Kirloskar Oil Engines Limited (KIRLOSENG) AI Stock Analysis

• Market Cap: ₹127.79B
• Dividend Yield: 0.71%
• Average Volume (3M): 32.41K
• Price to Earnings (P/E): 27.5
• Beta (1Y): 1.64
• Revenue Growth: 8.02%
• EPS Growth: -0.95%
• Country: IN
• Employees: 2,376
• Sector: Energy
• Sector Strength: 67
• Industry: Industrial - Machinery
• EPS (TTM): 8.55
• Shares Outstanding: 145,254,680
• 10 Day Avg. Volume: 23,254
• 30 Day Avg. Volume: 32,409
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: ₹941.00
• Price Target Upside: 6.96% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1

• Rating: 61 Neutral
• Price Target: ₹941.00 ▲(6.96% Upside)

The overall stock score of 61 reflects strong financial performance with growth in revenue and profits. However, high leverage and negative cash flow are significant concerns. The technical analysis indicates a bearish trend, and the valuation suggests the stock may be overvalued. These factors collectively contribute to a moderate stock score.

Kirloskar Oil Engines Limited Business Overview & Revenue Model

Company Description

Kirloskar Oil Engines Limited (KIRLOSENG) is a leading Indian engineering company primarily engaged in the manufacturing and distribution of diesel engines, agricultural pumpsets, and generator sets. The company operates in sectors such as agriculture, power generation, and industrial applications, providing a wide range of products designed for durability and efficiency. Headquartered in Pune, India, Kirloskar Oil Engines Limited has a strong presence in both domestic and international markets, catering to the needs of diverse industries with innovative engineering solutions.

How the Company Makes Money

Kirloskar Oil Engines Limited generates revenue through the manufacturing and sale of diesel engines, generator sets, and agricultural equipment. Its key revenue streams include the sale of industrial and agricultural engines, which are utilized in various applications such as farming, construction, and power generation. The company also earns from the sale of spare parts and after-sales service offerings, which provide ongoing support and maintenance for its products. Additionally, Kirloskar Oil Engines Limited benefits from strategic partnerships and collaborations with other industrial entities, enhancing its product offerings and market reach, thereby contributing to its overall earnings.

Kirloskar Oil Engines Limited Financial Statement Overview

Summary

Kirloskar Oil Engines Limited shows strong revenue and profit growth with improving operational margins, indicating robust performance. However, high leverage and negative cash flow present challenges that need addressing to ensure sustainable financial health.

Income Statement

Kirloskar Oil Engines Limited has shown strong revenue growth with a consistent increase over the past years, reaching 63,491 million INR in 2025 from 32,548 million INR in 2021. The company has improved its gross profit margin substantially, reaching 43.71% in 2025. The EBIT margin has also seen a notable increase, indicating improved operational efficiency. While the company has managed consistent net income growth, the net profit margin remains moderate at 7.71% in 2025. Overall, the income statement reflects a positive growth trajectory with improving profitability.

Balance Sheet

The company's balance sheet shows a substantial increase in total assets and stockholders' equity over the years, reflecting solid growth. However, the debt-to-equity ratio is high at 1.89 in 2025, indicating potential leverage risks. The equity ratio has improved, suggesting better financial stability. Despite these strengths, the high debt levels could pose risks if not managed carefully.

Cash Flow

Cash flow analysis reveals challenges with consistently negative free cash flow over the years, reaching -10,471 million INR in 2025. The operating cash flow remains negative, which may impact liquidity. However, there is a positive trend in financing cash flows, indicating the company's efforts to manage its cash requirements. Despite these efforts, the negative cash flow metrics highlight areas for improvement in cash management.

