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IndiaPulse

SKF India (Industrial) Limited (SKFINDUS)

Micro Cap

Industrials stocks · Micro cap · NSE

SKF India (Industrial) Limited is an Indian industrial company specializing in bearings and related solutions. The company's strategy emphasizes accelerating localization, commercial excellence, and operational execution to drive growth in localized products and enhance customer centricity.

₹3,002.5
-60.30 · -1.97%
Quote04 Sept, 03:59 pm IST
Fundamentals20 Aug 2026 · screener
Score05 Sept, 10:20 pm IST · v4.3-runtime-valuation
Tags02 May 2026
Coverage14/14 · 100%
Valuation2026-07-20 · Rf 6.8% · Industrials P/E 26.4 (n=540)
Data confidence
Fresh enough for analysis
Investor decision lenses

One read, four checks

75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.

Strong fundamentals, management trust is acceptable, price trend is neutral, and recent execution is mixed.

Suggested next step
Candidate for deeper work
Valuation is strong. Wait for stronger Trust evidence before treating this as high conviction.
U-Score
DEEP VALUE
76

Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.

Trust
Healthy Trust
74

low confidence · 0/0 claims checked

Technical
Bullish
60

Timing lens: price trend and sector relative strength.

Result consistency
mixed
55

Rolling lens: recent quarterly delivery, not the latest single-result score.

Latest result

Quarter ended 30 Jun 2026

Bad · 0/100

PAT -14% YoY · margin compression · Rev +18% YoY

Filed 11 Aug 2026
Open results browser →
MetricThis quarterYoYQoQ
Revenue₹971 Cr+18.3%+2.6%
EBITDA₹88 Cr-6.4%+8.6%
Operating margin9.0%-200 bps+0 bps
PAT₹62 Cr-13.9%-47.9%
PAT margin6.4%-238 bps-619 bps

NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.

Business & thesis

Growth engines, tailwinds/headwinds, and risk radar from management commentary

Business and thesis

Where growth can come from, and what can break the case

Thesis intactReviewed 2026-06-11T04:54:06.431Z
Management commentary snapshot

SKF India (Industrial) Limited reported solid net sales growth of 9.8% QoQ in Q4 FY26, reaching 9.5 BINR, with PBT margins improving significantly to 9.5% due to lower one-time demerger expenses.

The company delivered strong Q4 FY26 results with robust sales growth and significant PBT margin recovery QoQ, primarily due to reduced demerger-related expenses. Strategic initiatives in localization and new project wins, coupled with capacity expansion, support future growth, though rising inventory levels warrant monitoring.

Current business mix

Revenue from Operations by Segment (4QFY26)

Latest issuer-disclosed distribution across 5 reported categories.

Businessmix
OEM50.0%
Distribution32.0%
SKF India9.0%
Exports5.0%
Others4.0%
Growth engines

OEM Segment Growth

OEM sales grew 20.1% QoQ in 4QFY26, contributing 50% of total revenue, indicating strong demand from industrial customers.

Tractor Business Project Wins

Secured 4 projects worth ₹325 MINR with a major tractor OEM, supplying bearings from new Pune and Ahmedabad channels, involved from platform design stage.

Local Commuter Trains Development

Developing Unitized Bearing Units (TBUs) for suburban trains, valued at ~₹30 MINR/year, with potential to extend solution for Vande Bharat trains.

Localized Product Volume Growth

Strategic priority to accelerate localization, aiming for higher volume growth of localized products by 2028.

Capacity and execution

TRB Capacity Expansion (Pune)

Increased Tapered Roller Bearing (TRB) capacity from 600T pcs to 880 Tpcs (110–165 MM OD) in Pune, targeting Agricultural, Off-highway, After-market, and Export to EMEA.

Tailwinds

Strong GDP Growth

India's GDP growth projected at 6.5% (y-o-y) for 4QFY26, indicating a robust economic environment.

Normalizing Inflation

CPI-Inflation growth normalized to 3.1% (y-o-y) in 4QFY26, easing cost pressures.

Strong Industrial Production

IIP - General growth at 4.5% (y-o-y) in 4QFY26, with strong performance in construction and steel sectors.

Headwinds

Distribution Segment Decline

Distribution segment sales declined 8.5% QoQ in 4QFY26, contrasting with growth in other segments.

