Raymond (RAYMOND) Q2 24/25 earnings summary

Executive summary

• Revenue for Q2 FY25 reached ₹1,101 crore, up 115% year-over-year, driven by strong real estate and engineering segments.

• EBITDA for Q2 FY25 was ₹172 crore, with a margin of 15.6%, rising 75% year-over-year.

• Net profit from continuing operations was ₹59 crore, more than doubling year-over-year.

• Real estate bookings for the quarter were ₹562 crore, with strong demand and new project launches in Thane and Bandra.

• The company remains net cash surplus with ₹685 crore as of September 30, 2024.

Financial highlights

• Real estate segment revenue grew 135% year-over-year to ₹571 crore; segment EBITDA was ₹112 crore with a margin of 19.6%.

• Engineering segment revenue rose to ₹443 crore, with an EBITDA margin of 11.0%; Maini Precision Products Limited contributed significantly.

• Profit before tax (PBT) was ₹103 crore, up 42% year-over-year.

• Interest and depreciation expenses increased due to acquisition activity.

• Cash and equivalents stood at ₹1,591 crore; gross debt was ₹906 crore.

Outlook and guidance

• Real estate bookings expected to grow 20%-25% year-over-year, targeting ₹4,000 crore in booking value next year.

• Engineering segment anticipates recovery in aerospace and short-lived weakness in auto components, with H2 expected to be better than H1.

• Multiple new project launches planned in Thane and outside in Q3 and Q4.

• Company expects to remain net cash surplus and expand via capital-light JDA model.

• Real estate business expects continued strong demand, with a revenue pipeline exceeding ₹32,000 crore.