Bharat Forge, the company of its Chairman Baba Kalyani, who is important in the defense equipment sector, has given the gift of dividend to the investors despite incurring losses. The profit of Bharat Forge Limited, a major company in the defense equipment sector, declined by 17 percent to Rs 233.45 crore in the fourth quarter of the financial year 2025-26. Earlier, the company had made a profit of Rs 282.62 crore in the fourth quarter (January-March) of 2024-25.
The company gave information to the stock market
Baba Kalyani’s company Bharat Forge informed the stock market on Thursday that the operating income increased to Rs 4,528.04 crore in the quarter under review, which was Rs 3,852.6 crore in the same quarter a year ago. During this period, total expenditure increased from Rs 3,483.04 crore to Rs 4,089.33 crore.
Why did the company suffer losses?
In a statement issued by Bharat Forge, it was said that in the fourth quarter, it had to bear a total of extraordinary expenses of Rs 98.73 crore, which included reduction in investment in the subsidiary company, impact of labor code and contingencies related to the restructuring of its German unit Bharat Forge CDP GmbH. Due to these reasons the company had to suffer loss in the fourth quarter.
Dividend gift given to investors
Even though this company working in the defense sector had to suffer losses, the company has announced a dividend gift to the investors. The company said its board of directors has recommended a final dividend of Rs 6.5 on each share of face value Rs 2 for 2025-26. This is subject to shareholder approval at the upcoming annual general meeting. Talking about the entire financial year 2025-26, the integrated net profit of the company during this period was Rs 1,089.4 crore which was Rs 913.28 crore in 2024-25. Revenue increased from Rs 15,122.8 crore to Rs 16,811.65 crore. Actually, these days companies are releasing their fourth quarter results. In this series, Baba Kalyani’s company Bharat Forge has also released its quarterly results.
