Action Construction Equipment (ACE) Q3 24/25 earnings summary

Executive summary

• Achieved highest-ever quarterly and nine-month revenue, EBITDA, PBT, and PAT in Q3 FY25, with strong growth across all segments and improved margins year-over-year.

• Maintains leadership in mobile and tower cranes with over 63% and 60% domestic market share, respectively, and exports to 37+ countries.

• Diversified operations across manufacturing, infrastructure, agriculture, and real estate sectors, supported by a wide sales and service network.

• Board approved unaudited standalone and consolidated financial results for the quarter and nine months ended December 31, 2024.

• Limited review reports issued for both standalone and consolidated results, with no material misstatements identified.

Financial highlights

• Q3 FY25 consolidated total income at INR 9,053 Mn, up 16.6% YoY; PAT at INR 1,117 Mn, up 26.6% YoY; EBITDA at INR 1,651 Mn, up 31.3% YoY; EBITDA margin expanded by 204 bps YoY to 18.24%.

• Q3 FY25 operational revenue grew 15.93% year-over-year to INR 873.1 crores.

• Nine-month FY25 consolidated total income at INR 24,580 Mn, up 15.2% YoY; PAT at INR 2,907 Mn, up 26.5% YoY; EBITDA at INR 4,340 Mn, up 31.6% YoY; EBITDA margin at 17.66%, up 221 bps YoY.

• Diluted EPS for Q3 FY25 at INR 9.38 (up 26.6% YoY); for 9M FY25 at INR 24.41 (up 26.5% YoY).

• Sequentially, Q3 operational revenue grew 15.74%, EBITDA 12.79%, and PAT 13.54%.

Outlook and guidance

• Reiterated guidance of 16%+ growth in cranes, material handling, and construction equipment for FY25; agri segment to remain flattish.

• Overall company growth expected at 15%+ with stable EBITDA margins at current levels.

• Medium-term goal to double FY23 topline by FY26 remains intact.

• Plans to significantly increase export contribution to revenues over the next 2-3 years, supported by new product launches and compliance with global emission norms.

• Government's increased capital expenditure focus on infrastructure, manufacturing, power, logistics, and housing is expected to drive medium-term growth.