Godawari Power & Ispat (GPIL) Q3 24/25 earnings summary

Executive summary

• Maintained stable performance over nine months despite lower realizations and market challenges, with a diversified product portfolio and strong ESG focus.

• Backward integrated steel producer with captive iron ore mines and zero net debt, holding net cash of ₹725 crore as of 9MFY25.

• 5-year CAGR: Revenue 10%, EBITDA 11%, PAT 30%.

• Board comprises 50% independent directors; workforce of 3,650.

• Consolidated Q3 FY25 revenue was ₹1,297.60 crore, with net profit at ₹145.04 crore, both lower year-over-year.

Financial highlights

• Nine-month revenue flat at ₹3,908 crore; EBITDA and PAT declined due to lower realizations.

• Q3FY25 revenue ₹1,298 crore, down 1% YoY; EBITDA ₹221 crore, down 33% YoY; PAT ₹145 crore, down 37% YoY.

• EBITDA margin at 22% and PAT margin at 15% for the nine-month period.

• Net cash balance stands at ₹725 crore, reflecting a strong balance sheet.

• EPS for 9MFY25 at ₹9.56, down 18% YoY.

Outlook and guidance

• Pellet plant capacity to increase from 2.7 to 4.7 million tons by Q2 FY 2026; full ramp-up expected by FY 2027.

• FY25 production guidance: Iron ore mining 2.35MnT (69% achieved in 9MFY25), pellets 2.44MnT (73%), sponge iron 0.594MnT (84%), ferro alloys 80,000T (96%).

• FY 2026 guidance: 3–3.2 million tons pellet production; FY 2027: 4–4.5 million tons.

• EBITDA for FY 2027 projected at ₹1,000–1,500 crore, with incremental ₹600 crore from new pellet plant.

• Targeting net zero carbon emissions by 2050; ongoing decarbonization initiatives.