Kirloskar Oil Engines receives GST show cause notice over FY 2021-22 ITC mismatch

The notice was issued under the Central Goods and Services Tax Act, 2017, Maharashtra Goods and Services Tax Act, 2017, and the Integrated Goods and Services Tax Act, 2017. It pertains to an Input Tax Credit (ITC) mismatch for the financial year 2021-22.

The notice includes a penalty of ₹1,34,41,427, interest of ₹7,62,33,455, and a total tax demand of ₹9,74,06,747. The company stated it does not foresee any material impact on its financial position, operations or other activities.

The stock was trading 1.93% lower at ₹954.20 per equity share at 11:46 AM.

Over the last five trading sessions, Kirloskar Oil Engines shares rose 0.46%. On the other hand, shares dropped 2.33% over the past month. However, the scrip advanced 27.48% over the past six months, while it fell 5.49% on a year-to-date basis.

The stock touched its 52-week high of ₹1,253.30 on September 27, 2024 and its 52-week low of ₹544.40 on February 28, 2025. The company’s market capitalisation stands at ₹13,883.40 crore as recorded on September 25.

Kirloskar Oil Engines Q1 results

For Q1 FY26, Kirloskar Oil Engines (KOEL) recorded a record standalone net sale of ₹1,434.00 crore, marking an 8% year-on-year growth. The power generation segment contributed significantly to this growth with its highest-ever quarterly sales. In the same period, the company introduced new products and secured strategic defence projects.

Consolidated revenue for the period rose by 8% to ₹1,763.80 crore, while consolidated net profit declined by about 11% to ₹141.88 crore. EBITDA improved to ₹190 crore, reflecting a 9% year-on-year increase, underscoring operational efficiency despite the dip in profitability.