AIA Engineering (AIAENG) Q4 18/19 earnings summary

Executive summary

• FY 2018-19 consolidated revenue rose to ₹3,06,949.99 lakh from ₹2,46,668.77 lakh; PAT after minority interest increased to ₹51,083.05 lakh from ₹44,335.22 lakh.

• Mining remained the primary growth opportunity, supported by high-chrome grinding media conversion and plans to expand into mill linings.

Financial highlights

• Consolidated EBITDA was ₹78,079.29 lakh versus ₹65,751.45 lakh; consolidated PBT was ₹69,440.01 lakh versus ₹58,500.62 lakh.

• Consolidated EPS increased to ₹54.16 from ₹47.00; consolidated profit margin was 16.64% versus 17.97%.

• Standalone revenue from operations rose to ₹2,83,758.50 lakh from ₹2,16,581.97 lakh, while PAT declined to ₹41,482.17 lakh from ₹46,990.66 lakh.

• Recommended FY 2018-19 dividend of ₹9 per ₹2 equity share, or 450%, totaling ₹8,488.83 lakh; payment subject to shareholder approval.

Outlook and guidance

• Capacity expansion targets 4,90,000 MT from 3,40,000 MT; first 50,000 MT grinding-media phase expected by September 2019, second by December 2020.

• A 50,000 MT greenfield mill-linings facility, budgeted at ₹250 crore, was targeted for commissioning by December 2020; capex planned from internal cash accruals.

• Medium- to long-term growth depends on greater mining penetration; conversion trials at mine sites typically take 18–20 months.

• Near-term cement sales outlook remained flat; thermal-power growth expected to track sector growth.