Kirloskar aims at Rs 2100 crore profit steered by biogas orders

Kirloskar Pneumatic Company Limited (KPCL) has reaffirmed its ambition to achieve Rs 2,100 crore in revenue by FY27, supported by steady growth in its core compressor business and increasing traction in green energy solutions. The company is also targeting over Rs 100 crore worth of biogas orders in the current financial year.

In Q1 FY27, KPCL has reported a standalone total income of Rs 308 crore, marking a 10% year-on-year increase. Net profit rose significantly by 21.35% to ₹34.1 crore, compared to Rs 28.1 crore in the same period last year. EBITDA also improved by 23% to Rs 54 crore, driven by a higher-margin product mix. The company’s order book remains strong at Rs 1,853 crore as of July 1, 2026.

Despite seasonal softness in the first quarter, Kirloskar (KPCL) demonstrated resilient profitability, with notable growth in both profit before tax and net profit. Its balance sheet remains debt-free, further strengthened by a recent credit rating upgrade from CRISIL to AA/Stable.

Kirloskar is scaling its Precision Engineering segment, which is expected to contribute 10–15% of total revenues over the next 5–7 years. The company’s focus on indigenous technology development and import substitution continues to support its long-term growth outlook.

Launch of Tonalli

The biogas segment of Kirloskar is emerging as a key growth driver, aided by the launch of “Tonalli” in May, a compact solution for decentralized food waste management. This aligns with rising demand for sustainable energy infrastructure in India.

Tonalli is built by Kirloskar around the principles of the circular economy, aiming for 100 per cent utilization of food and organic waste. The solution is targeted at industrial canteens, hospitality establishments, and residential communities where organic waste is generated continuously.