing of outer shell of the furnace along with new refractory brick relining internally. “After upgradation, the liquid metal production capacity (for manufacturing pig iron) in respect of MBF-I will increase from 180,000 metric tonne per annum (MTPA) to 211,400 MTPA and consequently total production capacity of two mini-blast furnaces at the company level will increase from 360,000 MTPA to 391,400 MTPA,” the company added.

i have attached the last five year analysis of the company
Quantitative analysis Kirloskar Ferrous.xls (72.5 KB)

company is supplying its product to volvo and their is a news that the deal with volvo is at a huge volume and for longer term contract

is anyone having information about this news or have some other information about this company??


Are the director supposed to buy when result is due in few days?

Results came in today…

Q3_Kirloskar.pdf (690.3 KB)

The price mentioned here is Rs 50. Which means either it’s an old acquisition or allotment of ESOPs. Either way doesn’t seems to be an issue.

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Excellent set of numbers for FY21
Any views

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Do you have the link/copy of the latest concall of this company?

You will get it on Research Bytes (requires a free login)

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Slowly this counter is scaling ATH. When is Q3 results are going to be declared, generally which is the source to know the companies result date announcement?

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ISMT has been acquired by KFL… Is SFIO (Serious Fraud Investigation Office) enquiry being done for ISMT ??. Any disclosure by Kirloskar Ferrous in this regard…


It should be possibly be a case on erstwhile promoters of ismt.
In any bankrupt or near bankruptcy company there are several cases (including criminal cases like fraud etc).
Once banks have given approval and new bidder has taken over the “company” after a due process under law, in my opinion the company per se operates with new promoters while the liability remains on previous promoters and Cases go on. I have personal experience in a real estate project where in old builder is facing humungous cases while company has been taken over by new builder.
Disc: the above are personal opinions and i have investment in kfil.


Iron & Steel/Intermediate Products company Kirloskar Ferrous Industries announced Q2FY24 results:

Consolidated Q2FY24:

  • Operating revenue at Rs 1,559.7 crore for Q2FY24 vs Rs 1,502.5 crore for Q1FY24; 4% increase QoQ
  • EBITDA at Rs 252.3 crore for Q2FY24 vs Rs 207.4 crore for Q1FY24; 22% increase QoQ
  • EBITDA margin at 16% for Q2FY24 vs 14% for Q1FY24
  • PBT (before exceptional Item) at Rs 169.8 crore for Q2FY24 vs Rs 135.9 crore for Q1FY24; 25% increase QoQ
  • PAT at Rs 81.7 crore for Q2FY24 vs Rs 92.9 crore in Q1FY24; 12% decrease QoQ
  • Standalone Q2FY24:
    • Operating revenue at Rs 879.8 crore for Q2FY24 vs Rs 926.5 crore for Q1FY24; 5% decrease QoQ
    • EBITDA at Rs 132.7 crore for Q2FY24 vs Rs 127 crore for Q1FY24; 5% increase QoQ
    • EBITDA margin at 15% for Q2FY24 vs 14% Q1FY24
    • PBT at Rs 75.9 crore for Q2FY24 vs Rs 71.3 crore for Q1FY24; 7% increase QoQ
    • PAT at Rs 56.9 crore for Q2FY24 vs Rs 53.8 crore for Q1FY24; 6% increase QoQ

Commenting on the Q2FY24 results, R.V.Gumaste, Managing Director, KFIL, said,
Kirloskar Ferrous Q2 FY24.pdf (2.0 MB)
“This has been a challenging quarter especially due to the pressure of high input commodities prices. All our planned shutdowns are done now, and we expect normalized production capacities for the second half of the year. Casting demand for commercial vehicles and off-highway vehicles continued strong, however, demand from the tractor industry was subdued. During the quarter we completed the acquisition of Oliver Engineering and we have taken management control as of 29th September 2023.”

Sudden spurt in prices today, no news were reported. Any idea? Post the poor results, the stock was hit very hard. Now moving towards its 52w high.

Primarily due to Ismt turnaround

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Great presentation from #DigantHaria

Sector Dynamics:

KFIL Story in a nutshell:


Disciplined execution to respectable ROCE across the cycle.

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ICRA Rating update 29 Dec '23:

  • The ratings derive comfort from the backward integration achieved at KFIL‘s manufacturing plant through coke oven plant and captive power generation, which leads to substantial cost savings. The cost structure would further improve once the captive iron oremines become operational.

  • ICRA expects ISMT’s healthy credit metrics to sustain in FY2024 on the back of its focus on value added/high margin products, debottlenecking activities and various cost and efficiency optimisation measures to be undertaken by the company (including setting up a solar power plant to reduce power cost). Going forward, the consolidated performance of KFIL is likely to be driven by improving operating and financial parameters of ISMT.

  • Besides, in September 2023, KFIL acquired a 100% stake in Oliver Engineering Private Limited (OEPL) for ~Rs. 112 crore (debt funded). OEPL manufactures simple castings with a capacity of 28,000 MTPA in Punjab. Being in the similar line of business, OEPL’s acquisition provides KFIL entry into the North India market in the castings segment

  • KFIL has substantial capex plans (at the consolidated level) of Rs. 600-800 crore per annum over the next two years towards installation of pulverised coal injection, capacity expansion, solar power project, setting up of alloy steel plant, debottlenecking, and other cost saving projects, which would keep its debt levels elevated. Along with high debt repayments of around Rs. 300 crore per annum in FY2024 and FY2025, these would keep its free cash flows under check