MRF Ltd

Financial highlights

• Consolidated total income Rs 8,610.56 crore for quarter ended 30 Jun 2026, up from Rs 7,804.23 crore.
• Consolidated PBT Rs 649.69 crore versus Rs 671.83 crore.
• Tax provision Rs 154.34 crore; net profit Rs 495.35 crore vs Rs 501.82 crore.

Operational developments

• Demand from OE manufacturers buoyant; vehicle sales grew; replacement demand robust.
• Higher input costs impacted profitability; price increases and cost management partially offset.
• Raw material prices firm due to Middle East conflict; margins expected to be affected.

Outlook

• Margins expected to remain under pressure from sustained higher input costs.

Standalone financials

• Standalone Q1 FY27 revenue from operations Rs 8,291.56 cr; total income Rs 8,483.04 cr.
• Standalone Q1 FY27 PBT Rs 624.54 cr; PAT Rs 474.37 cr; Basic EPS Rs 1,118.51.
• Standalone results are unaudited, with limited review by statutory auditors.

Consolidated financials

• Consolidated Q1 FY27 revenue from operations Rs 8,415.50 cr; total income Rs 8,610.56 cr.
• Consolidated Q1 FY27 PBT Rs 649.69 cr; PAT Rs 495.35 cr; Basic EPS Rs 1,167.97.
• Consolidated results are unaudited, with limited review by statutory auditors.
• Board approved unaudited consolidated results for quarter ended 30 Jun 2026.

Labour codes & past service cost

• Labour Code past service cost revised to Rs 63.24 cr as at 31 Mar 2026.

Management appointments

• Prasanth Puliakottu appointed Senior General Manager - ITS; effective 11 Aug 2026.
• Santhosh Mathew appointed Senior General Manager - HRS; effective 11 Aug 2026.

Operations & segment notes

• Single primary segment: Rubber products; overseas operations not material.

Reporting and governance

• Results prepared under Ind AS 34; quarter ended 30 June 2026.
• Audit Committee reviewed; limited review by statutory auditors.
• Board meeting on 11 August 2026 approved results.

AGM details

• Date/time and mode: 6 August 2026 at 11:00 AM via Video Conferencing.
• Eligibility cut-off for e-voting: 30 July 2026.

Resolutions and outcomes

• Resolution 1: Adoption of audited financials and reports; passed with 99.63% in favour.
• Resolution 2: Declaration of final dividend of Rs 229 per equity share; passed.
• Resolution 3: Re-appointment of Varun Mammen as director liable to retirement by rotation; passed.
• Resolution 4: Re-appointment of Dr. (Mrs) Cibi Mammen as director; passed.
• Resolution 5: Reappointment of M M Nissim & Co LLP as Joint Statutory Auditors; passed.
• Resolution 6: Ratification of remuneration payable to J. Karthikeyan (Cost Auditor) for 2027; passed.

Other governance

• Material related party transactions: none approved.

agm details

• AGM held on 6 August 2026 at 11:00 a.m. via Video Conferencing.

key resolutions

• Adoption of audited financial statements for FY ended 31 March 2026 and consolidated statements.
• Declaration of final dividend of Rs 229 per equity share.
• Re-appointment of Varun Mammen as director, liable to retire by rotation.
• Re-appointment of Dr. (Mrs) Cibi Mammen as director, liable to retire by rotation.

dividend

• Final dividend of Rs 229 per equity share approved.

director changes

• Re-appointment of Varun Mammen as director.
• Re-appointment of Dr. (Mrs) Cibi Mammen as director.

AGM notice and AR access

• AGM 65th scheduled for 6 August 2026 at 11:00 IST via VC/OAVM.
• Annual Report 2025-26 to be accessed via the provided web-link.
• Notice and AR emailed to members with registered email addresses.
• For unregistered emails, letters provide AR access web-link and path on the company site.
• Web-link to AR: https://www.mrftyres.com/financial-results.
• Path: Investor Relations > Financial-Results > Annual Report 2025-26.
• The AGM details and AR are also available on BSE/NSE/NSDL websites.

Overview

• Standalone FY2025-26 reporting by MRF Limited; tyre manufacturing is core activity.
• Ten manufacturing units in India; serves in over 60 countries.
• Exports account for 7.58% of turnover; BRSR Core assurance by SGS.

Key ESG Risks & Opportunities

• Carbon emissions risk from low-carbon product demand; target 25% reduction in Scope 1+2 by FY2028.
• Mitigation includes biofuels, renewable energy, and efficiency improvements.
• Water stress risk identified; AWS-aligned improvements underway.
• Renewable energy opportunities; 30% electricity from renewables via PPAs.
• Toxic emissions and waste management risk; compliant disposal via authorized agencies.
• Occupational health and safety initiatives; aim zero accidents and safer operations.

