Announced Thu, 22 Jan · 15:11 IST

Unaudited financial result for the quarter and nine months ended December 31, 2025

Ebitda Margin CompressionResults View source PDF

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AI summary

Forbes Precision Tools reported Q3 FY26 revenue from operations of Rs 6,437 lakhs, up about 12% from Rs 5,741 lakhs in Q3 FY25, but profit after tax fell roughly 13.5% YoY to Rs 559 lakhs (vs Rs 646 lakhs). For the nine months ended Dec 2025, revenue rose about 8% YoY to Rs 18,005 lakhs, while PAT declined nearly 10% to Rs 1,771 lakhs. Sequentially, Q3 PAT dropped sharply from Rs 830 lakhs in Q2 FY26, and PBT margin compressed to about 12.5% from around 17.5% a year ago. The company absorbed a one-time Rs 387 lakh past service cost arising from the new Labour Codes notified in November 2025, which was charged to employee benefit expense. Auditor Sharp & Tannan Associates issued an unqualified limited review report with no modifications or emphasis of matter. An interim dividend of Rs 5 per share was declared earlier in FY26.

Likely market impact

Revenue growth is healthy but profitability is under clear pressure, with both YoY and QoQ PAT declines and visible margin compression — shareholders should watch whether margin recovery follows in Q4. The one-time Labour Code charge is non-recurring but highlights rising employee cost obligations going forward.