Latest news with #SKFIndia
Yahoo
20-05-2025
- Automotive
- Yahoo
SKF India Ltd (BOM:500472) Q4 2025 Earnings Call Highlights: Strong Full-Year Growth Amidst Q4 ...
Release Date: May 19, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. SKF India Ltd (BOM:500472) reported a solid full-year growth of 8%, with sales reaching approximately 4,830 crore. The company's profit before tax margin improved significantly from 11.9% to 23.3% due to cost-saving efforts and gross margin improvements. The demerger process is on track, aiming to create two independent entities with better management focus and tailored capital deployment. Automotive segment showed strong growth in commercial vehicles and tractors, driven by e-commerce and favorable monsoon predictions. The company is planning to double its CapEx over the next 2-3 years to enhance capacity and localization, aiming for 70% localization at an ICL level. Q4 sales growth was muted at 1% year-on-year, attributed to a strong Q3 and significant export declines due to global macroeconomic conditions. The company's cash flow was down due to changes in networking capital, with increased inventory and receivables impacting liquidity. The industrial production index and construction sector saw declines, which could pose challenges for future growth. There was a significant adjustment in transfer pricing, which affected margins and may lead to future volatility. The company's inventory levels have risen, partly due to anticipated demand, but this could pose risks if not managed effectively. Warning! GuruFocus has detected 2 Warning Sign with BOM:500472. Q: Can you share a detailed demand outlook for next year across key segments, and provide margin numbers for the auto and industrial segments for FY 2025? A: (CFO) For FY 2025, we expect margins to be in line with FY 2024, with automotive EBITDA margins around 18% and industrial around 17%. PBT margins are expected to be around 16% for both segments. The numbers are still being finalized. In terms of demand, automotive is seeing strong growth in commercial vehicles, tractors, and SUVs, with a growing presence in EVs. Industrial growth is expected to be flat to slightly up, with sectors like food and beverage, wind and renewable energy, and railways showing potential growth. Q: Why was there a positive catch-up on transfer pricing in Q4 FY 2025, and is it completed? A: (CFO) The significant adjustment on transfer pricing was made in Q4 FY 2025 to align margins with acceptable levels for tax authorities. This adjustment is completed for the financial year. The overall EBITDA margin for FY 2025 was around 17.5%, slightly down from 18.1% last year, mainly due to price increases and portfolio pruning. Q: What is the expected CapEx for the new companies post-demerger, and how will it affect localization? A: (CFO) We expect CapEx to double in the next 2-3 years, reaching around 250 to 270 crore annually. Currently, industrial localization is at 30%+, and we aim to reach 70% at an ICL level. The CapEx will support capacity expansion and localization efforts. Q: How will the Pune plant be split between automotive and industrial segments? A: (Managing Director) The Pune plant will not be physically split. A new plant will be built to move specific industrial-focused lines, and capacity will be added as needed for both segments. Q: How is senior management evaluated on growth, margins, and exports? A: (Managing Director) Senior management is evaluated on growth and operating margins, not specifically on exports. The evaluation criteria have remained consistent, focusing on sales growth and operating margin. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Business Standard
16-05-2025
- Business
- Business Standard
SKF India soars after recording nearly 86% sequential rise in Q4 PAT
SKF India jumped 6.37% to Rs 4579.05 after the company reported a consolidated net profit of Rs 203.28 crore in Q4 FY25, which is an increase of 85.6% as compared with the PAT of Rs 109.50 crore posted in Q3 FY25. The companys consolidated net profit is higher by 16% on year-on-year (YoY) basis. PAT in the same period last year was Rs 175.23 crore. Net sales rose by 0.8% YoY to Rs 1,213.37 crore during the quarter. Total operating expenditure fell by 6.2% to Rs 928.83 crore in Q4 FY25 from Rs 990.04 crore in Q4 FY24. Depreciation costs increased by 15.6% YoY to Rs 21.83 crore in the fourth quarter. Profit before tax in Q4 FY25 stood at Rs 275.65 crore, up by 20.1% from Rs 229.61 crore recorded in Q4 FY24. For FY25, SKF India has registered a net profit of Rs 565.91 crore (up 2.6% YoY) and revenue from operations of Rs 4,919.92 crore (up 7.7% YoY). SKF India, a subsidiary of the global SKF Group, manufactures bearings and related components at its facility in Pune, Maharashtra.
