Carraro India posts 40% rise in Q4FY25 profit

Mumbai, May 27 (PTI) Auto ancillary firm Carraro India Limited on Tuesday reported a 40 per cent growth in profit after tax to Rs 23.7 crore in the March quarter over the year-ago period.

The company had posted a PAT of Rs 18.2 crore in the fourth quarter of FY24, it said.

Total income rose by 13 per cent to Rs 447.9 crore in the quarter from Rs 396.3 crore in Q4FY24.

For FY25, Carraro India said its profit stood at Rs 88.1 crore as against Rs 62.6 crore in FY24, a growth of 41 per cent. The domestic segment is poised to sustain its growth trajectory, driven by accelerated 4WD adoption, the company said.

“We concluded FY25 on a positive note, having met our topline and EBITDA guidance. While total income remained flat year-over-year, EBITDA grew by 24 per cent YoY, primarily driven by an improved product mix, increased localization, and effective cost control measures,” said Balaji Gopalan, Managing Director, Carraro India Limited.

On the EBITDA margin front, the company exceeded its guidance of plus 10 per cent, with a year-over-year expansion of 192 basis points, reaching 10.2 per cent by end of FY25, he said.

"As expected, our domestic business (excluding indirect exports) continues to show strength, recording a noteworthy double digit YoY revenue increase, driven by sustained demand for locally sold products and increasing 4WD technology adoption." "Overall revenue growth was achieved in spite of weak export markets. We expect continued growth in the domestic market, excluding the indirect exports segment. We also foresee growth in our export segment, driven by new business acquisition, despite the persistent uncertainty at global level,” Gopalan said.

Supported by encouraging signs in the domestic market—such as stronger-than-expected adoption of 4WD vehicles/tractor—we are confident in achieving our FY26 revenue growth target, he said.

On the export front, Gopalan said, the market outlook remains uncertain for now, though the company anticipates recovery to start in the second half of the year.

"Nevertheless, growth will be accelerated and achieved by the offtake of the newly acquired tele-boom handler business. Within the above scenario, we expect our topline to grow in the range of approximately 8-12 per cent,” he stated. PTI IAS MR MR