Bengal & Assam Company Ltd (533095)
Latest quarterly results (Q1 FY27)
In its latest reported quarter, Q1 FY27, Bengal & Assam's net interest income was ₹621 Cr (+10.7% year on year, +0.8% on the previous quarter), and net profit ₹197 Cr (-23.8% year on year).
| Q1 FY27 (₹ Cr) | Value | YoY vs Q1 FY26 | QoQ |
|---|---|---|---|
| Net interest income | ₹621 | +10.7% | +0.8% |
| Operating profit | ₹94.9 | — | — |
| Net profit | ₹197 | -23.8% | -3.7% |
📢 Recent Corporate Announcements
Consequent to the dissolution of Vikrampati Singhania HUF, 2,99,815 equity shares (representing a 2.63% stake) of Bengal & Assam Company Ltd were transferred inter-se off-market without consideration on September 29, 2026. The shares were reallocated to HUF coparceners Vikrampati Singhania (2,84,815 shares or 2.50%) and Avani Singhania (15,000 shares or 0.13%). Following the transfer, the HUF's holding is nil, while Vikrampati Singhania's individual holding increases to 3.05% and Avani Singhania's to 0.13%. Total promoter group holding remains unchanged.
- 2,99,815 equity shares (2.63% voting capital) transferred off-market without consideration
- Vikrampati Singhania received 2,84,815 shares, increasing his personal stake from 0.56% to 3.05%
- Avani Singhania received 15,000 shares, taking her individual stake to 0.13%
- Holding of Vikrampati Singhania HUF reduced to NIL following its dissolution
- Company's total voting capital remains unchanged at 1,14,03,899 equity shares (Rs 11.40 Cr)
Bengal & Assam Company (BACL) reported a 9.6% YoY increase in consolidated revenue to Rs 657.95 Cr for Q1 FY27. However, consolidated net profit fell 18% YoY to Rs 203.04 Cr, down from Rs 247.45 Cr in Q1 FY26. As a Core Investment Company (CIC), its standalone income remains minimal at Rs 1.34 Cr, as dividend inflows from JK Group subsidiaries typically occur in later quarters. The consolidated performance reflects the underlying results of JK Tyre, JK Lakshmi Cement, and JK Paper.
- Consolidated Revenue from operations increased 9.6% YoY to Rs 657.95 Cr
- Consolidated Net Profit attributable to owners declined 18% YoY to Rs 203.04 Cr
- Consolidated EPS for the quarter stood at Rs 175.05, compared to Rs 216.39 in the year-ago period
- Tyre segment revenue dominated the consolidated mix at Rs 486.88 Cr
- Standalone Net Profit remained negligible at Rs 11.41 Lakhs
Bengal & Assam Company Ltd (BACL) reported a consolidated net profit of Rs 214.70 Cr for Q1 FY27, representing a 23.8% decline from Rs 281.77 Cr in the year-ago period. While consolidated revenue from operations grew 10.4% YoY to Rs 632.96 Cr, standalone revenue (primarily dividend income) fell sharply by 41.6% to Rs 133.55 Cr. The bottom line remains heavily dependent on the performance of JK Group associates, which contributed Rs 186.31 Cr to the consolidated profit. Consolidated EPS for the quarter decreased to Rs 175.05 from Rs 216.39 YoY.
- Consolidated Net Profit fell 23.8% YoY to Rs 214.70 Cr in Q1 FY27.
- Standalone Revenue from operations dropped 41.6% YoY to Rs 133.55 Cr, reflecting lower dividend inflows.
- Share of profit from associates (JK Tyre, JK Lakshmi Cement, JK Paper) contributed Rs 186.31 Cr to consolidated earnings.
- Consolidated Total Income for the quarter stood at Rs 657.95 Cr, up 9.6% from Rs 600.40 Cr YoY.
- Consolidated EPS declined to Rs 175.05 compared to Rs 216.39 in the corresponding quarter of the previous year.
