Force Motors Limited – Q4 FY26 Results

key financial highlights

• Revenue from Operations:
  • Revenue (Q4 FY26): ₹2,549.84 Cr
    • QoQ Change: +19.8%
    • YoY Change: +8.2%
  • Previous Quarter (Q3 FY26): ₹2,128.56 Cr
  • Previous Year (Q4 FY25): ₹2,356.01 Cr
• Profit After Tax (PAT):
  • PAT (Q4 FY26): ₹278.54 Cr
    • QoQ Change: -31.4%
    • YoY Change: -35.9%
  • Previous Quarter (Q3 FY26): ₹406.15 Cr
  • Previous Year (Q4 FY25): ₹434.74 Cr
• QoQ Performance
  • Revenue Trend: Strong growth
  • Profit Trend: Decline

Margin Analysis

Key Drivers:

• Increase in raw material cost (₹1,67,717 lakh)
• Higher employee and operating expenses
• Negative impact from inventory changes
• Lower operating leverage in Q4

Key Signal: Margins are contracting QoQ, indicating cost pressures despite revenue growth

Segment insight

Summary:

• Business is driven by automotive manufacturing (CVs, UVs, engines), with performance linked to demand cycles and cost efficiency.

Characteristics:

• Cyclical demand-driven
• High operating leverage
• Sensitive to raw material prices

Earning quality check

Drivers:

• Core operations driven earnings
• Limited reliance on exceptional items in Q4
• Cost-driven margin compression

Interpretation:

• Earnings quality is moderate, as profitability is impacted by cost fluctuations

balance sheet Analysis

• Total Assets: ₹6,537.55 Cr
• Total Liabilities: ₹2,340.74 Cr

Insight:

• Strong equity base (~₹4,196 Cr)
• Low debt → financially stable
• Increase in working capital (inventory + receivables)

key risks

• Raw material price volatility
• Margin compression risk
• Cyclical automotive demand
• Working capital build-up

management strategy signals

Focus Area:

• Cost optimization
• Product portfolio expansion
• Export growth
• Capacity utilization improvement

Financial Metrics

Quarterly Performance Context