ASK Automotive (ASKAUTOLTD) Q1 24/25 earnings summary

Executive summary

• Achieved record quarterly revenue and PAT in Q1 FY25, with robust growth across all product segments and continued market leadership in advanced braking systems.

• Outperformed the two-wheeler industry, driven by both existing and new customers, increased content per vehicle, and operational efficiencies.

• Consolidated and standalone unaudited financial results for the quarter ended June 30, 2024, were approved and reviewed by the Board and statutory auditors.

• Appointment of M/s Aneja Assurance Private Limited as Internal Auditors for FY 2024-25 was approved.

Financial highlights

• Consolidated total income rose 31% year-over-year to INR 865 crore in Q1 FY25, with EBITDA up 59% to INR 103 crore (11.9% margin), and PAT up 63% to INR 57 crore.

• EPS increased to INR 2.88 from INR 1.77 YoY.

• Standalone revenue from operations for Q1 FY25 was INR 786.81 crore, up from INR 655.16 crore in Q1 FY24.

• Standalone profit after tax for Q1 FY25 was INR 53.96 crore, compared to INR 35.37 crore in Q1 FY24.

• Credit rating reaffirmed at A1+ (short-term) and AA- (long-term), with outlook revised to positive.

Outlook and guidance

• Targeting to sustain and gradually improve EBITDA margins, aiming for historical 12-13% levels.

• Exports expected to recover and grow, with a long-term goal of 10% revenue share over five years.

• Industry growth expected to normalize to 7-8% in the long term after recent high growth.

• Anticipates further growth from new product launches and customer additions, especially in EV and aluminum segments.

• Construction of new Bengaluru plant progressing as planned.