Pitti Engineering (513519) Q1 24/25 earnings summary

Executive summary

• Q1 FY25 delivered record-high consolidated revenue of ₹386.71 crore and EBITDA of ₹56.35 crore, with PAT at ₹20.55 crore, driven by robust demand and strong segment performance.

• Net profit rose 47.10% year-over-year, with sales volume reaching an all-time high of 14,992 MT.

• Acquisition of Bagadia Chaitra Industries Private Limited (BCIPL) completed in May 2024, with pro rata consolidation of financials.

• Expansion plans remain on track for commissioning by end of September, positioning the company to surpass annual targets.

• Three new non-executive independent directors were appointed, subject to shareholder approval at the AGM.

Financial highlights

• Standalone revenue grew 21.92% year-over-year to ₹354.45 crore, with standalone PAT up 41% to ₹19.70 crore.

• Consolidated revenue from operations grew 32.09% year-over-year to ₹382.78 crore; total income increased 33.02% to ₹386.71 crore.

• Total sales volume reached 14,992 tons consolidated, with standalone volume up 24.63% to 12,411 tons.

• Export revenue for Q1 FY25 was ₹106.64 crore, up from ₹91.96 crore year-over-year.

• Cash accruals improved to ₹35.96 crore (consolidated) and ₹34.70 crore (standalone) in Q1 FY25.

Outlook and guidance

• Optimistic outlook for FY25, aiming to surpass annual targets of 48,000 tons standalone and 63,000 tons consolidated.

• Expectation for BCIPL EBITDA per ton to rise to ₹18,000 over the next 2-3 quarters as consolidation benefits accrue.

• Full-year high-value product volumes expected to exceed last year despite Q1 product mix impact.

• Robust demand anticipated to continue across most end markets.

• Financial results for Q1 FY25 are not directly comparable to previous periods due to the acquisition of Bagadia Chaitra Industries Private Limited.