Usha Martin (517146) Q3 24/25 earnings summary

Executive summary

• Achieved 8% year-on-year revenue growth in Q3 FY25, with healthy volume growth of 11% despite challenging global conditions; wire rope and wire/strand segments were key drivers.

• Wire rope division contributed 73% of consolidated revenue, with value-added products accounting for 70-71% of segment revenue in nine months FY25.

• International markets represented 55% of total revenue for the nine-month period, with Europe and Asia Pacific as key markets.

• Ongoing transformation under the One Usha Martin initiative aims to centralize operations, optimize costs, and enhance competitiveness.

• Consolidated Q3 FY25 revenue was Rs 86,054 lakhs, with profit after tax at Rs 9,226 lakhs; nine-month profit reached Rs 30,541 lakhs.

Financial highlights

• Q3 FY25 consolidated net revenue: INR 860.5 crore, up 8% year-on-year; nine-month FY25 revenue: INR 2,578.1 crore, up 7.6% YoY.

• Q3 FY25 operating EBITDA: INR 142.7 crore (down from INR 157.1 crore YoY); EBITDA margin at 16.6% (down from 19.7%).

• Q3 FY25 net profit: INR 92.3 crore (down from INR 107.5 crore YoY); PAT margin at 10.7%.

• 9M FY25 operating EBITDA: INR 457.5 crore, up 2.3% YoY; PAT: INR 305.4 crore, down 3.9% YoY.

• Standalone Q3 FY25 revenue: INR 565.3 crore, up 6.3% YoY; PAT: INR 77.1 crore, down 5.3% YoY.

Outlook and guidance

• Anticipates further growth in production-driven volumes and value-led growth, with 12% volume growth expected in FY26 on a base of 1,090,000 tons.

• Margins expected to improve from current levels as cost optimization and digitalization initiatives take effect by September 2025.

• Management confirmed ongoing operations remain unaffected by legal proceedings and expressed confidence in a favorable legal outcome.