Control Print (522295) Q3 24/25 earnings summary

Executive summary

• Standalone Q3 FY25 revenue reached ₹95 crore (Rs. 939 mn), up from ₹84 crore in Q3 last year, with strong performance in pipes, food, dairy, steel, and cable & wire; printer sales outpaced consumables due to marketing efforts.

• EBITDA declined by 1.86% year-over-year, while PAT grew by 5.19% year-over-year; installed base surpassed 20,000 printers, supporting future consumable sales.

• The company is expanding packaging and track-and-trace divisions, with strong order pipelines, ongoing investments in overseas subsidiaries, and a new UAE subsidiary.

• Sales strategy shifted to target larger, key accounts, aiming for higher quality and more stable revenue streams.

• Board approved unaudited results for Q3 and nine months ended Dec 31, 2024; interim dividend of Rs. 4 per share declared.

Financial highlights

• Standalone Q3 revenue: ₹95 crore (Rs. 939.1 mn); FY23-24 revenue: ₹347 crore (Rs. 3,436.6 mn); Q3FY25 net sales rose 11.9% YoY.

• Q3FY25 EBITDA declined 1.9% YoY to Rs. 208 mn; PAT grew 5.2% YoY to Rs. 135.5 mn; Q3 EPS: Rs. 8.47, up 4.7% YoY.

• Gross margin for Q3FY25 at 56.23%, down 397 bps YoY; EBITDA margin at 22.15%, down 311 bps YoY.

• 762 printers sold in Q3; capacity utilization at 60%-65%.

• Dividend payout for FY24 at 26% and buyback payout at 9.57% of paid-up share capital.

Outlook and guidance

• Management expects strong Q4 revenue and targets ₹400 crore standalone revenue for FY25.

• Margins expected to revert to 24%-25% as investments mature and cost controls improve.

• Focus on scaling packaging and track-and-trace businesses, with cautious overseas expansion and global market access via organic and inorganic routes.

• ESOS proposed to align employee interests and support long-term growth.