Bengal & Assam Company Ltd (BACL) reported a consolidated net profit of Rs 203.04 Cr for Q1 FY27, representing a 17.9% decline from Rs 247.45 Cr in Q1 FY26. Consolidated revenue from operations grew 9.6% YoY to Rs 657.95 Cr, up from Rs 600.40 Cr. Standalone performance remained steady with a net profit of Rs 114.14 Cr, primarily supported by dividend income of Rs 136.80 Cr. The consolidated results reflect the performance of major JK Group associates including JK Tyre, JK Lakshmi Cement, and JK Paper.
- Consolidated revenue from operations increased 9.6% YoY to Rs 657.95 Cr.
- Consolidated Net Profit for the quarter stood at Rs 203.04 Cr vs Rs 247.45 Cr YoY.
- Standalone dividend income contributed Rs 136.80 Cr to the total standalone income of Rs 141.28 Cr.
- Consolidated EPS decreased to Rs 175.05 from Rs 216.39 in the corresponding quarter of the previous year.
- The Tyre segment remained the largest revenue contributor at Rs 486.88 Cr on a consolidated basis.
Bengal & Assam Company Ltd (BACL), the primary holding company for the JK Group, has released its Business Responsibility and Sustainability Report (BRSR) for FY 2025-26. As a Core Investment Company (CIC), BACL operates with a lean structure of just 6 employees and derives 49.06% of its turnover from investment activities. The report confirms significant strategic stakes in key group entities: JK Tyre (45.43%), JK Lakshmi Cement (42.04%), and JK Paper (43.92%). Due to its nature as a holding company, it has no direct manufacturing operations and is exempt from direct CSR expenditure as its income is primarily dividends from CSR-compliant subsidiaries.
- Maintains strategic control over JK Group with 45.43% in JK Tyre, 42.04% in JK Lakshmi Cement, and 43.92% in JK Paper
- Revenue split shows 49.06% from investment activities and 50.94% from trading of goods
- Operates with a minimal workforce of 6 total employees, all based in metropolitan locations
- Resolved 17 shareholder complaints during FY 2025-26, with zero complaints pending at year-end
- Exempt from mandatory CSR spending under Rule 2(1)(h)(ii) as income is derived from CSR-compliant companies
Bengal & Assam Company Ltd (BACL) has released its 79th Annual Report, confirming a dividend of Rs 50 per share (500% on face value) for FY26. The company reported a consolidated PAT of Rs 843.40 Cr, largely driven by its role as the primary investment vehicle for the JK Group. A key administrative update is the proposed shifting of the registered office from West Bengal to Haryana, which is currently awaiting regulatory approval from the Regional Director. The company also highlighted ongoing litigation regarding disputed trade receivables totaling approximately Rs 23.4 Cr from government seed corporations.
- Recommended a dividend of Rs 50 per equity share (500%) for the financial year ended March 31, 2026.
- Reported a consolidated Profit After Tax (PAT) of Rs 843.40 Cr for FY26 compared to Rs 755 Cr in FY25.
- Total dividend outgo for the year is fixed at Rs 57.02 Cr, representing a payout ratio of ~6.7% of consolidated PAT.
- Disputed trade receivables include Rs 18.23 Cr from Rajasthan State Seed Corporation and Rs 5.17 Cr from UP Seed Development Corporation.
- Standalone PAT for FY26 was Rs 119.77 Cr, reflecting the dividend income received from group companies.
Bengal & Assam Company Ltd (BACL) has issued the notice for its 79th Annual General Meeting (AGM) to be held on September 8, 2026. The company has confirmed a dividend of Rs 50 per equity share (500% of face value) for FY26, with a record date of September 1, 2026. Key agenda items include the re-appointment of Upendra Kumar Gupta as CEO and CFO for a three-year term starting July 1, 2026. As a Core Investment Company, BACL's outlook remains tied to the performance of its JK Group holdings in the tyre, cement, and paper sectors.
- Recommended dividend of Rs 50 per equity share of Rs 10 each (500% payout).
