๐Ÿšœ Balkrishna Industries Ltd โ€“ Q4 & FY25 Results Update: Strong Long-Term Strategy Despite Soft Q4 | Profit From It
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๐Ÿšœ Balkrishna Industries Ltd โ€“ Q4 & FY25 Results Update: Strong Long-Term Strategy Despite Soft Q4

Lesson 145/153 | Study Time: 10 Min

๐Ÿšœ Balkrishna Industries Ltd โ€“ Q4 & FY25 Results Update: Strong Long-Term Strategy Despite Soft Q4

๐Ÿ“Š Key Financial Highlights

Metric

Q4 FY25

Q4 FY24

YoY %

FY25

FY24

YoY %

Sales Volume (MT)

82,062

82,085

Flat

3,15,273

2,92,628

+8%

Revenue from Operations (โ‚น Cr)

2,747

2,673

+3%

10,413

9,299

+12%

Total Income (โ‚น Cr)

2,838

2,697

+5%

10,615

9,375

+13%

EBITDA (โ‚น Cr)

703

699

+1%

2,682

2,322

+16%

EBITDA Margin (%)

24.78%

25.90%

-115 bps

25.26%

24.80%

+46 bps

PAT (โ‚น Cr)

362

481

-25%

1,628

1,438

+13%

EPS (โ‚น)

18.73

24.87

-25%

84.23

74.36

+13%

๐Ÿ“‰ Q4 PAT dropped due to higher depreciation, interest, and unrealized forex losses.


๐Ÿ“ฆ Segmental, Channel & Regional Volume Share (FY25)

Segment

% of Volume

Agriculture

59.9%

OTR (Mining & Ind.)

36.6%

Others

3.5%


Channel

% of Volume

Replacement

72.8%

OEM

25.7%

Others

1.5%


Region

% of Volume

Europe

45.1%

Americas

28.6%

India

15.2%

RoW

11.1%


๐Ÿ“ˆ Key Ratios & Metrics (Consolidated)

Ratio/Metric

FY25

FY24

PE Ratio (CMP โ‚น2660, EPS โ‚น85.61)

31.07x

35.77x

Interest Coverage Ratio (ICR)

124.09x

167.8x

Debt-to-Equity

0.31

0.35

Current Ratio

1.32

1.27

Net Profit Margin (%)

15.14%

14.99%

Operating Margin (%)

17.01%

17.13%

Inventory Turnover (x)

9.49

9.27

Debtors Turnover (x)

7.11

7.32


๐Ÿ“˜ Consolidated Balance Sheet Summary (โ‚น Cr)

Category

FY25

FY24

Total Assets

15,635

13,685

Net Worth

10,388

8,854

Borrowings

3,263

3,096

Inventories

1,782

1,332

Trade Receivables

1,495

1,445

Cash & Equivalents

80

75


๐Ÿ’ฐ Consolidated Cash Flow Statement (โ‚น Cr)

Cash Flow Activity

FY25

FY24

Cash from Operations (CFO)

1,764

2,082

Cash used in Investing (CFI)

-1,479

-1,476

Cash used in Financing (CFF)

-279

-601

Free Cash Flow (Est.)

~1,550

~1,870

Net Change in Cash

+5.7

+5.2


๐Ÿ”ญ Near-Term & Long-Term Outlook

๐Ÿ› ๏ธ Expansion Projects

  • โ‚น3,500 Cr capex over 3 years for:

    • Carbon black expansion to 360,000 MTPA

    • New categories: Commercial Vehicle & Passenger Radial Tires

    • Track systems & De-bottlenecking

  • Targeting 2.2x revenue by FY30 (~โ‚น23,000 Cr)

  • FY30 vision:

    • 70% OHT

    • 20% New Tires for Indian Market

    • 10% Carbon Black sales

๐Ÿ“Œ Outlook

  • Near-term profitability may stay muted due to capex, higher depreciation, and forex volatility.

  • Strong long-term visibility with product diversification and global OEM expansion.

  • Resilient business model with surplus cash and strategic cost control.


๐Ÿ“ข Final Dividend

  • โ‚น4 per share (200% of FV โ‚น2)

  • Total FY25 dividend: โ‚น16 per share


๐Ÿ“Œ Disclosure

This analysis is for educational and informational purposes only and does not constitute a buy/sell recommendation. 


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Piyush Patel

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