Indo Count Industries (521016) Q2 23/24 earnings summary

Executive summary

• Record Q2 and H1 FY24 performance, with Q2 total income of ₹1,033 crore and record quarterly and half-year revenue and EBITDA.

• Higher volumes, value-added products, cost optimization and Bhilad integration supported growth and margin expansion.

Financial highlights

• Q2 FY24 total income was ₹1,033 crore versus ₹849 crore YoY; H1 total income was ₹1,780 crore versus ₹1,571 crore.

• Q2 EBITDA was ₹189 crore, up 58% YoY, with an 18.3% margin; H1 EBITDA was ₹319 crore, up 23%, with a 17.9% margin.

• Consolidated revenue from operations was ₹1,008.96 crore in Q2 and ₹1,750.39 crore in H1; consolidated profit was ₹114.18 crore and ₹187.92 crore, respectively.

• Consolidated Q2 and H1 EPS were ₹5.77 and ₹9.49, versus ₹3.38 and ₹7.29 in the corresponding prior-year periods.

• Q2 sales volume reached a record 27.8 million meters, with 40% volume growth.

Outlook and guidance

• FY24 volume guidance was raised from 85–90 million metres to 90–100 million metres; margin guidance remained 16%–18%.

• H2 volume momentum is expected to continue; geopolitical uncertainty is reflected in the guidance range.

• FY24 capacity utilization is expected above 60%, or 62%–63% on a full-year basis; the longer-term aim is to sweat capacity and potentially double revenue over 3–4 years.

• Domestic market share is targeted to reach at least 10% of revenue within five years; fashion, utility and institutional categories are aimed at 30% of revenue over time.