Investor Presentation Q4 & FY25
Awaiting price reaction for this filing.
Amara Raja Energy & Mobility (formerly Amara Raja Batteries) shared its Q4 and FY25 investor presentation. FY25 consolidated revenue grew 9.7% year-on-year to INR 128,463 Mn, but EBITDA fell 2.5% to INR 16,165 Mn with margin contracting 158 basis points to 12.6%. The Q4 quarter was weaker with EBITDA margin dropping 297 bps YoY to 11.1% and PAT falling 29.7% to INR 1,616 Mn. The company has charted a multi-year growth plan with a INR 95 Bn capex over five years for a New Energy Giga Corridor in Telangana, targeting 16 GWh lithium-ion cell capacity by FY30 and expanding international footprint from 60+ to 80+ countries by FY30. The company highlighted healthy aftermarket volume growth in 2W/4W batteries, 15%+ growth in HUPS/inverter batteries, and progress on tubular and recycling plants. Current metrics: market cap ~INR 184 Bn, ROCE ~16%, AA+ CRISIL rating, and #1 S&P Global ESG rank in India's electrical components sector.
Short-term margin pressure is visible in both Q4 and FY25 numbers, which could weigh on near-term sentiment, but the INR 95 Bn New Energy capex pipeline targeting 16 GWh by FY30 offers a clear long-term growth runway. Investors should balance the margin compression against the multi-year capacity build-out.