MTAR Technologies (MTARTECH) Q4 24/25 earnings summary

Executive summary

• FY25 revenue from operations reached ₹676 crore, up 16.4% year-over-year, with EBITDA at ₹120.9 crore, a 7.2% increase year-over-year.

• Achieved strong order inflow of ₹720 crore in FY25, with a diversified order book of ₹979.4 crore as of March 31, 2025, spanning clean energy, civil nuclear, aerospace & defence, and other sectors.

• Growth driven by higher wallet share with existing clients, new product additions, and new customer acquisitions in clean energy, aerospace, and oil & gas.

• Commenced batch production for major aerospace clients and progressed on new product development, including prototypes for Fluence, IAI, and Weatherford.

• Audited results for FY25 reviewed and approved by the board, with a merger of subsidiaries planned to streamline operations.

Financial highlights

• FY25 revenue rose 16.4% year-over-year to ₹676 crore; Q4 FY25 revenue up 28.1% year-over-year to ₹183.1 crore.

• FY25 EBITDA grew 7.2% to ₹120.9 crore, with EBITDA margin at 17.9%; PAT decreased 5.7% to ₹52.9 crore, with PAT margin at 7.8%.

• Q4 FY25 EBITDA was ₹34.2 crore, up 87.5% year-over-year; Q4 FY25 PAT surged 182.7% to ₹13.7 crore.

• Net working capital days reduced to 229 in FY25, with a target to further reduce to 200 days in FY26.

• Long-term debt reduced by ₹15 crore to ₹127 crore; debt-to-equity ratio at 0.24x as of March 2025.

Outlook and guidance

• FY26 revenue growth guidance is 25% year-over-year, with EBITDA margins targeted at 21% ±100 basis points.

• Revenue growth expected from new customer additions, volume production for aerospace and oil & gas clients, and new product launches.

• Clean Energy expected to grow 15-20% in FY26; Aerospace & Defense projected to grow 80%; Nuclear segment revenue expected to rise from ₹19 crore in FY25 to ₹60 crore in FY26.

• Product division expected to grow at least 20% in FY26.

• Guidance is conservative, with upside potential if additional orders materialize.