Action Construction Equipment (ACE) Q4 25/26 earnings summary

Executive summary

• Achieved best-ever Q4 revenue performance and stable FY 2026 income, with margin expansion across EBITDA, PBT, and PAT, despite geopolitical and supply chain headwinds.

• World's largest pick & carry crane manufacturer with over 31 years of industry presence and a diversified product portfolio across construction, infrastructure, logistics, manufacturing, defence, and agriculture sectors.

• Strong pan-India and global presence in over 37 countries, supported by a wide sales and service network across 125+ locations.

• Maintained a debt-free status and strong liquidity, with a recommended 100% final dividend (INR 2/share) for FY 2026.

• Strategic 50:50 JV with Kato Works (Japan) finalized to strengthen heavy crane segment, technology, and export opportunities.

Financial highlights

• FY 2026 total income was INR 33,905 Mn, largely flat year-over-year, with EBITDA margin at 18.33% (up 81 bps) and PAT margin at 12.53% (up 73 bps).

• Absolute EBITDA grew 4% to INR 622.36 crores; PAT up 5.4% to INR 425 crores; diluted EPS for FY26 at INR 34.87, up 1.5% YoY.

• Q4 FY 2026 total income was INR 1,021 crores, up 15% sequentially and 5.58% YoY; Q4 PAT at INR 1,109 Mn, down 6.5% YoY.

• Standalone revenue from operations for FY 2025-26 was Rs. 327,368 lakhs, with profit after tax at Rs. 42,542 lakhs; consolidated revenue at Rs. 328,044 lakhs, PAT at Rs. 41,510 lakhs.

• Other income was subdued due to mark-to-market losses on investments, partially recovered in April.

Outlook and guidance

• Expecting a steady start to FY 2027, with focus on sustaining EBITDA margins in the 15%-16% range and further price hikes to offset 11%-14% input cost inflation.

• Positive long-term industry outlook, with focus on profitable, volume-led growth through operational efficiencies and disciplined margin management.

• Guidance for FY 2027 will be provided after Q2, but management is confident of growth in revenue and volumes.

• Medium-term revenue target of INR 6,000-6,200 crores by FY 2029/2030 remains on track, aided by defense and export growth.

• The Board will announce book closure dates for dividend entitlement and AGM in due course.