Bharat Forge Q4FY26: Stock hits high as revenue jumps 18%

Stock jumps to a fresh 52-week high

Bharat Forge shares rallied sharply after the company reported results for the March 2026 quarter (Q4FY26) and management outlined a strong growth outlook for FY27. The stock surged over 8% intraday to hit a 52-week high of ₹2,026.6 on the NSE. Around 02:20 PM, it traded at ₹1,967, up 5% from the previous close of ₹1,874. The move stood out on a relatively quiet day for the broader market. The NSE Nifty50 was near-flat at 24,342.45, up 11.5 points or 0.05% at the same time.

Outperformance versus the index remains visible

On a year-to-date basis, Bharat Forge was reported to be up over 27%, while the Nifty50 was down 6.8%. The company’s market capitalisation was stated at ₹94,073.5 crore. The latest rally also extended a strong one-year run, with another report noting the stock had risen over 74% in the past year, outperforming the Nifty Midcap 50 index, which gained nearly 14% in the same period. The price action suggests investors were reacting more to operating momentum and visibility on future orders than to the quarterly profit decline.

Q4FY26 revenue rises while profit falls

For Q4FY26, Bharat Forge reported consolidated revenue from operations of ₹4,528.04 crore, compared with ₹3,852.6 crore in Q4FY25. Operating profitability also improved. EBITDA rose to ₹778 crore in Q4FY26 from ₹681 crore a year ago. The EBITDA margin was reported at 17.81% versus 17.68% in the comparable quarter.

Consolidated profit after tax (PAT) for the quarter stood at ₹233.44 crore, compared with ₹282.62 crore in the year-ago period. While the write-ups described the decline in different terms, they consistently highlighted that the bottom line was weaker year on year even as revenue and EBITDA grew.

Exceptional loss flagged as a key factor

One report attributed the weaker quarterly profit to an exceptional loss of nearly ₹99 crore during the March quarter. That context helped explain why the market response remained positive despite the drop in PAT. Investor focus appeared to be on revenue growth, improved operating performance, and the outlook commentary. The reaction also reflected how investors often treat one-time items differently from core operating trends, especially when order inflows and guidance indicate sustained activity.

Order wins led by Defence and growing order book

Chairman and Managing Director BN Kalyani (also referred to as Baba Kalyani in the reports) said Bharat Forge secured new orders worth ₹4,814 crore in FY26. Of this, ₹2,816 crore came from the Defence business, underlining the segment’s rising contribution to incremental order inflows.

Management also disclosed that the Defence order book stood at ₹10,961 crore as of FY26. This order book figure was highlighted as an indicator of longer-term demand visibility in India’s defence manufacturing ecosystem and an important pillar supporting the company’s growth narrative beyond its traditional automotive-linked business.

Aerospace momentum and diversification beyond auto

Bharat Forge pointed to improving business momentum across segments, including aerospace. Management said the company onboarded new customers across engine, structural and landing gear components. The broader messaging was that order wins were not limited to a single vertical, and that multiple businesses were contributing to activity.

The commentary also aligned with the market’s preference for companies that are diversifying into higher-value precision manufacturing, where the mix can support steadier utilisation and potentially better profitability through cycles. The reports noted that defence, aerospace, industrials and energy are increasingly contributing to growth.

FY27 guidance: 25% revenue growth target for Indian operations

A key trigger for the rally was management guidance for FY27. BN Kalyani said the company is optimistic of achieving 25% revenue growth in its Indian manufacturing operations in FY27, alongside a commensurate increase in EBITDA and profitability. The drivers cited were execution of orders across businesses and a recovery in the export market.

However, management explicitly added a caveat that this outlook assumes no major geopolitical crisis and no adverse impact on demand. Another report also flagged geopolitical risks and global demand uncertainty as monitorables, particularly given the company’s export exposure.

What the market took away from the results

The day’s trading suggested investors prioritised three signals: strong revenue growth in Q4FY26, improving operating profitability, and the scale of FY26 order wins with a sizeable defence order book. The upbeat reaction also came amid broader investor interest in manufacturing and defence-linked themes, supported by expectations around localisation initiatives and capital expenditure cycles.

At the same time, the quarterly profit decline and references to exceptional losses provide an important counterbalance for investors assessing earnings quality. With management placing emphasis on order execution and export recovery, future quarterly performance will likely be watched for how quickly these factors translate into reported profitability.

Key numbers at a glance

Conclusion

Bharat Forge’s Q4FY26 print combined higher revenue and EBITDA with a weaker reported PAT, with an exceptional loss cited as a drag on the bottom line. The stock still moved to a fresh 52-week high as investors reacted to FY26 order inflows, a large defence order book, and management’s FY27 target of 25% revenue growth in Indian manufacturing operations, subject to geopolitical stability.