SKF India (Industrial) Ltd makes industrial bearings and serves OEM, distribution and export channels across wind, railways, general machinery and agriculture. The Q2 print will test whether the promised taper of one-off forex and demerger costs lifts the PBT margin from 9.0% toward the guided ~12% recovery, and whether the +18.3% YoY revenue momentum holds.
| Results date | November 04, 2026 |
|---|---|
| Quarter | Q2 FY 2026-2027 |
| Previous quarter revenue | Rs. 970.77 Cr |
| Previous quarter PAT | Rs. 61.92 Cr |
| Market cap | Rs. 11,708.89 Cr |
| CMP | Rs. 2,368.4 |
A board meeting has been called for November 4, 2026 to approve the Q2/H1 FY27 unaudited results.
The central question for Q2 FY27 is whether the one-off cost taper management promised — forex losses of Rs. 147 Mn and demerger IT-separation costs of about Rs. 150 Mn in Q1, expected to "significantly reduce this quarter" — shows up in the PBT margin print, which stood at 9.0% in Q1 FY27 against a guided recovery toward ~12% and a 14.0–16.0% PBT band.
Demand indicators inside the quarter were supportive: capital-goods IIP grew +16.1% YoY in July and +16.9% in August, wind installations rose ~30% QoQ to 1,757.68 MW, and tractor registrations grew +16.9% YoY, consistent with the order-book momentum management flagged and the 8% interim growth target that Q1 already beat at +18.3% YoY.
The margin leg is harder: manufactured-products WPI inflation accelerated from 8.29% in July to 9.76% in September and the rupee depreciated about 1.6% over the quarter, extending the 3–4% RM/FX escalation the company is addressing through price hikes across OEM and distribution channels. Mix matters too — distribution earns "high double-digit" margins versus OEM "high single-digit", and the higher-margin distribution channel held 34% of Q1 FY27 revenue after an 8.5% QoQ fall in 4QFY26.
This is also the first results call for Managing Director Sujeeth Pai, who took charge on September 1, 2026, with the ACES strategy, the doubling-in-five-years agenda and the Rs. 800–950 crore capex program through 2030 on the agenda.
Performance vs Guidance Tracking: Management's guidance stack and where actuals stand:
One-off cost trajectory and new MD's first call
Distribution channel recovery and price pass-through
Pune plant and TRB milestones
Q1 FY27's PBT margin of 9.0% carried a Rs. 147 Mn forex loss and about Rs. 150 Mn of demerger IT-separation costs, a combined adverse impact of about 3% on margins. Management expects one-offs to "significantly reduce this quarter" and has guided margin recovery from ~9% toward ~12%, with demerger costs ceasing within "the next two quarters" from the August 2026 call.
Management has said the distribution channel earns "high double-digit" margins while the OEM channel earns "high single-digit" margins. OEM is considered essential to drive aftermarket share and improve the overall mix.
Management has guided a PBT margin of 14.0–16.0% on an open-ended basis, framed as conservative, with an ambition of 17–19% and improvements anticipated beyond 2028. It has also guided a 15% EBITDA margin until FY2029-2030.
Yes — Q1 FY27 revenue grew +18.3% YoY to Rs. 970.77 Cr, well above the 8% interim growth target set until the new Pune plant is operational. Growth was strong across wind, general machinery and agriculture (tractors), with sustained order-book growth on positive macro indicators in India.
The company has guided capex of INR 800–950 crores through 2030, primarily for the new Pune plant plus DGBB and TRB product-line machinery, with the Pune plant to be commissioned by end of calendar year 2028. One additional TRB channel is due by early 2027, and the capex carries an expected payback of five to seven years.
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