Investor Presentation May, 2025
Awaiting price reaction for this filing.
Balkrishna Industries (BKT) outlined its growth roadmap targeting 2.2x revenue growth to ~Rs. 23,000 cr by FY30, implying a ~17% CAGR over 5 years. FY25 was a record year with revenue at Rs. 10,615 cr (+13% YoY), EBITDA at Rs. 2,682 cr (+16% YoY) at 25.26% margin, and net profit of Rs. 1,628 cr (+13% YoY). Q4FY25 saw softer numbers with net profit down 25% YoY and EBITDA margin contracting 115 bps to 24.78%. The company plans Rs. 3,500 cr capex over 3 years across Carbon Black, Rubber Tracks, and new tire categories, aiming for 8% global OHT market share (up to 10% as future goal) and entry into PCR/CV Radial tires for India starting FY26-FY27. Management expects blended margins of 23-25% post full commercialization with significant absolute EBITDA growth.
The presentation reaffirms BKT's ambitious long-term growth trajectory, but near-term Q4FY25 weakness and guided margins of 23-25% (slightly below current 25.26%) suggest some margin pressure ahead. Investors will watch execution of the Rs. 3,500 cr capex, Rubber Tracks production in H2-2026, and new India tire vertical entry as key catalysts.