Mint
09-05-2025
- Business
- Mint
Stock to buy: Anand Rathi recommends SKF India shares as its stock pick of the month
Stock to buy: Anand Rathi has announced its stock pick of the month. The brokerage firm has recommended SKF India shares to buy as it expects the stock to deliver a decent upside in the near term. Anand Rathi recommends buying SKF India shares at current market price for a target price of ₹ 4,300 level, while maintaining a stop loss at ₹ 3,850 level. SKF India shares have been consolidating and trading in a range since the past three months. The stock has gained 3% in one month, and is down 2% in three months. 'After a long consolidation, SKF India share price has given a strong breakout on the daily chart. Daily RSI has crossed the 60 mark for the first time in nearly a year, indicating rising momentum. ADX (14) daily is showing a positive crossover, further supporting the bullish bias,' Anand Rathi said. Based on the above signals, it advises buying SKF India shares in the ₹ 4,020 – ₹ 3,980 zone, with a target of ₹ 4,300 and stop loss at ₹ 3,850. SKF India's board of directors are scheduled to meet on Thursday, 15 May 2025, to consider and approve the financial results for the fourth quarter of FY25 and for the full financial year 2024-2025. Thus, SKF India Q4 results 2025 will be announced on May 15. The company's board will also consider and recommend the dividend, if any, for the financial year ended 31st March 2025, subject to a declaration of the same by the members in the ensuing Annual General Meeting. SKF India share price has declined 12% year-to-date (YTD) and is down 22% over the past six months. On a one-year basis, the stock has corrected 20%. However, over the long term, SKF India share price has delivered strong returns, gaining 171% over the past five years. At 1:30 PM, SKF India share price was trading 1.22% lower at ₹ 3,920.30 apiece on the BSE. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
Mint
29-04-2025
- Automotive
- Mint
Schaeffler Indias first-quarter profit rises 16.6% on firm demand
(Reuters) - Automotive and industrial parts maker Schaeffler India reported a 16.6% rise in first-quarter profit on Tuesday, supported by strong demand for its transmission, braking systems and other auto ancillary products. The company, a unit of Germany's Schaeffler, said profit rose to 2.65 billion rupees ($31.1 million) in the quarter ended March 31 from 2.28 billion rupees a year ago. Revenue from operations increased 14.1% to 21.1 billion rupees, outpacing the 9.8% rise in the cost of materials, such as steel and polymers, which account for over half of its total expenses. For further earnings highlights, click (Full Story) The automotive technologies segment, which accounted for 43.7% of Schaeffler India's revenue in the quarter, counts passenger and commercial vehicles and tractors among its customers. The rest of its revenue comes from three other segments, including an industrial applications segment. Sales of passenger vehicles grew 2.4% year-on-year in the first quarter, while that of commercial vehicles rose 1.5%, favouring growth for auto ancillaries like Schaeffler India, analysts said. Smaller peers SKF India and NRB Bearings have yet to report quarterly results. Valuation (next 12 Estimates (next 12 Analysts' sentiment RIC PE EV/EBITDA Revenue Profit Mean No. of Stock to Div growth (%) growth rating* analysts price yield Schaeffler India 43.03 27.74 12.93 18.90 Buy 9 0.89 0.85 SKF India 30.84 22.64 11.42 26.37 Buy 9 0.81 3.35 NRB Bearings 19.05 13.79 10.51 22.44 Strong 1 0.62 2.02 Timken India 41.95 26.73 12.06 15.00 Strong 1 0.72 0.10 * The mean of analysts' ratings standardised to a scale of Strong Buy, Buy, Hold, Sell, and Strong Sell ** The ratio of the stock's last close to analysts' mean price target; a ratio above 1 means the stock is trading above the PT JANUARY-MARCH STOCK PERFORMANCE -- $1 = 85.1950 Indian rupees (Reporting by Meenakshi Maidas in Bengaluru; Editing by Sumana Nandy) First Published: 29 Apr 2025, 05:18 PM IST
