MTAR Technologies (MTARTECH) Q3 24/25 earnings summary

Executive summary

• Achieved 47.4% year-on-year revenue growth and 39.4% increase in EBITDA for Q3 FY25, with EBITDA margin at 19.1%.

• Order inflow of INR 817 crores in FY25 across clean energy, aerospace, and other sectors, with a diversified order book of INR 1,030 crores as of December 31, 2024.

• Strategic expansion into new customers and product lines, with volume production for MNCs and major aerospace clients expected from FY26.

• ESG initiatives integrated, with 85% of FY23 revenue from climate-positive products and a strong governance rating.

• Unaudited consolidated revenue for Q3 FY25 was INR 1,744.55 million, with net profit at INR 159.64 million; nine-month revenue reached INR 4,929.07 million with net profit of INR 391.65 million.

Financial highlights

• Q3 FY25 revenue from operations: INR 174.5 crore (Q3 FY24: INR 118.4 crore); 9M FY25 revenue: INR 492.9 crore.

• Q3 FY25 EBITDA: INR 33.3 crore (Q3 FY24: INR 23.9 crore); EBITDA margin at 19.1%.

• Q3 FY25 profit after tax: INR 16 crore, up 52.8% YoY; 9M FY25 PAT at INR 39.2 crore.

• Gross profit margin for Q3 FY25 at 49.7%; PAT margin at 9.2%.

• Operating cash flow for Q3 FY25: INR 102 crores; net working capital days at 222.

Outlook and guidance

• FY25 revenue guidance: INR 700 crores+ with EBITDA margin of 21% ±100 bps.

• FY26-FY28: 30% annual revenue growth expected, with EBITDA margin improving to 24% in FY26, 26% in FY27, and 28% in FY28.

• Volume production for new products and customers expected to commence from FY26, supporting future revenue growth.

• Clean energy sales projected at INR 500 crores+ in FY26, with hot boxes contributing INR 470 crores.

• Major ramp-up in aerospace and defense expected from FY26, with MNC aerospace revenue at INR 125 crores in FY26.