Balkrishna Industries Ltd. (BKT) has released its Investor Presentation for May 2026, showcasing a stable fiscal year with Rs. 10,656 crore in revenue and strong segmental contributions. Despite market challenges impacting margins, the company remains focused on its long-term growth strategy, targeting Rs. 23,000 crore in revenue by FY30. Key drivers include capacity expansion in the OHT business, the strategic launch of the on-highway segment, and increased carbon black production capabilities.
FY26 Financial Performance
Balkrishna Industries reported a steady financial performance for FY26, with total revenue reaching Rs. 10,656 crore, remaining flat year-over-year. The company reported an EBITDA of Rs. 2,423 crore, representing a margin of 22.7%. The OHT (Off-Highway Tire) business continues to be the primary engine of growth, contributing approximately 91% to overall revenue with sales volumes of 3,17,356 MT.
Strategic Growth Roadmap to 2030
The company has outlined a clear path to achieve 2.2x revenue growth by FY30, targeting a total turnover of Rs. 23,000 crore. This growth is expected to be driven by three core pillars: the OHT business, which will continue to command a ~70% share, the on-highway business contributing ~20%, and third-party sales of carbon black accounting for ~10%. To support these goals, BKT has approved an additional capex of Rs. 2,000 crore to enhance capacity and automation.
Expansion into On-Highway Segment
A significant highlight for FY26 is the company’s modular entry into the on-highway tire market in India. The company launched commercial vehicle radial tires in February 2026, with plans for a passenger car radial (PCR) tire pilot launch in Q3FY27. This strategic expansion aims to capture a 5% market share in the category by FY30, focusing initially on the Indian replacement market.
Carbon Black and Sustainability Initiatives
BKT is actively expanding its carbon black capacity to leverage synergies with its tire operations. Phase 1 has increased capacity to 265,000 MTPA, with a further expansion to 360,000 MTPA expected to be onstream by Q1FY27. The company continues to prioritize sustainability, evidenced by its Five-Star rating from the British Safety Council and ongoing ESG progress, including significant reductions in non-renewable grid electricity consumption and a strong focus on community development projects.
Source: BSE
