Bharat Forge (500493) Q4 24/25 earnings summary

Executive summary

• Standalone Q4 revenue was INR 2,163 crore, EBITDA INR 629 crore (29.1% margin), and PBT INR 494 crore; full-year revenue was INR 8,144 crore, EBITDA INR 2,524 crore (28.5% margin), and PBT INR 1,972 crore, with a robust cash position of INR 2,623 crore.

• Consolidated Q4 revenue was INR 35,853 crore, down 7.5% year-over-year, but EBITDA margin improved by 170 bps due to reduced overseas losses.

• New business wins totaled INR 6,959 crore, with defense contributing INR 5,000 crore; defence order book at INR 9,420 crore as of March 2025.

• Ferrous castings business saw 23% revenue growth, 35% EBITDA growth, and doubled profits year-over-year.

• Audited standalone and consolidated financial results for the year ended March 31, 2025, were approved, with an unmodified audit opinion from statutory auditors.

Financial highlights

• Standalone FY25 revenue was INR 89,686 million, up from INR 88,437 million in FY24; consolidated revenue was INR 156,821 million, down from INR 160,968 million in FY24.

• Standalone net profit for FY25 was INR 14,250 million, up from INR 13,223 million in FY24; consolidated net profit was INR 9,102 million.

• Standalone operating margin for FY25 was 28.31%; consolidated operating margin was 17.79%.

• Standalone PBT before exchange gain/loss was INR 19,924 million in FY25.

• Standalone cash on books at INR 26,228 million; consolidated cash at INR 30,952 million.

Outlook and guidance

• Defense expected to grow 15-20% in FY26, with a strong order book of nearly INR 9,500 crore.

• E-mobility products expected to reach revenue maturity and move toward profitability in H2 FY26.

• No outlook provided for export business for FY26 due to tariff volatility and lack of visibility.

• Focus areas for FY26: reducing E-Mobility losses, evaluating European steel business, improving Aluminum business, leveraging North American manufacturing, and integrating AAM India.

• The company is progressing with the acquisition of AAM India Manufacturing Corporation Private Limited, subject to conditions precedent.