Aarti Industries (AARTIIND) Q4 23/24 earnings summary

Executive summary

• FY24 performance faced soft global demand, inventory destocking and geopolitical logistics disruption; Q4 revenue and EBITDA improved YoY, while FY24 EBITDA reached ₹984 crore and met prior commitment.

• Recovery in discretionary products, cost leadership and diversified products supported Q4 resilience; broad-based demand revival is expected to progress in FY25.

Financial highlights

• Q4 FY24 revenue ₹1,955 crore, +7.06% YoY and +3.49% QoQ; FY24 revenue ₹7,012 crore, -3.72% YoY.

• Q4 EBITDA ₹283 crore, +12.75% YoY; FY24 EBITDA ₹984 crore, -9.72% YoY.

• Q4 PAT ₹132 crore, -11.41% YoY and +6.45% QoQ; FY24 PAT ₹416 crore, -23.67% YoY.

• FY24 exports ₹3,644 crore, +3.61% YoY; exports represented 51.97% of total income, versus 48.29% in FY23.

Outlook and guidance

• EBITDA expected to grow at ~20–25% CAGR, driven by volume recovery, capacity ramp-up, operating leverage and new strategic opportunities.

• FY25 outlook includes expanded NT and Ethylation capacity commissioning and gradual Zone 4 start-up; phased commissioning of several projects is expected this year.

• Chloro Toluene project is progressing toward phased commissioning in FY26; projects are expected to support growth from FY26 onward.

• Growth priorities include CDMO and contract manufacturing, new product development, added chemistries, sustainable products and battery and electronics chemicals.