Amara Raja Energy & Mobility (500008) Q4 24/25 earnings summary

Executive summary

• FY25 consolidated revenue reached INR 128,463 Mn (₹12,846.32 crore), up 9.7% year-over-year, with 95% from lead-acid batteries and the rest from new energy business.

• PAT for FY25 was INR 9,447 Mn (₹944.67 crore), up 1.1%, with diluted EPS at INR 51.62.

• EBITDA margin declined to 12.6% from 14.2% in FY24, reflecting higher expenses and margin pressure.

• Strong domestic aftermarket and OEM growth, but export and telecom segments softened in Q4.

• Strategic capex in new energy and recycling, with major projects set to commence operations in FY26.

Financial highlights

• Q4 FY25 consolidated revenue was INR 30,601 Mn (₹3,060 crore), up 5% year-over-year.

• Q4 FY25 PAT declined 29.7% year-over-year to INR 1,616 Mn, with PAT margin at 5.3%.

• Full-year consolidated EBITDA was INR 16,165 Mn, down 2.5% year-over-year; EBITDA margin at 12.6%.

• Q4 margins were negatively impacted by higher material and power costs, reducing margins by 1.5-2%.

• Total dividend for FY 2024-25 is ₹10.50 per share, up from ₹9.90 in FY 2023-24.

Outlook and guidance

• Capex of INR 95 Bn planned over five years for new energy projects, including a 16 GWh Giga cell factory by FY30.

• Battery recycling and tubular battery plants to commence commercial production in FY26.

• Margins targeted to return to 14% as cost headwinds are mitigated and new manufacturing capacities ramp up.

• The Board remains confident in the company’s growth trajectory, as reflected in increased dividend payouts and continued investment in capacity and new energy businesses.