In This Article:
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Q4 Stand-alone Revenue: INR 2,163 crores, with a quarter-on-quarter growth of 3%.
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Q4 Stand-alone EBITDA: INR 629 crores, a 6.7% increase from Q3, with a margin of 29.1%.
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Q4 Stand-alone PBT before Exceptional Items: INR 494 crores, up 4% quarter-over-quarter.
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FY25 Stand-alone Revenue: INR 8,844 crores.
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FY25 Stand-alone EBITDA: INR 2,524 crores, with a margin of 28.5%.
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Q4 Consolidated Revenue: INR 3,853 crores, 7.5% lower year-over-year.
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FY25 Consolidated Revenue: INR 15,123 crores, 3.6% lower year-over-year.
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FY25 Operational EBITDA Margin: Improved by 180 basis points year-over-year to 18.2%.
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New Business Secured in FY25: INR 6,959 crores across key businesses.
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FY25 CapEx for Indian Operations: INR 750 crores.
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FY25 European Operations EBIT: INR 96 crores.
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FY25 US Operations EBITDA: Positive INR 4 crores in Q4.
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FY25 Defense Order Book: INR 9,500 crores, with expected growth of 15% to 20% in FY26.
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Surplus Funds Net of Long-term Loans: INR 1,336 crores.
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FY25 ROC Net of Cash: 18.1%.
Release Date: May 08, 2025
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Bharat Forge Ltd (BOM:500493) reported a stable performance in Q4 with revenues of INR2,163 crores, showing a quarter-on-quarter growth of 3%.
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The company achieved a 100 basis points improvement in EBITDA margin, reaching 29.1% in Q4.
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On a full-year basis, Bharat Forge Ltd (BOM:500493) reported a revenue of INR8,844 crores with an EBITDA margin expansion of 100 basis points to 28.5%.
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The company secured new business worth INR6,959 crores across key sectors, with significant contributions from the defense sector.
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Bharat Forge Ltd (BOM:500493) has a robust balance sheet with surplus funds net of long-term loans at INR1,336 crores.
Negative Points
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Consolidated Q4 revenue was 7.5% lower on a year-over-year basis, indicating challenges in overall revenue growth.
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The economic situation in Europe has led to lower utilization rates of 60% to 65% in the company's European aluminum operations.
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The company faces uncertainty due to US tariffs, particularly affecting the passenger car segment, which could impact exports.
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Despite improvements, the European operations recorded an EBIT of only INR96 crores, indicating ongoing challenges in profitability.
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The company is still working on restructuring options for its European steel operations, suggesting unresolved operational issues.
Q & A Highlights
Q: What is the current status of the tariff situation affecting Bharat Forge's exports to the US, and how are customers reacting? A: The tariffs apply to shipments leaving India after April 5th, with clarity that they are applicable only to the passenger car segment. Discussions with customers are ongoing, and they are positively inclined to absorb the tariffs, so Bharat Forge does not expect to be exposed to them. (Chief Financial Officer)