Shivalik Bimetal Controls (513097) Q3 25/26 earnings summary

Executive summary

• Revenue grew 9% year-over-year for Q3 and the nine-month period, with gross margin and EBITDA margin expansion, despite challenges from U.S. tariffs and volume declines in key segments.

• Export share increased to 56% in FY25, reflecting a robust global footprint and diversified customer base across 38 countries.

• Interim dividend of INR 2 per equity share declared, with payment by March 6, 2026.

• Board approved a new Pune facility for automotive busbars and connectors, targeting the EV and energy storage markets, with phased capacity additions from FY 2027.

• Maintained a net-cash position, strong free cash generation, and zero debt, supporting self-funded growth and resilience.

Financial highlights

• Q3 FY26 standalone revenue rose 3.68% YoY to ₹110.13 crore; 9M FY26 revenue up 6.89% YoY to ₹345.24 crore.

• EBITDA margin exceeded 24% for the quarter, up over 400 basis points year-over-year, driven by improved product mix and higher value-added component sales.

• Q3 FY26 PAT increased 11.11% YoY to ₹19.47 crore; 9M FY26 PAT up 16.13% YoY to ₹61.32 crore.

• Shunt volumes grew by 9.5% and bimetal volumes by 5% over the nine-month period.

• EPS for Q3 FY26 rose to ₹3.38 (from ₹3.04); 9M FY26 EPS at ₹10.65 (from ₹9.17).

Outlook and guidance

• Forward integration into busbars, PCB assemblies, and backward integration in raw materials to drive margin expansion and working capital efficiency.

• Guidance for FY 2027 and beyond is for revenue growth to exceed the current 9%, aiming for 10%-12% or higher.

• Geographic expansion, especially in Europe, and strategic acquisitions targeted for future growth.

• Sustained topline growth expected through FY30+, leveraging electrification, EV, and smart meter trends.

• Baseline shunt business expected to grow 13%-19% in FY 2027, with bimetal growth at 8%-10%.