Kirloskar Oil Engines (KIRLOSENG) Q4 23/24 earnings summary

Executive summary

• Achieved record consolidated revenue of ₹5,898 crore, up 17% year-over-year, with robust growth across all business segments and geographies.

• Consolidated net profit rose 33% to ₹440 crore, driven by strong operational performance, margin expansion, and improved cost efficiencies.

• Standalone revenue grew 18% to ₹4,806 crore, with net profit up 34% to ₹362 crore; EBITDA margin improved to 11.9%.

• Continued progress on the 2X3Y strategy to double FY22 revenue in three years, with FY24 revenue at ₹4,806 crore and a target of ₹6,500 crore by FY25.

Financial highlights

• Consolidated revenue: ₹5,898 crore (FY24) vs ₹5,024 crore (FY23), up 17%.

• Consolidated net profit: ₹440 crore (FY24) vs ₹332 crore (FY23), up 33%.

• Standalone revenue: ₹4,806 crore (FY24) vs ₹4,073 crore (FY23), up 18%.

• Standalone net profit: ₹362 crore (FY24) vs ₹270 crore (FY23), up 34%.

• EBITDA margin (standalone): 11.9% (FY24) vs 11.1% (FY23).

• EPS (standalone): ₹25 (FY24) vs ₹19 (FY23).

• Dividend: Total payout of ₹72.44 crore; final dividend of ₹3.50/share and interim dividend of ₹2.50/share.

Outlook and guidance

• Targeting ₹6,500 crore revenue and double-digit EBITDA margin by FY25 under the 2X3Y strategy.

• Focus on expanding international presence, especially in North America and the Middle East.

• Continued investment in R&D, alternate fuels, and clean energy technologies to drive future growth.

• Optimistic on growth prospects, supported by strong order book and new product launches.