KRBL Limited (NSE: KRBL), a rice and other agricultural products company focused on basmati rice processing and marketing, for the third quarter of fiscal year 2026 ended December 31, 2025, reported lower revenue year-over-year but higher profitability metrics, driven by improved gross margins and higher other income. On February 19, 2026, the company’s stock closed at ₹373.10, down 1.73% from the previous close, after trading intraday between ₹370.40 and ₹379.75.
Quarterly Results
In Q3 FY2026, revenue from operations was ₹1,477 crore, down 12% from ₹1,682 crore in Q3 FY2025 and 2% lower sequentially from ₹1,511 crore in Q2 FY2026. Total income stood at ₹1,502 crore, compared with ₹1,690 crore a year earlier and ₹1,541 crore in the previous quarter. Profit after tax increased 28% year over year to ₹170 crore from ₹133 crore, while it was marginally lower than ₹172 crore in Q2 FY2026. The PAT margin rose to 11.3% from 7.8% in the prior-year quarter, supported by a higher gross profit margin of 30.2% versus 24.0%, reflecting lower average basmati cost of goods sold and higher other income. EBITDA grew to ₹253 crore from ₹203 crore in Q3 FY2025, with the EBITDA margin improving to 16.9% from 12.0%, partially offset by higher employee cost that included an additional gratuity provision of ₹0.6 crore.
Annual Performance Context
For the first nine months of FY2026, revenue from operations was ₹4,572 crore, up 10% from ₹4,152 crore in 9M FY2025. Total income for 9M FY2026 reached ₹4,656 crore compared with ₹4,218 crore a year earlier. Profit after tax for the nine-month period rose to ₹493 crore from ₹322 crore, with the PAT margin increasing to 10.6% from 7.6%. EBITDA for 9M FY2026 was ₹735 crore, up from ₹501 crore in the prior-year period, and the EBITDA margin expanded to 15.8% from 11.9%.
Business and Operations Update
The company reported that Q3 FY2026 revenue decline was mainly due to lower exports, while domestic revenue remained flat year over year at ₹1,104 crore, excluding power revenue. Export revenue for the quarter was ₹357 crore, down 37% year over year, though export revenue for 9M FY2026 recorded 21% growth, and domestic revenue grew 6% over the same period. Total inventory as of December 31, 2025, was ₹3,941 crore, lower than ₹4,278 crore a year earlier, with paddy and rice inventory volumes at 1,322 thousand metric tonnes and 2,450 thousand metric tonnes, respectively. Net bank borrowings improved to ₹388 crore in Q3 FY2026 from ₹1,020 crore in Q3 FY2025, and the company highlighted reaffirmed long‑term credit ratings of ICRA AA (Stable), ICRA A1, and CARE A1.
Forward Outlook
Company issued no specific guidance.
Performance Summary
KRBL’s Q3 FY2026 results showed lower revenue but higher profitability compared with the year-ago quarter, driven by expanded gross and EBITDA margins. Nine‑month FY2026 figures reflected double‑digit growth in revenue and profit after tax, along with improved margins versus 9M FY2025. Domestic revenue was stable in the quarter, while exports declined on a high base, although export growth remained positive for the nine‑month period. The balance sheet showed lower inventory levels and reduced net bank borrowings, alongside maintained strong credit ratings.