- Record date for dividend eligibility fixed as September 1, 2026.
- Proposed re-appointment of Upendra Kumar Gupta as CEO and CFO for a 3-year term effective July 1, 2026.
- Secretarial Auditor remuneration set at Rs 60,000 per annum for the first year of a 5-year term.
- TTM PAT stands at Rs 844 Cr against a market cap of Rs 7,235 Cr, reflecting a P/E of 8.6.
Bengal & Assam Company Ltd has scheduled a board meeting on August 13, 2026, to consider and approve its standalone and consolidated unaudited financial results for the quarter ended June 30, 2026. As a Core Investment Company (CIC) for the JK Group, the company's performance is primarily driven by dividend income from subsidiaries like JK Tyre and JK Lakshmi Cement. The trading window for designated persons has been closed since July 1, 2026, and is set to reopen on August 16, 2026. These results will be the first indicator of the company's performance for the new fiscal year following a TTM PAT of Rs 844 Cr.
- Board meeting scheduled for August 13, 2026, to approve Q1 FY2027 results.
- Results will cover the three-month period ended June 30, 2026.
- Trading window remains closed from July 1, 2026, until August 16, 2026.
- Company reported a consolidated net profit of Rs 204.0 Cr in the preceding quarter (March 2026).
- Market value of quoted holdings was last reported at INR 12,769 Cr in 2024.
Financial Performance
Revenue Growth by Segment
Consolidated revenue from operations decreased by 83.5% from INR 12,917.16 Cr in FY24 to INR 2,127.90 Cr in FY25, primarily due to the deconsolidation of a subsidiary. Dividend income, the core revenue for the holding company, grew 5.87% from INR 102.74 Cr to INR 108.78 Cr. Interest income saw a slight decline of 4.08% from INR 6.08 Cr to INR 5.83 Cr.
Geographic Revenue Split
The company operates primarily in India; however, it has international exposure through subsidiaries. One foreign subsidiary reported total revenue of INR 172.23 Cr and net cash flows of INR 4.19 Cr for FY25. Foreign currency translation reserves showed a negative movement of INR 50.24 Cr as of March 31, 2024.
Profitability Margins
Net profit after tax for the consolidated entity was impacted by a significant reduction in total income from INR 12,993.73 Cr to INR 2,226.77 Cr. Standalone PAT for FY24 was INR 115.75 Cr with a Return on Total Assets (ROTA) of 9.67%, down from 10.33% in FY23.
EBITDA Margin
Consolidated EBITDA is not directly comparable YoY due to the structural change in the group; however, total expenses for FY25 stood at INR 1,839.04 Cr against total income of INR 2,226.77 Cr, representing a core operating surplus of approximately 17.4% at the consolidated level.
Capital Expenditure
Property, Plant and Equipment (PPE) decreased from INR 425.92 Cr in FY24 to INR 409.62 Cr in FY25. Investment property was valued at INR 22.51 Cr. The company maintains a massive investment portfolio valued at INR 9,869.32 Cr as of March 31, 2025.
Credit Rating & Borrowing
The company held a CARE AA-; Stable issuer rating as of June 2024, reflecting strong financial flexibility. However, the rating was withdrawn in September 2025 at the company's request. Finance costs significantly decreased from INR 364.44 Cr in FY24 to INR 43.86 Cr in FY25 following the deconsolidation.
Operational Drivers
Raw Materials
As an investment holding company, BACL's direct raw material costs are minimal; however, its consolidated entities consumed materials worth INR 851.06 Cr in FY25 (down from INR 7,070.71 Cr in FY24). Key materials for underlying businesses include rubber (tyres), limestone (cement), and wood pulp (paper).
Import Sources
Not specifically disclosed in the provided financial statements, though the group has a subsidiary in Mexico and global operations in the tyre and paper segments.
Capacity Expansion
The company is undergoing a major structural expansion through the amalgamation of subsidiaries PPL and UDL into BACL to streamline the holding structure. Current consolidated PPE stands at INR 409.62 Cr.
