STOVEKRAFTBSEStove Kraft LtdHighNeutral
Announced Tue, 12 May · 17:06 IST

Annual Audited Financial Results for the quarter and financial year ended 31 March 2026 and outcome of the Board Meeting

Emphasis Of MatterEbitda Margin CompressionExceptional ItemResults View source PDF

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Price reaction · full curve 14 horizons · vs prior close
-6.6%1-day move
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AI summary

Stove Kraft Ltd reported annual revenue of Rs. 16,074 million for FY2026, up 10.9% from Rs. 14,498 million in FY2025. Profit after tax grew 9.1% to Rs. 420 million from Rs. 385 million. EBITDA margin showed slight compression from 10.4% to 9.9%. The Board recommended a final dividend of Rs. 3.50 per share (35%). CFO Mr. Ramakrishna Pendyala resigned (effective May 15) and will be succeeded by Mr. Subhadeep Pal (from May 16). The company expanded its ESOP pool from 813,000 to 10,25,000 options. Auditors gave an unmodified (clean) opinion but included an Emphasis of Matter on ongoing Income Tax Department assessments with demands of Rs. 245.3 million, though management believes these won't materially impact finances. Strong operating cash flow of Rs. 2,577 million was generated during the year.

Likely market impact

Revenue and profit growth is positive but below double-digit percentage thresholds, indicating steady rather than exceptional performance. The CFO transition and ongoing tax disputes create near-term uncertainty. The ESOP expansion signals management confidence in future growth. The clean audit opinion is reassuring for investors.