Breakdown	TTM	Dec 2025	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	63.42B	63.49B	58.98B	49.68B	39.79B	33.31B
Gross Profit	27.63B	27.74B	23.53B	14.82B	10.24B	5.36B
EBITDA	12.34B	11.91B	10.19B	7.45B	4.25B	3.46B
Net Income	4.89B	4.89B	4.42B	3.32B	1.75B	1.85B
Balance Sheet
Total Assets	104.80B	104.80B	82.78B	67.25B	50.30B	27.62B
Cash, Cash Equivalents and Short-Term Investments	15.07B	15.07B	9.46B	8.41B	8.18B	4.91B
Total Debt	58.19B	58.19B	41.42B	32.44B	19.65B	1.89B
Total Liabilities	74.24B	74.24B	56.18B	44.21B	29.49B	10.17B
Stockholders Equity	30.86B	30.86B	26.76B	23.04B	20.82B	17.45B
Cash Flow
Free Cash Flow	0.00	-10.47B	-8.64B	-10.82B	-11.66B	-2.07B
Operating Cash Flow	0.00	-7.39B	-4.69B	-9.20B	-10.41B	-1.24B
Investing Cash Flow	0.00	-5.23B	-1.09B	-1.44B	-29.30M	2.33B
Financing Cash Flow	0.00	15.09B	8.00B	11.82B	9.50B	-425.80M

Kirloskar Oil Engines Limited Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 879.75
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IN:KIRLOSENG, the sentiment is Negative. The current price of 879.75 is below the 20-day moving average (MA) of 920.60, below the 50-day MA of 900.23, and above the 200-day MA of 864.40, indicating a neutral trend. The MACD of -0.16 indicates Positive momentum. The RSI at 42.35 is Neutral, neither overbought nor oversold. The STOCH value of 17.61 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IN:KIRLOSENG.

Kirloskar Oil Engines Limited Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	66 Neutral	$15.26B	7.30	3.22%	5.27%	4.16%	-60.82%
KIRLOSENG	61 Neutral	₹127.79B	27.45		0.71%	8.02%	-0.95%
HBLENGINE	―	₹236.64B	69.58		―	―	―
KPEL	―	₹28.37B	23.50		―	―	―
RELTD	―	₹25.50B	65.12		―	―	―
TDPOWERSYS	73 Outperform	₹84.08B	45.47		0.34%	30.63%	48.78%
SWELECTES	70 Outperform	₹10.91B	40.58		0.42%	103.45%	-53.21%

Kirloskar Oil Engines Limited Corporate Events

Kirloskar Oil Engines Schedules Investor Meetings for August 2025

Kirloskar Oil Engines Limited has announced a schedule of meetings with investors, analysts, and financial institutions on August 8, 2025. These meetings, which include virtual group meetings and one-on-one sessions with firms like Phillip Capital, ICICI Pru MF, and Edelweiss MF, are part of the company’s regulatory obligations under SEBI’s disclosure requirements. This engagement reflects the company’s ongoing efforts to maintain transparency and communication with key stakeholders, potentially impacting its market perception and investor relations.

Kirloskar Oil Engines Schedules Investor Meetings for August 8, 2025

Kirloskar Oil Engines Limited has announced a series of virtual meetings with investors and financial institutions scheduled for August 8, 2025. These meetings, organized under SEBI regulations, aim to engage with stakeholders such as Phillip Capital, ICICI Pru MF, and Edelweiss MF, potentially impacting the company’s investor relations and market perception.

Kirloskar Oil Engines Schedules Investor Meetings for August 2025

Kirloskar Oil Engines Limited has announced a schedule of virtual meetings with investors, analysts, and financial institutions, which will take place on August 8, 2025. These meetings, organized under SEBI regulations, are aimed at facilitating interactions with key financial stakeholders, potentially impacting the company’s investor relations and market positioning.

Kirloskar Oil Engines Schedules Investor Meetings for August 2025

Kirloskar Oil Engines Limited announced a schedule for upcoming virtual meetings with investors, analysts, and financial institutions on August 8, 2025. These interactions, including group meetings and one-on-one sessions, are part of the company’s efforts to engage with stakeholders and provide updates on its operations and financial performance.

Kirloskar Oil Engines to Discuss Q1 Financial Results in Upcoming Conference Call

Kirloskar Oil Engines Limited has announced a conference call scheduled for August 7, 2025, to discuss its unaudited financial results for the quarter ending June 30, 2025. This call, which will feature the company’s senior management, aims to provide insights into the company’s financial performance and strategic direction, potentially impacting investor and analyst perceptions.