Balkrishna Industries (502355) Q3 24/25 earnings summary

Executive summary

• Achieved 11% YoY sales volume growth in 9M FY25 to 233,211 MT and 16% YoY revenue growth to INR 7,778 crore, with minor sales growth in Q3 despite challenging markets.

• Q3 FY25 saw 5% YoY sales volume growth, 11% YoY revenue growth, and net profit of INR 439 crore, up 42% YoY.

• Completed CapEx for a 30,000 MT advanced carbon material plant; testing underway with end customers.

• Ongoing CapEx for 35,000 MT OTR tire range, with first phase on schedule for completion in H1 FY26.

• Strengthened senior management with new strategic hires to support global market share ambitions.

Financial highlights

• Q3 FY25 standalone revenue: INR 2,571 crore, up 11% YoY; 9M FY25 revenue: INR 7,778 crore, up 16% YoY.

• Q3 FY25 standalone EBITDA: INR 639 crore, up 9% YoY; 9M FY25 EBITDA: INR 1,979 crore, up 22% YoY; margin at 25.4%.

• Q3 FY25 net profit: INR 439 crore, up 42% YoY; 9M FY25 PAT: INR 1,266 crore, up 32% YoY.

• Q3 FY25 consolidated revenue: INR 2,560.33 crore; net profit: INR 449.48 crore.

• Third interim dividend of INR 4/share declared, total FY25 dividend at INR 12/share.

Outlook and guidance

• Confident in achieving minor sales volume growth for full FY25 despite ongoing market challenges, especially in Europe.

• Raw material costs expected to rise in Q4 due to lag effect; prices stable thereafter.

• Freight costs have reduced and are expected to remain stable.

• CapEx guidance for FY25: INR 1,100–1,200 crore.

• First phase of new Off Road Tires project (35,000 MT) at Bhuj to complete in H1 FY26.