In This Article:
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Total Income (Standalone): INR23.2 billion, 16.8% year-on-year growth.
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Total Income (Consolidated): INR29.4 billion, 14.8% year-on-year growth.
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Net Profit (Standalone): INR1.85 billion, 29.7% year-on-year growth.
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Net Profit (Consolidated): INR2.03 billion, 31.3% year-on-year growth.
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Electric Vehicle Two-Wheeler Sales: INR739 million in Q2 FY25, almost doubled from INR391 million in Q1 FY25.
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Braking Business Revenue: INR11,610 million in FY24, doubled from INR5,950 million in FY22.
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European Subsidiary Total Income Growth: 6.5% in euro terms year-on-year.
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European Subsidiary Net Profit Growth: 12.8% in euro terms year-on-year.
Release Date: November 07, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Endurance Technologies Ltd (BOM:540153) reported a strong financial performance with a 16.8% year-on-year growth in standalone total income and a 29.7% increase in net profits.
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The company is expanding its operations with new factories for four-wheeler aluminum castings and two-wheeler alloy wheels, which are expected to significantly contribute to future growth.
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Sales to electric vehicle two-wheelers have almost doubled, showcasing a strong CAGR growth of 236% over the last 3.5 years.
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The company's braking segment has shown robust improvement, with total income doubling in two years and plans to expand further with new ABS products.
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Endurance Technologies Ltd (BOM:540153) is making strides in sustainability, aiming to reach a carbon neutral percentage of more than 50% by FY30.
Negative Points
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The four-wheeler market in India and Europe showed weak performance, with passenger vehicle volumes dropping by 1% in India.
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The company faces challenges in fully utilizing its suspension plant capacities, although improvements are underway.
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Operating expenses increased by 20% year-on-year, impacting the potential for greater margin expansion despite revenue growth.
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The European market is experiencing a decline in vehicle registrations, although Endurance Technologies Ltd (BOM:540153) has managed to grow its market share.
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There is uncertainty regarding the timing and recognition of incentives under the new mega project scheme, which could impact financials in FY26.
Q & A Highlights
Q: Can you provide details on the revenue ramp-up for the new AURIC plant and the four-wheeler segment? A: The AURIC plant is focused on four-wheeler and non-auto aluminum castings, with production starting in Q2 FY26. We are confident in meeting our business plan due to strong interest from OEMs. The two-wheeler alloy wheel plant will start in September 2025, doubling our current capacity. These expansions will significantly contribute to our growth. - Anurang Jain, Managing Director