Gokaldas Exports (GOKEX) Q4 24/25 earnings summary

Executive summary

• FY25 was the first full year post-acquisition of Atraco and Matrix Designs, with consolidated total income reaching ₹3,917 crore, up 63% year-over-year, driven by acquisitions and organic growth; like-for-like income grew 19% YoY, outpacing India's 10% apparel export growth.

• Q4 FY25 revenue rose 27% YoY to ₹1,035 crore, with acquired entities contributing 32%; like-for-like Q4 revenue up 17% YoY.

• Integration of acquired entities progressed well, with most legacy headwinds resolved and vertical integration strengthened via investment in BTPL.

• Audited standalone and consolidated financial results for FY25 were approved, with auditors issuing unmodified opinions.

• Adoption of a new Employee Stock Option Plan (ESOP 2025) for up to 2 million shares, subject to shareholder approval.

Financial highlights

• Consolidated revenue from operations for FY25 was ₹3,864 crore (up 62% YoY); adjusted EBITDA: ₹446 crore (up 57% YoY); EBITDA margin: 11.4%.

• Q4 FY25 EBITDA: ₹142 crore (up 58% YoY); margin improved by 272 bps YoY to 13.7%.

• FY25 PAT: ₹159 crore (up 21% YoY); PBT: ₹218 crore (up 37% YoY); basic EPS (consolidated) for FY25 was ₹22.36.

• Acquired entities contributed 34% of FY25 revenue and 27% of EBITDA.

• Net debt reduced to ₹158 crore in FY25 from ₹336 crore in FY24; net debt/equity improved to 0.15x.

Outlook and guidance

• Targeting consolidated revenue growth of about 15% for FY26, with acquired entities expected to track 12%-15%.

• Margin pressure anticipated in H1 FY26 due to U.S. tariff-related uncertainties, with a potential 2% or slightly higher impact, but margins expected to recover in H2.

• Capex to be exercised judiciously; ongoing expansions in Madhya Pradesh, Karnataka, and Jharkhand to materialize in Q3 FY26.

• 100% of QIP proceeds (₹60,000 lakhs) raised in April 2024 have been fully utilized for intended purposes.

• Continued focus on strategic investments and expansion, including acquisition of a 13.3% stake in BTPL and new manufacturing capacity.