CIE Automotive India (532756) Q1 2025 earnings summary

Executive summary

• Q1 CY2025 consolidated sales declined 6% year-over-year to ₹21,961 million, mainly due to a 19% drop in European sales, while Indian operations grew 3% with improved margins.

• Consolidated EBITDA margin was 16.7% (excluding one-offs), supported by a one-off subsidy at the Zaheerabad plant; recurrent margin stable year-over-year.

• Standalone profit after tax for Q1 2025 was ₹2,185.36 million, while consolidated profit after tax was ₹2,063.96 million.

• Board recommended a final dividend of ₹7.00 per equity share for FY2024.

• Sale of German subsidiaries completed, with results now classified as discontinued operations.

Financial highlights

• Indian operations: Sales at ₹14,113 million (+3% YoY), EBITDA margin at 18.6%; Europe: Sales at ₹7,849 million (-19% YoY), EBITDA margin at 13.9%.

• Consolidated Q1 CY2025 EBITDA: ₹3,716 million (down 10% YoY), EBIT: ₹2,852 million (down 12% YoY), profit after tax: ₹2,063.96 million.

• Basic EPS from continuing operations: ₹5.43, down from ₹6.07 YoY.

• Dividend income from subsidiaries contributed ₹853.28 million to standalone other income in Q1 2025.

• Consolidated assets: ₹98,039.90 million as of March 31, 2025.

Outlook and guidance

• Indian light vehicle production forecasted to grow 5.1% in 2025, with long-term CAGR of 4.4% through 2030; MHCV and two-wheeler segments expected to see robust growth.

• European light vehicle production expected to decline 4.2% in 2025, with long-term CAGR of 1.0%; continued weakness anticipated for at least two more quarters.

• Tractor industry in India projected to decline 3-5% in FY2026, but long-term CAGR of 5-7% through FY2030.

• No formal forward-looking revenue or margin guidance provided, but management targets to outperform market growth in India.

• Board recommended a final dividend of ₹7.00 per share for FY2024.