EPL (500135) Q1 24/25 earnings summary

Executive summary

• Achieved double-digit revenue growth of 10.7% year-over-year, with EBITDA up 20.8% and adjusted PAT up 35.4%.

• EBITDA margin expanded to 19.1%, a 160 bps improvement year-over-year.

• All regions contributed to growth, with strong performance in oral care and 'Personal Care & beyond' now at 47% of tube revenue.

• Net Debt/EBITDA improved to 0.67x from 0.71x YoY; ROCE rose to 15.9%, up 1.9 percentage points.

• Unaudited standalone and consolidated financial results for the quarter ended June 30, 2024, were approved and reviewed by the Board and auditors, with no material misstatements identified.

Financial highlights

• Revenue from operations reached INR 10,074 million, up 10.7% year-over-year; EBITDA at INR 1,921 million, margin at 19.1% (up 160 bps YoY).

• Adjusted PAT up 35.4% YoY; reported PAT up 18.2%; adjusted EPS increased from 1.49 to 2.02 YoY.

• Net debt reduced to INR 5,039 million; capex for Q1FY25 at INR 442 million.

• All regions posted revenue growth: Americas +18.9%, EAP +13.9%, EMEA/AMESA +9.5%, India standalone +8.6%, Europe +9%.

• Standalone and consolidated EPS both showed year-over-year growth.

Outlook and guidance

• Targeting sustained double-digit revenue growth with EBITDA margins above 20%.

• Focus on scaling 'Personal Care & Beyond', Brazil expansion, and sustainability-led competitive advantage.

• Margin improvement plan expected to achieve 20% margin soon, with continued focus on efficiency and automation.

• Americas growth expected to remain strong, though may moderate from current high levels.

• The company acquired a 49% stake in Clean Max Aria Private Limited post-quarter to develop captive wind and solar power for plants in Maharashtra and Gujarat.