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Earnings Call Transcript

LMW Earnings Call Transcript: Key Takeaways

LMW's Q1 FY27 results show flat revenue vs. Q4 FY26 despite 24% YoY growth, masking underlying margin pressure in machine tools.

Highlights
Revenue growthFlat QoQ; 24% YoY growth driven by domestic textile machine demand.
MarginsSequential contraction in machine tools due to lower top-line and currency.
Order bookRobust 3,200 Cr TMD order book with 2,400 Cr active orders.
Demand visibilityPositive domestic visibility supported by state policies and FTAs.
Management confidenceBalanced; cautious on machine tool margins, optimistic on long-term textile demand.

Growth

Textile Machinery revenue up 16% YoY; Machine Tool revenue grew 36% YoY, though margins sequentially declined.

Outlook

Order book stands at 3,200 Cr for TMD and 1,000 Cr for ATC over 3-3.5 years.

Risks

Rising commodity/logistics costs (3-3.5%) and currency depreciation threaten machine tool profitability. Secular textile demand remains gradual.

Last quarter's promises, checked

Delivered

  • Guided 20% potential growth in MTD capacity → Delivered 36% YoY growth (= BEAT)
  • Guided ATC infrastructure expansion → 50% of Capex deployed to ATC (= BEAT)
  • Guided 195 Cr ATC revenue → Delivered 195 Cr (= BEAT)

Partly delivered

  • Guided 360 Cr ATC order book → Delivered 1000 Cr over 3.5 years (= PARTIAL)
  • Guided margin maintenance via cost management → Sequential margin contraction in MTD (= PARTIAL)

Missed

  • Guided 3300 Cr TMD order book → Delivered 3200 Cr (= MISS)
Source

Earnings Call Transcript filed with BSE, NSE: LMW. Summary written with AI assistance from the document.

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LMW Ltd: key numbers

Share price
₹17,133.00
Market cap
₹18,303 Cr
Revenue (annual)
₹3,207 Cr
Net profit (annual)
₹130.7 Cr
P/E (TTM)
104.7×Sector 53.6×
Promoter holding
30.80%+0.00% QoQ
FII holding
5.45%Current quarter

Reference market data from a third-party provider, updated daily. Not a valuation or a recommendation.

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LMW Limited received an unsolicited ESG rating from NSE Sustainability Ratings & Analytics. The rating was assigned independently based on information available in the public domain.