CG Power & Industrial Solutions (CGPOWER) Q3 24/25 earnings summary

Executive summary

• Standalone Q3 FY25 sales reached INR 2,389 crores, up 28% year-over-year, with orders at INR 3,636 crores, a 61% increase, marking a record high for the quarter.

• Consolidated sales for the quarter were INR 2,516 crores, up 27% year-over-year; consolidated PBT was INR 335 crores (13.3% margin).

• Consolidated revenue from operations for Q3 FY2024-25 was ₹2,515.68 crore, up from ₹1,978.75 crore in Q3 FY2023-24, with nine-month revenue at ₹7,155.89 crore, up from ₹5,854.26 crore year-over-year.

• Profit after tax for Q3 FY2024-25 was ₹237.85 crore, compared to ₹196.60 crore in Q3 FY2023-24; nine-month profit after tax reached ₹698.72 crore, up from ₹637.31 crore year-over-year.

• Free cash flow for the quarter was INR 216 crores, with a return on capital employed at 34%.

Financial highlights

• Standalone PBT before other income was INR 306 crores, up 35% year-over-year; PBT margin improved to 12.8% from 12.2%.

• EBITDA for Q3 FY2024-25 was ₹334.86 crore, up from ₹264.46 crore in Q3 FY2023-24.

• Free cash flow to PAT ratio stood at 96%.

• Order backlog as of December 31, 2024, was INR 8,952 crores (standalone) and INR 9,706 crores (consolidated), both up nearly 70% year-over-year.

• Earnings per share for Q3 FY2024-25 was ₹1.57 basic and diluted, compared to ₹1.29 in Q3 FY2023-24.

Outlook and guidance

• Power transformer capacity expansion to 85,000 MVA by FY28, with INR 712 crores investment, targeting both domestic and export markets.

• Distribution transformer and switchgear segments expected to see double-digit growth, focused on industrial demand.

• OSAT (semiconductor) project on track, with mini factory expected in 2026 and mega factory in 2027.

• The company is expanding into the semiconductor sector with the incorporation of Axiro Semiconductor Private Limited and Axiro Semiconductor Inc., linked to a definitive agreement for acquiring an RF Components business, pending regulatory approvals.