Balu Forge Industries (531112) Q3 24/25 earnings summary

Executive summary

• Q3 FY25 consolidated revenue rose 73.91% YoY to Rs 2,557.83 Mn and PAT increased 134.09% to Rs 590.06 Mn.

• 9M FY25 revenue increased 64.03% to Rs 6,539.71 Mn, while EBITDA rose 107.85% to Rs 1,761.26 Mn and PAT grew 116.34% to Rs 1,411.67 Mn.

• Growth priorities include capacity expansion, higher-value products, customer additions and expansion in railway, defence and aerospace markets.

Financial highlights

• Q3 FY25 consolidated revenue from operations was Rs 2,557.83 Mn versus Rs 1,470.75 Mn in Q3 FY24; Q2 FY25 revenue was Rs 2,228.79 Mn.

• Q3 FY25 EBITDA, excluding other income, was Rs 677.00 Mn versus Rs 327.14 Mn YoY; 9M FY25 EBITDA was Rs 1,761.26 Mn versus Rs 847.36 Mn.

• Consolidated Q3 FY25 PAT was Rs 590.06 Mn versus Rs 252.07 Mn; 9M FY25 PAT was Rs 1,411.67 Mn versus Rs 652.53 Mn.

• Standalone Q3 revenue was Rs 16,060.74 lakh versus Rs 10,388.13 lakh YoY; standalone net profit was Rs 3,975.60 lakh versus Rs 1,867.79 lakh.

• Consolidated Q3 PBT was Rs 7,416.17 lakh versus Rs 2,995.35 lakh; 9M PBT was Rs 17,987.78 lakh versus Rs 7,908.76 lakh.

Outlook and guidance

• FY25 revenue growth guidance remains 55%-60% over FY24, supported by new customer additions in sectors including railways and defence.

• FY25 EBITDA margin guidance is 25%-27%; FY26 margin guidance is 30%-32% after commercialization of the new plant.

• The new campus is being equipped for 72,000-ton annual forging capacity; commercialization and further capacity additions are in progress.