Governance & Policy Highlights

• Sustainability Council governs ESG with board oversight of BRSR.
• Policies cover all NGRBC principles; board-approved and extended to value chain.
• Assurance provider: SGS India; reasonable assurance on BRSR Core indicators.
• Standards/certifications: ISO 9001, IATF 16949, ISO 45001, 14001, 50001.
• Carbon neutral target for Scope 1+2 by FY2050; 30% renewable energy mix achieved.
• Gujarat Dahej fire incident incurred Rs 5 lakh environmental damage levy.
• External assessments by BVQI, TUV-Nord, Intertek; SGS assurance covers 10 plants and R&D.

Social Responsibility & Workforce

• Total workforce: 6,818 employees and 25,992 workers.
• Board female representation: 3 of 14 directors.
• Permanent employees: 6,671; 6,617 male, 54 female.
• Female workers: 838 of 16,380 workers (5.12%).
• Turnover: permanent employees 13% male; 0% female; permanent workers 14% male.
• LTIFR: employees 0.23; workers 0.47; no fatalities.

Environmental Performance

• Total emissions: Scope 1 579,562 tCO2e; Scope 2 574,030 tCO2e.
• Total energy: 9,850,326 GJ; 30% electricity from renewables.
• Water: withdrawal 3,096,914 kl; water intensity 101.03 kl/Cr turnover.
• Waste: total 79,332 tonnes; 73,861 recycled; 23,954 reused; 3,823 other recovery.
• Zero Liquid Discharge implemented across all plants.
• Air emissions: NOx 197.97 MT; SOx 642.04 MT; PM 357.87 MT.
• Certifications: ISO 14001, 45001, 50001; AS9100D at select plants.
• EPR: credits purchased for ELT and Plastic; end-of-life compliance.
• Independent assurance: SGS; boundary includes 10 plants and R&D.

Stakeholder Engagement & Complaints

• Stakeholders: employees, customers, suppliers, investors, community; regular engagement.
• Customer complaints: 74,274 filed in FY2025-26; 0 pending.
• Shareholders: 17 complaints filed; 2 pending.
• Grievance mechanisms include Whistleblowing policy and public grievance portal.
• Cybersecurity: privacy policy on website; employee training on cyber risk.
• Community consultations and regulator dialogues conducted as needed.

Other Notable Metrics

• Sustainable sourcing: 42% of inputs from ISO 14001-certified suppliers.
• R&D and capex on environment: R&D 32.05%; capex 2.37% dedicated to environmental aims.
• EPR: credits purchased; ELT and Plastic compliance.
• Wage data: gross female wages 0.95% of total wages.
• Data privacy: privacy policy published; ongoing cyber security training.
• Data breaches: 0 incidents in FY2025-26.

Standalone financials

• Revenue from operations: ₹31,140 cr, up from ₹28,068 cr.
• PBT: ₹3,133 cr, up from ₹2,420 cr.
• PAT: ₹2,355 cr, up from ₹1,823 cr.
• EBITDA: ₹5,178 cr, up from ₹4,359 cr.
• Net worth: ₹20,975 cr.
• Two interim dividends of ₹3 per share; final ₹229 per share; total ₹235.

Consolidated results

• Consolidated revenue: ₹31,654 cr, up from ₹28,570 cr.
• PBT: ₹3,222 cr, up from ₹2,483 cr.
• PAT: ₹2,426 cr, up from ₹1,873 cr.
• Total consolidated income: ₹31,653 cr; PAT ₹2,426 cr.

Dividend & capital allocation

• Final dividend ₹229 per share recommended; subject to shareholder approval.
• Interim dividends of ₹3 per share each were paid in 2025-26.
• Record date fixed at 17 July 2026 for final dividend eligibility.
• Total dividend for year: ₹235 per share.

Capital structure & liquidity

• Consolidated borrowings: ₹2,367 cr; long-term ₹176 cr; current ₹2,191 cr.
• Cash & cash equivalents: ₹304.6 cr; net debt approx ₹2,062 cr.
• Cash flow: operating ₹4,590 cr; investing ₹-3,536 cr; financing ₹-1,120 cr.
• Covenants with lenders are in compliance.

Governance & risk

• Board size: 14; Independent Directors: 7; no resignations during year.
• Company Secretary S. Dhanvanth Kumar resigned; Thulsidass T. V appointed CS & KMP from 7 May 2026.
• Auditors: M. M. Nissim & Co LLP; audit fees ₹67.15 Lakh (2025-26); ₹71.84 Lakh (2026-27).
• Secretarial audit: no qualifications.
• Related party transactions with MRF SG PTE LTD; arm’s-length terms.

CSR & ESG

• CSR expenditure ₹21.00 cr; shortfall ₹18.41 cr; unspent moved to CSR account.
• 38 CSR capital assets created; examples include schools, water, healthcare.
• CSR to MRF Foundation: ₹28.85 cr.
• Business Responsibility and Sustainability Report available on website.

Subsidiaries & group structure

• Subsidiaries: MRF Corp Ltd, MRF International Ltd, MRF Lanka Pvt Ltd, MRF SG PTE LTD, MRF DB-FZCO, MRF Foundation.
• MRF SG PTE LTD is 100% owned; UAE step-down subsidiary MRF DB-FZCO established.
• Consolidated results reflect contributions from subsidiaries.
• Entity-wide disclosures show group revenue by product and geography.