Alicon Castalloy (531147) Q4 24/25 earnings summary

Executive summary

• FY25 revenue grew 10% year-over-year to INR 1,724 crore, with Q4 FY25 income at INR 426 crore, rebounding after a subdued Q3 due to improved demand and operational agility.

• Board recommended and declared an interim dividend of INR 2.5 per share (50%) for FY25, with record date set as May 17, 2025.

• Maintained a diversified customer base with no single customer contributing over 15% of turnover, providing a natural hedge.

• Audited standalone and consolidated financial results for Q4 and FY25 were approved, with auditors issuing unmodified opinions.

• 75,000 equity shares allotted under ESOP 2022; new internal auditor appointed for FY26.

Financial highlights

• FY25 EBITDA was INR 198 crore, stable YoY, with margin at 11.5% (down 126 bps YoY); Q4 EBITDA rose 36% sequentially to INR 48 crore, margin at 11.2%.

• FY25 PAT was INR 46 crore, down 25% YoY; Q4 PAT at INR 9 crore, showing sharp QoQ recovery but 54% lower YoY.

• FY25 gross margin was 47.8% (down 371 bps YoY); Q4 gross margin at 47.5%, driven by product mix and automation.

• CapEx for FY25 was INR 165–170 crore, focused on machinery upgrades and new product development.

• Finance costs rose 9% YoY to INR 44.5 crore; depreciation increased 18% YoY to INR 91.3 crore.

Outlook and guidance

• FY26 revenue guidance revised to INR 1,900–1,950 crore (12–14% growth), down from earlier INR 2,200 crore due to global volatility and customer disruptions.

• Margin guidance for FY26 is around 13%, with Q1 expected to be flat and improvement from Q2 onward.

• Management remains focused on operational efficiency, cost optimization, and portfolio diversification.

• Cautious demand trends expected due to regulatory uncertainty, evolving technology, and geopolitical concerns, especially in EV and CV segments.

• CapEx for FY26 expected at INR 170 crore, continuing investment in advanced manufacturing and new business pipeline.