Craftsman Automation (CRAFTSMAN) Q1 25/26 earnings summary

Executive summary

• EBITDA margin stood at 15% for the quarter ended June 2025, with net debt to EBITDA at 2.27 consolidated and 2.87 standalone, reflecting recent acquisitions and CapEx.

• Consolidated revenue from operations for Q1 FY26 was ₹178,400 lakhs, up from ₹115,119 lakhs in Q1 FY25, reflecting significant year-over-year growth.

• Profit for the period attributable to owners was ₹6,960 lakhs, compared to ₹5,949 lakhs in Q1 FY25.

• Diversified engineering company with three main business verticals: Powertrain, Aluminum Products, and Industrial Engineering, serving commercial vehicles, passenger vehicles, two-wheelers, farm equipment, and off-highway vehicles.

• Operations commenced in 1986, now with 26 manufacturing facilities (including one in Germany) and a market capitalization of ₹11,635 crores.

Financial highlights

• FY26 Q1 consolidated revenue reached ₹1,784 crores, up 34% year-over-year; EBITDA at ₹249 crores, up 40% year-over-year; PAT at ₹70 crores, up 19% year-over-year.

• Powertrain segment FY26 Q1 revenue: ₹496 crores; Aluminum Products: ₹1,071 crores; Industrial & Engineering: ₹216 crores.

• Standalone aluminum business saw 56% year-over-year growth in Q1, with 34% growth excluding alloy wheel contributions.

• Powertrain margins reached 15.2%, the highest in the last four quarters, due to cost optimization and stable operations.

• Gross profit for FY26 Q1 was ₹802 crores, up 8% sequentially from the previous quarter.

Outlook and guidance

• FY 2025 revenue guidance remains at INR 70 billion, with EBITDA of INR 11 billion and PAT of INR 6.5–7 billion; no change in guidance, with potential upside in Q4.

• Aluminum segment expected to outgrow powertrain, with 20–25% CAGR projected over the next four years.

• CapEx guidance for FY 2026 is around INR 800 crore, with careful monitoring of debt and market opportunities.

• Recent acquisitions and greenfield expansions are expected to drive further growth and operational scale.

• Management notes that due to acquisitions during FY25, Q1 FY26 results are not directly comparable to Q1 FY25.