Raw Material Costs
Raw material costs represent 38.2% of total consolidated revenue in FY25. The 88% YoY decrease in absolute material costs (from INR 7,070.71 Cr to INR 851.06 Cr) is attributed to the change in the scope of consolidation.
Manufacturing Efficiency
Consolidated employee benefit expenses were INR 289.42 Cr in FY25, down from INR 1,279.01 Cr in FY24, reflecting the leaner consolidated structure post-reorganization.
Strategic Growth
Expected Growth Rate
9.67%
Growth Strategy
Growth is driven by the performance of JK Group companies (JK Tyre, JK Lakshmi Cement, JK Paper). The strategy involves the amalgamation of Southern Puplings (PPL) and Umang Dairies (UDL) into BACL to consolidate assets and improve financial flexibility. The company relies on the 128x debt coverage ratio to fund strategic acquisitions for the promoter group.
Products & Services
Investment holding and financial services as a Core Investment Company (CIC-ND-SI). Underlying group products include tyres, cement, paper, and dairy products.
Brand Portfolio
JK Tyre, JK Lakshmi Cement, JK Paper, Fenner India, Umang Dairies.
Market Expansion
The company is consolidating its domestic holding structure through NCLT-approved schemes of arrangement to simplify the JK Group's ownership hierarchy.
Market Share & Ranking
The company is the primary investment vehicle for the reputed JK Group (Singhania wing).
Strategic Alliances
The group operates through multiple subsidiaries, associates, and joint ventures, including four major subsidiaries and six step-down subsidiaries with total assets of INR 2,497.86 Cr.
External Factors
Industry Trends
The industry is shifting toward consolidated holding structures to improve capital allocation. As a CIC-ND-SI, BACL is subject to tightening RBI regulations regarding capital adequacy and leverage for systemic investment companies.
Competitive Landscape
Competes with other large Indian conglomerate holding companies for capital and investment opportunities.
Competitive Moat
The moat is built on the 128x market value-to-debt coverage and strategic control over legacy brands like JK Tyre and JK Lakshmi Cement. This provides a durable financial buffer that is difficult for competitors to replicate.
Macro Economic Sensitivity
Highly sensitive to Indian GDP growth and infrastructure spending, which directly drives demand for the cement and tyre businesses of its investee companies.
Consumer Behavior
Shifts toward premium tyres and eco-friendly cement are affecting the demand profiles of the underlying investee companies.
Geopolitical Risks
Exposure to global trade through its Mexico-based subsidiary and international tyre exports.
Regulatory & Governance
Industry Regulations
Regulated as a Core Investment Company (CIC-ND-SI) by the Reserve Bank of India, requiring adherence to strict adjusted net worth and leverage ratios.
Taxation Policy Impact
The effective tax rate is influenced by deferred tax liabilities of INR 293.60 Cr and current tax liabilities of INR 0.92 Cr. Income tax relating to OCI items was INR 3.31 Cr in FY25.
Legal Contingencies
The company has disclosed pending litigations in Note 35 of its financial statements. It has made provisions for material foreseeable losses on long-term contracts as required by law.
Risk Analysis
Key Uncertainties
The primary risk is the high dependence on the cyclical performance of group companies (90% of income). A 10% drop in dividend payouts from subsidiaries would reduce BACL's standalone operating income by approximately INR 14 Cr.
Geographic Concentration Risk
Concentrated in India, with significant assets tied to the domestic manufacturing sector.
Third Party Dependencies
Highly dependent on the management and operational success of JK Group's industrial subsidiaries.
Technology Obsolescence Risk
Risk is low for the holding company but moderate for subsidiaries (e.g., shift to Electric Vehicle tyres or green hydrogen in cement manufacturing).
Credit & Counterparty Risk
Trade receivables stood at INR 372.95 Cr in FY25, up 12.5% from INR 331.59 Cr in FY24, indicating stable credit quality.
