Bearings manufacturer SKF India Ltd reported a significant deterioration in its third-quarter performance, with net profit falling 43.4% year-on-year to ₹62 crore from ₹109.5 crore in the corresponding quarter last year. According to reports from CNBC TV18, the company's revenue dropped 54.1% to ₹576.6 crore compared with ₹1,256.1 crore in the same period last year, indicating substantial business contraction during the quarter. The latest market data shows SKF India shares trading at ₹1,749.55, down ₹14.85, or 0.84% following the earnings announcement, reflecting investor concerns over the significant profit decline and revenue contraction despite operational improvements.
Despite the sharp revenue contraction, SKF India achieved EBITDA margin improvement to 14.2% from 9.6% in the year-ago period. As reported by CNBC TV18, EBITDA declined 32% year-on-year to ₹82.3 crore from ₹121.1 crore in the same period last year, reflecting the company's ability to maintain operational efficiency despite challenging market conditions. The company's margin expansion demonstrates effective cost management and operational resilience during the difficult operating environment.
The company recorded a one-time statutory impact of ₹2.4 crore following the notification of four Labour Codes on November 21, 2025, mainly towards gratuity under exceptional items in its Q3 results. According to CNBC TV18, this regulatory impact contributed to the overall financial performance decline during the quarter, highlighting the immediate cost implications of new labour legislation on corporate earnings.
Following the earnings announcement, shares of SKF India Ltd ended at ₹1,749.55, down ₹14.85, or 0.84% on the BSE. As reported by CNBC TV18, the market reaction reflected investor concerns over the significant profit decline and revenue contraction despite the company's margin improvement efforts. The current trading price of ₹1,749.55 represents a decline from the previous session's performance, indicating continued market uncertainty about the company's near-term prospects.
