Elecon Engineering Company (505700) Q4 24/25 earnings summary

Executive summary

• Achieved record-high quarterly and annual consolidated revenue, EBITDA, and PAT in FY25, surpassing or meeting guidance, reflecting strong operational execution and market demand.

• Maintained leadership in industrial gear solutions and material handling equipment, with robust domestic and international demand; international revenue at Rs 517 crore (23% of total).

• Strategic focus on expanding international revenue to 50% of consolidated sales by FY30.

• Sustainability initiatives advanced, including SBTi approval and recognition for ESG practices.

Financial highlights

• Q4 FY25 consolidated revenue: Rs 798 crore (+41.3% YoY); FY25 revenue: Rs 2,227 crore (+14.9% YoY).

• Q4 EBITDA: Rs 195 crore (+44.3% YoY, margin 24.5%); PAT: Rs 146 crore (margin 18.4%).

• FY25 EBITDA: Rs 543 crore (margin 24.4%); PAT: Rs 415 crore (margin 18.6%).

• Order intake for FY25: Rs 2,380 crore (+19.4% YoY); order book at March 31, 2025: Rs 948 crore (+19.1% YoY).

• Earnings per share (consolidated, FY25): Rs 18.50; proposed final dividend of Rs 1.50 per share (150% of face value).

Outlook and guidance

• FY26 revenue guidance: Rs 2,650 crore, with EBITDA margin of 24%-24.5%.

• Gear Division expected to contribute Rs 2,000 crore, MHE Division Rs 650 crore; overseas revenue targeted at 27%-30%.

• Focus on international expansion, R&D, and high-growth MHE division to drive future growth.

• Power sector seen as a major growth driver; sugar sector expected to be weak.