- 12 Nov 2024
- ICICI Securities
SANSERA ENGINEERING REPORTED A STABLE PERFORMANCE IN Q2FY25
News: Total revenues on the consolidated basis for the quarter stood at ₹ 763 crore (up 10% YoY) with EBITDA at ₹133 crore and corresponding EBITDA margins at 17.4% (up 30 bps QoQ). PAT in Q2FY25 came in at ₹51.6 crore (up ~9% YoY). As per company’s press release its domestic revenues grew 8% on YoY basis while its international revenues stagged a growth of 15% YoY.
Views: EBITDA performance was largely stable with Auto ICE grew by 9% YoY and Auto tech-agnostic & xEV segment was up by 53% YoY. However, Non-Auto segment declined by 20% YoY due to subdued performance from off-road and agriculture segment. Even the large aerospace customer also faced some headwinds, which is expected to recover gradually. Over the long-term investment horizon, however, we like the company primarily amidst its intent to grow ahead of industry, sizeable play in exports, growing order book and diversification efforts with encouraging growth runway in the sunrise sectors of aerospace and defence.
Impact: Neutral