ACENSEAction Construction Equipment Limited· Electrical EquipmentMediumNeutral
Announced Wed, 20 May · 20:37 IST

Action Construction Equipment Limited has informed the Exchange about General Updates Earnings presentation-Q4/FY 2025-26

Mgmt Guided Margin ImprovementInvestor Communications View source PDF

ACE · price

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Price reaction · full curve 14 horizons · vs prior close
-2.0%1-day move
₹899.00
prior close
₹889.05
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AI summary

ACE reported FY26 total income of ₹33,905 Mn (-1.1% YoY) with EBITDA of ₹6,140 Mn (+1.3%) and PAT of ₹4,151 Mn (+1.4%). Full-year EBITDA margin expanded 43 bps to 18.11% driven by favorable product mix and improved price realizations. Q4 FY26 revenue rose 5.6% YoY to ₹10,234 Mn (highest ever quarterly), but EBITDA margin contracted 150 bps YoY to 16.25% due to higher operating expenses. The company entered a 50:50 JV with Japan's KATO WORKS CO., LTD. for heavy cranes (truck, crawler, rough terrain) to expand in the premium segment. Working capital days improved to -66 from -59, and net debt turned net cash. ACE launched next-gen AI-integrated cranes (SCOS, ALSS, RAS systems) and clutch-less transmission technology. Management remains positive on long-term outlook, targeting profitable volume-led growth.

Likely market impact

Margins expanded for the full year but Q4 showed sequential pressure. Revenue growth is volume-driven but input cost and geopolitical volatility remain risks. The KATO JV positions ACE for higher-margin heavy crane opportunities. Shareholders can expect continued margin management focus.