Increasing Inventory Levels

Inventory as a percentage of net sales increased to 24.8% in 4QFY26 from 23.6% in 3QFY26 and 17.5% in 4QFY25.

Management accountability

What management said, and what results must prove

Management accountability

What management said, and what results must prove

Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.

Analyst reading lens
Compare BOTH

QoQ comparison is crucial to assess sequential momentum, especially for margin recovery from one-time demerger expenses and NWC improvement. YoY comparison provides a broader view of underlying business growth and market trends.

Sector KPIs management disclosed

Revenue from Operations

9,457 MINR in 4QFY26, up 9.8% QoQ and 10% YoY, driven by sales to OEM and inter-company sales.

PBT Margin

9.5% in 4QFY26, improved by 1731 bps QoQ from -7.8% in 3QFY26, due to lower one-time demerger expenses.

Net Working Capital % of Sales

18.7% in 4QFY26, a 2.8% QoQ decline, indicating significant improvement in working capital management.

Cash Flow from Operations

2,370 MINR in 4QFY26, improved significantly due to decline in NWC, with a 263% cash conversion QoQ.

Management forward view

Strategic Priorities to 2028

Management outlined ACES strategy focusing on Accelerate localization, Commercial Excellence, Execution, and Single SKF to drive future growth.

Focus on Customer Centricity

Enhanced customer centricity and innovation for growth are key aspects of the Commercial Excellence strategy.

Productivity Improvement

Adoption of cutting-edge technology and process optimization, including high-speed machines, to improve productivity and reduce costs.

Thesis monitor

Numbers and claims to verify in the next filings

CheckpointCurrent evidenceWhat to verify next
PBT Margin9.5% (4QFY26)Sustained margin improvement post-demerger expenses and impact of cost reduction initiatives.
Inventory % of Net Sales24.8% (4QFY26)Stabilization or reduction in inventory levels to optimize working capital.
Distribution Segment Performance-8.5% QoQ growth (4QFY26)Recovery in distribution sales, indicating broader market demand.
Capacity Utilization & Ramp-upTRB capacity increased to 880 TpcsTimely ramp-up and utilization of new TRB capacity in Pune and contribution to target segments.

Verification checkpoints are IndiaPulse research interpretation, not investment advice.

Technical timing lens

Trend score and candlestick chart

60Bullish

SMA20 +3.8% / mo · MACD + · near 52W high

Stock trend: 68
Sector RS: 48
Sector 3M: -1.6% vs Nifty -1.5%

Technical chart

SKFINDUSdaily · 1Y · AUTO+27.8%
Latest close ₹3002.50 on 2026-09-04

Daily history is available from 2025-12-05; the requested 1Y window is partially covered.

Bar
-2.2%
RSI
64
MACD hist
25.74
52W pos
89%
2026-09-04O ₹3070.00H ₹3081.90L ₹2981.00C ₹3002.50Vol 33,944 sh
₹1.94k₹2.25k₹2.56k₹2.88k₹3.19k52H52L3002.502026-032026-06VolRSIMACD2026-032026-042026-062026-072026-09
Up bar
Down bar
EMA 20
EMA 50
Volume + 20D avg
Result date
RSI(14)
MACD / signal

Daily technical trend read

Mixed signals

Signals are conflicting — long-term trend unclear. RSI 64. Wait for confirmation.

  • SMA20 rising (~3.7% over last month) — short-term momentum positive.
  • RSI(14) at 64 — falling, no extreme reading.
  • MACD above signal, histogram expanding — bullish momentum building.
  • 4% off 52W high · 51% above 52W low.

Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.

Valuation & score drivers

U-Score 76 · DEEP VALUE · pillar breakdown, sector model, fair-value anchor

76U-SCORE
Top Setup

Fundamental score breakdown

DEEP VALUE
Valuation27/30
Growth16/25
Quality17/20
Balance Sheet10/15
Cash Flow1/10
Piotroski
8/9 (+5)
Penalties
0
Raw sum
76

Why this score?

Top U-Score contributors and drags from the latest stored fundamentals.

76/100 · DEEP VALUE

Positive drivers

  • Piotroski is strong at 8/9.
  • Fair-value margin of safety is positive at 99.9%.
  • Valuation contributes 27/30 to the score.

