Praj Industries (PRAJIND) Q3 24/25 earnings summary

Executive summary

• Order book reached its highest level in three quarters, with international orders comprising 40% of the total and a record backlog of INR 43,490 million.

• Strategic focus on co-products like bio-bitumen and distillers' corn oil, and a new JV with BPCL to enhance project viability and differentiation.

• Leadership transition announced: Ashish Gaikwad appointed as Managing Director for five years, effective February 2025.

• Net debt free, with a ~10% global ethanol market share (excluding China) and 40%+ business from repeat customers.

• Unaudited financial results for the quarter and nine months ended 31 December 2024 were reviewed and approved by the Board on 30 January 2025.

Financial highlights

• Q3 FY25 consolidated revenue at INR 8,530.3 million, up from INR 8,286.2 million YoY; nine-month revenue at INR 23,683.6 million.

• Q3 FY25 EBITDA: INR 588 million (one source), INR 727 million (another source); PAT: INR 411 million, down from INR 704 million YoY.

• Diluted EPS for Q3 FY25 at INR 2.23; nine months at INR 9.74.

• Exceptional item in Q3 FY25: profit of INR 281.6 million from sale of land classified as 'Asset held for sale.'

• Export revenues accounted for 21% in Q3; order intake for the quarter was INR 10,530 million, with 60% domestic.

Outlook and guidance

• International business expected to grow faster than domestic, targeting a 50-50 split by 2030.

• Margin for nine months FY25 is higher by 500 bps YoY, despite Q3 margin pressure.

• SAF (Sustainable Aviation Fuel) opportunity remains intact, with regulatory mandates expected from January 2027.

• JV with BPCL for CBG plants approved, indicating expansion in bioenergy.

• Revenue from GenX facility to start flowing in H2 FY2026 as order book builds.