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Earnings Call

Simplex Castings Earnings Call: Key Takeaways

Simplex Castings delivered strong FY26 results with 18% revenue growth and 40.5% PAT growth. Management is pivoting towards high-margin railway products like bogies and expansion in steel/power sectors.

Why this was an Alfa AlertNot a filter event. Reported FY26 growth of 18% and FY27 guidance of 48.5% (below 50% threshold).
Highlights
Revenue growthFY26: 18%. Target FY27: ₹300cr (48.5% growth).
MarginsTargeting 8-10% PAT margins; expansion through high-value product mix.
Order book₹150cr pending in power; expects new bogie orders monthly.
Demand visibilityStrong order books from Thyssen, BHEL, and railway RDSO approvals.
Management confidenceHigh; citing pro-market conditions in power and steel sectors.

Growth

FY26 Revenue ₹202cr (up 18%), EBITDA ₹37.39cr (up 20%), PAT ₹21.26cr (up 40.5%).

Outlook

FY27 Revenue target ₹300cr; FY28 target ₹500cr. Plans ₹25cr capex for FY27. Exploring international acquisitions.

Risks

Execution challenges in contractual manufacturing, labor skilling needs, and volatility in raw material/gas availability.

Last quarter's promises, checked

Delivered

  • Guided 9M Revenue ~₹150cr → delivered ₹150cr (= BEAT)
  • Guided FY26 PAT ₹15cr → delivered ₹21.26cr (= BEAT)
  • Guided RDSO approval for bogies → delivered Approval received (= BEAT)

Partly delivered

  • Guided Q4 EBITDA improvement → delivered 18.5% (EBITDA growth lagged PAT) (= PARTIAL)
Source

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

Read the document ↗

Simplex Castings Ltd: key numbers

Share price
₹136.20
Market cap
₹558.4 Cr
Revenue (annual)
₹202.9 Cr
Net profit (annual)
₹21.26 Cr
P/E (TTM)
21.9×Sector 52.1×
Promoter holding
50.36%+0.00% QoQ
FII holding
7.50%Current quarter

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

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