Main drags

  • Cash flow is weaker at 1/10; verify the latest quarterly trend.
  • Growth is weaker at 16/25; verify the latest quarterly trend.
  • Balance sheet is weaker at 10/15; verify the latest quarterly trend.
Sector valuation model

Execution business valuation: EV/EBITDA plus order and working-capital risk

Capital-intensive execution stories need cash-flow and balance-sheet checks alongside valuation.

Execution EV/EBITDA
Primary lens
EV/EBITDA and PE against execution quality and margin stability.
Secondary checks
Order book, receivables, working capital, debt, operating cash flow.
Main risk check
Order wins matter only if they convert into cash and margins.
PE
36.1
PB
9.4
EV/EBITDA
33.1
ROE
26.6%
ROCE
29.9%
FCF Yield
0.8%
Debt/Equity
0.0
MoS
+99.9%
Score movement

Stored run vs live recompute

This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.

Stored run: 05 Sept 2026
v4.3-runtime-valuation
Final score
76
Previous: 76
Verdict
DEEP VALUE
Previous: DEEP VALUE
Margin of safety
+99.9%
Previous: +99.9%

Score history

12 stored score snapshots. Latest stored move: +0 points.

05 Sept 2026
v4.3-runtime-valuation
33
33
33
76
76
76
76
76
76
76
76
76

Factor attribution

No pillar movement versus the latest stored run. Historical score trend will appear after snapshot storage is enabled.

Modelled fair value

Graham Number
₹22,753.56
+86.8% MoS
Growth-justified P/E
39.6
Growth-justified Value
₹30,47,475.42
+99.9% MoS
PEG
1.16

Trust score

Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth

Trust Score
74Healthy Trust · low confidenceTrust Lite

Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.

Healthy Trust: Claim history is still being built. It ranks around the 75th percentile of the scored universe and 73rd percentile within Industrials. Main check: cash conversion is weak at 53/100.

Healthy Trust Lite: Promoter pledge is zero. Key concern: Only 1 years of positive FCF.

Computed 05 Sept 2026
management-trust-v1
8 docs text-extracted · 2 concalls text-extracted
Score band
Healthy Trust

Generally investable credibility. Look for weak sub-scores before increasing position size.

Relative rank
75th percentile

overall median 67 · Industrials: 73rd pctile, median 68 · Micro: 56th pctile, median 73

Evidence depth
Financial-only

8 documents have extracted text, but claim history is not strong enough yet.

Claim delivery
Outcome history still building

0 claims extracted · No contradicted claim yet

How to read this Trust Score

Healthy Trust · low confidence
What it measures
Reliability of management and financial delivery, using financial behaviour only.
Confidence
Treat this as an early read until more concalls and outcomes are matched.
Investor use
Acceptable, but check the weakest sub-score before increasing exposure.

Read Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.

Forensic breakdown

Read low sub-scores as due-diligence warnings, not automatic sell signals.

Promoter
78
strong · holding, pledge, alignment
Cash flow
53
watch · profit to cash conversion
Balance sheet
96
strong · leverage and solvency
Discipline
90
strong · capital discipline
Results
55
watch · quarterly consistency

Trust positives

  • Promoter pledge is zero.
  • FCF yield is positive at 0.9%.
  • Debt/equity is 0.00.
  • ROCE is 29.9%.

Trust risks

  • Only 1 years of positive FCF.

Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.

Financials

Full fundamentals table and 10-year revenue / profit / ROE history

Fundamentals

Valuation

P/E
36.10
P/B
9.36
EV/EBITDA
33.14
Market Cap
13879.00Cr

Profitability

ROE
26.60%
ROCE
29.90%
ROA
7.78%
Dividend Y
0.71%

Growth (CAGR)

Revenue 5Y
123.14%
EPS 5Y
31.11%
Revenue 3Y
123.14%
EPS 3Y
31.11%

Balance Sheet

Debt/Equity
0.00
Interest Coverage
384.00×
Altman Z
8.76
Book Value
299.00

Cash Flow

FCF Yield
0.85%
FCF Positive Y
1/5
OCF
164.00 Cr
EPS TTM
76956.45

Shareholding

Promoter Hold
52.58%
Promoter Pledge
0.00%
Momentum 52W
77%

Financial History

Updated 5/9/2026

Revenue

₹ Cr
No data

Net Profit

₹ Cr
No data

Return on Equity

%
No data

Peers

Business-comparable names in Industrials, ranked by similarity

Verify on:NSE India ↗
All information is for study purposes only. For investment decisions, consult your financial advisor. See Playbook for methodology.