JSW Infrastructure (JSWINFRA) Q1 24/25 earnings summary

Executive summary

• Cargo volumes reached 27.8 million tons in Q1 FY25, up 9% year-over-year, with third-party cargo share rising to 50% and strong contributions from new assets.

• Revenue grew 20% year-over-year to INR 1,104 crore, with EBITDA up 24% to INR 609 crore and PAT at INR 297 crore, down 8% year-over-year.

• Strategic acquisition of a majority stake in Navkar Corporation for INR 1,644 crore aligns with nationwide logistics expansion, with an open offer to follow.

• Strong balance sheet with net cash of INR 195 crore and cash and bank balance of INR 4,571 crore as of June 30, 2024.

• Recognized for safety and EHS practices at key terminals.

Financial highlights

• Operational revenue increased from INR 878 crore to INR 1,010 crore, a 15% year-over-year rise; total revenue up 20% to INR 1,104 crore.

• EBITDA margin improved to 55.1% in Q1 FY25 from 51.4% in Q1 FY24.

• Profit before tax was INR 392 crore, down 5% year-over-year, but adjusted PBT grew 23% excluding last year’s forex gain.

• PAT was INR 297 crore, down 8% year-over-year, but adjusted PAT grew 14%.

• ROCE (TTM) at 18.1% as of June 2024.

Outlook and guidance

• Full-year volume growth guidance maintained at 10%-12%.

• Targeting a 2.4x increase in overall capacity by FY30, with a CAGR of ~15% from FY24 to FY27.

• CapEx guidance for FY25 remains at INR 13,000-14,000 crore.

• Plans to enhance cargo facility capacity to 400 million tons by FY30 or earlier.

• Effective tax rate expected to remain around 24% and may rise slightly before migrating to a new regime.