Tube Investments of India (TIINDIA) Q2 24/25 earnings summary

Executive summary

• Consolidated Q2 FY25 revenue rose to INR 7,611 crore, up from INR 7,236 crore in Q2 FY24, while profit before tax (before exceptional items) was INR 970 crore, compared to INR 928 crore in Q2 FY24.

• Standalone Q2 FY25 revenue increased to INR 2,065 crore from INR 1,970 crore, with PBT at INR 225 crore, down from INR 245 crore year-over-year.

• Achieved strong revenue growth across core business segments, with continued leadership in precision tubes, metal formed products, and mobility solutions.

• Expanded presence in electric mobility through investments and increased stakes in subsidiaries focused on electric vehicles and related technologies.

• Recognized for innovation with international design awards and the launch of India's first electric tractor and electric truck.

Financial highlights

• Engineering business Q2 FY25 revenue was INR 1,323 crore (Q2 FY24: INR 1,274 crore), with PBIT at INR 162 crore (down from INR 169 crore).

• Metal formed products Q2 FY25 revenue was INR 404 crore (Q2 FY24: INR 400 crore), PBIT at INR 46 crore (down from INR 53 crore).

• CG Power Q2 FY25 revenue was INR 2,413 crore (Q2 FY24: INR 2,002 crore), PBT at INR 294 crore (down from INR 303 crore).

• Shanthi Gears Q2 FY25 revenue was INR 155 crore (Q2 FY24: INR 135 crore), PBT at INR 34 crore (Q2 FY24: INR 30 crore).

• Free cash flow for the quarter was INR 60 crore; free cash flow to PAT ratio at 62% for Q2 FY25.

Outlook and guidance

• Management expects margin improvement in the second half, with one-time operational expenses in Q2 not recurring.

• Focus on scaling electric mobility business and leveraging new product launches to drive future growth.

• Export momentum is expected to continue, with diversification into South Asia and US markets to offset European softness.

• Continued investment in R&D and capacity expansion to maintain market leadership in core segments.

• New product launches in clean mobility (cargo three-wheeler, small commercial vehicle, and tractor) are planned in the next few months.