Announced Mon, 25 May · 21:26 IST

Amara Raja Energy & Mobility Limited has informed the Exchange about Presentation

Mgmt Guided Margin PressureInvestor Communications View source PDF

ARE&M · price

Loading chart…

▲ positive · ▼ negative · ● neutral filings · teal = economic event · numbered = multiple that day (click to pick). Times IST.

Price reaction · full curve 14 horizons · vs prior close
+2.0%1-day move
₹886.80
prior close
₹893.00
base price
After-mkt
timing
5m10m15m30m1D2D3D4D5D7D15D1M2M3M
+2.5+2.3+2.0+1.6+2.0-0.1-1.2-2.0-3.2-3.9-3.5-7.3-1.3
Up moveDown movePending
AI summary

Amara Raja reported FY26 consolidated revenue of ₹1,38,140 Mn, up 7.5% YoY, but EBITDA fell 7.4% to ₹14,971 Mn. EBITDA margins compressed to 10.8% from 12.6% in FY25, continuing a downward trend from 14.2% in FY24. PAT declined 5.2% to ₹8,958 Mn with diluted EPS at ₹48.95 vs ₹51.62. Q4 showed stronger revenue growth of 15.5% YoY to ₹35,357 Mn, with PAT jumping 94.5% boosted by an insurance claim. The company continues its ₹9,500 crore capex for the new energy business with the giga-cell factory expected to start operations in Q2-CY2027 targeting 16 GWh capacity by FY30. Lead-acid business margins remain under pressure from raw material costs while the telecom segment faces declining lead-acid volumes as lithium solutions grow.

Likely market impact

Sustained margin compression over three consecutive years signals structural earnings pressure in the core lead-acid business. However, the company's aggressive new energy capex and minimal debt provide a long-term growth narrative that could support valuations despite near-term profitability challenges.