What caused the 20% decline in net profit?

Profit fell to ₹64.2 crore primarily due to a ₹9.99 crore exceptional charge related to the implementation of new labour codes.

How much is the total dividend payout for the year?

The board recommended a final dividend of ₹23 per share, bringing the total annual payout to ₹26.50 per share.

Who is the new whole-time director?

Sameer Jain will take over as whole-time director starting in September 2026, succeeding the retiring Vinay Mittal.

Did revenue grow during the year?

Yes, annual revenue increased by 9% to ₹865.5 crore, supported by growth in both domestic and export markets.

Earnings · Engineering · Small cap

Honda India Power Products profit drops 20% on labour code charges

Revenue grew 9% to ₹865.5 crore, but a ₹9.99 crore exceptional charge weighed on the bottom line. The board declared a total dividend of ₹26.50 per share.

— 3 earlier stories on Honda India Power Products Ltd. →

HONDAPOWER 26 May 2026 · 7:01 PM IST Verify on BSE · NSE

Mkt cap₹2,294 cr

P/E31.23×

ROE9.26%

Debt / eq.0.00

Div yld1.41%

₹64.2 cr Annual net profit for the year ended March.

What's new

Revenue rose 9% to ₹865.5 crore on stronger domestic and export demand.
Net profit fell 20% to ₹64.2 crore after a ₹9.99 crore exceptional charge.
Sameer Jain will replace retiring whole-time director Vinay Mittal in September.

Why this matters

The exceptional charge masks the underlying performance, but the bottom-line contraction is sharp. A total dividend of ₹26.50 per share suggests the board remains confident in cash flow despite the regulatory hit.

What we're watching

Whether the labour code costs are one-time or recurring in FY27.
The impact of the leadership transition on domestic sales strategy.
Margin recovery potential in the coming quarters.

The full read

Honda India Power Products closed the year with ₹865.5 crore in revenue, a 9% increase driven by domestic and export sales. However, the bottom line did not keep pace. Net profit slipped 20% to ₹64.2 crore, largely because the company took a ₹9.99 crore exceptional charge to account for new labour codes. The board is looking past the earnings dip, recommending a final dividend of ₹23 a share. This brings the total annual payout to ₹26.50 a share. Leadership is also changing, with Sameer Jain set to take over as whole-time director in September as Vinay Mittal retires. The transition comes as the company manages these regulatory costs. The dividend suggests management sees the labour code charge as a one-off expense rather than a structural threat to profitability.

Questions answered

What caused the 20% decline in net profit?: Profit fell to ₹64.2 crore primarily due to a ₹9.99 crore exceptional charge related to the implementation of new labour codes.
How much is the total dividend payout for the year?: The board recommended a final dividend of ₹23 per share, bringing the total annual payout to ₹26.50 per share.
Who is the new whole-time director?: Sameer Jain will take over as whole-time director starting in September 2026, succeeding the retiring Vinay Mittal.
Did revenue grow during the year?: Yes, annual revenue increased by 9% to ₹865.5 crore, supported by growth in both domestic and export markets.

Mentioned: Honda India Power Products · Sameer Jain · Vinay Mittal

Primary source BSE · NSE

An independent reading of the company's own disclosure — the primary filing above is the final word.

Story so far

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26 May 2026 · 7:01 PM IST Honda India Power Products profit drops 20% on labour code charges
today Honda India Power Products profit drops 20% on labour code costs
today Honda India Power Products profit drops 20% on labour code charges
today Honda India Power Products profit drops 20% on labour code charges