Sona BLW Precision Forgings Limited
3,463words
11turns
0analyst exchanges
0executives
Key numbers — 40 extracted
rs,
12%
3%
14%
27.0%
17.4%
48%
39%
₹43 million
17%
13%
19%
Guidance — 7 items
Notes
opening
“PAT includes an impact of ₹43 million in exceptional expenses related to potential acquisition opportunities PAT margin percentage calculated from PAT including non-controlling interest 5 9M FY25 Financial Performance Highlights 26,861 mn | 17% 7,403 mn | 13% 4,371 mn | 19% Revenue | YoY Growth EBITDA | YoY Growth PAT1 | YoY Growth 27.6% EBITDA Margin 16.2% PAT Margin2 CY23 CY24 CY23 CY24 8.1% 8.8% Global Market Share of Differential Gears3 4.2% 4.4% Global Market Share of Starter Motors4”
Notes
opening
“Revenue includes net gain from foreign exchange PAT margin percentage calculated from PAT including non-controlling interest 21 9M FY25 Financials 1 Revenue (Rs.”
Note
opening
“EBITDA margin 25.0% Revenue CAGR 10.6% Industry CAGR 1.7% FY99– FY11 Avg.”
Note
opening
“EBITDA margin 21.5% Revenue CAGR 50.6% Industry CAGR 16.1% 35,815 9MFY25 Annualized 31,866 26,756 26,861 9MFY25 FY17– 9MFY25 annualized Avg.”
Note
opening
“EBITDA margin 27.4% Revenue CAGR 28.9% Industry CAGR 4.3% 21,306 15,663 12,201 6,992 6,088 5,033 16 9 9 Y F 120 223 183 221 0 0 Y F 1 0 Y F 2 0 Y F 3 0 Y F 399 4 0 Y F 697 910 1,135 1,348 1,174 1,492 2,207 2,807 2,616 3,309 3,456 3,653 5 0 Y F 6 0 Y F 7 0 Y F 8 0 Y F 9 0 Y F 0 1 Y F 1 1 Y F 2 1 Y F 3 1 Y F 4 1 Y F 5 1 Y F 6 1 Y F 7 1 Y F 8 1 Y F 9 1 Y F 0 2 Y F 1 2 Y F 2 2 Y F 3 2 Y F 4 2 Y F”
Notes
opening
“27 Guided by Values Agility 35.4% Growth 5-year Revenue CAGR Vitality Integrity Frugality 27.1% Margins 5-year Avg.”
Notes
opening
“mn) 18x 53x 25% 26% 29% 36% 6,707 5,042 14% 2.0% 2,057 234 12,388 9MFY25 Annualized 8,859 9,291 9MFY25 FY20 FY21 FY22 FY23 FY24 9M FY25 FY20 FY21 FY22 FY23 FY24 FY25 30 57 EV programs across 321 different customers No.”
Risks & concerns — 2 flagged
PAT includes an impact of ₹43 million in exceptional expenses related to potential acquisition opportunities PAT margin percentage calculated from PAT including non-controlling interest 5 9M FY25 Financial Performance Highlights 26,861 mn | 17% 7,403 mn | 13% 4,371 mn | 19% Revenue | YoY Growth EBITDA | YoY Growth PAT1 | YoY Growth 27.6% EBITDA Margin 16.2% PAT Margin2 CY23 CY24 CY23 CY24 8.1% 8.8% Global Market Share of Differential Gears3 4.2% 4.4% Global Market Share of Starter Motors4
— Notes
Net order book means the aggregate revenue from awarded programs which are either yet to start production or are yet to fully ramp up, in the next 10 years, after adjusting for the negative impact of all programs that are expected to reach end of life or be phased out.
— Notes
Speaking time
10
1
Opening remarks
Notes
1. 2. PAT includes an impact of ₹43 million in exceptional expenses related to potential acquisition opportunities PAT margin percentage calculated from PAT including non-controlling interest 5 9M FY25 Financial Performance Highlights 26,861 mn | 17% 7,403 mn | 13% 4,371 mn | 19% Revenue | YoY Growth EBITDA | YoY Growth PAT1 | YoY Growth 27.6% EBITDA Margin 16.2% PAT Margin2 CY23 CY24 CY23 CY24 8.1% 8.8% Global Market Share of Differential Gears3 4.2% 4.4% Global Market Share of Starter Motors4
Notes
1. 2. 3. 4. PAT includes an impact of ₹126 million in exceptional expenses related to potential acquisition opportunities PAT margin percentage calculated from PAT including non-controlling interest As per CRISIL’s market size estimates for CY23 & CY24 Across light vehicles; as per CRISIL’s market size estimates for CY23 & CY24 6 Update on our Strategic Priorities Tool and Die Shop in our Gurgaon Plant Update on our Strategic Priorities Electrification Global Market Significance Diversification Technology 8 Sizeable and Increasing Presence in EVs 36% 9,291 mn 52% 9M FY25 Product Revenue 9M FY25 BEV segment 9M FY25 BEV revenue Share from BEV revenue YoY growth 56 (13+14+29)1 EV Programs1 awarded across 32 customers as at the end of Q2 FY25 +1 57 (15+14+28)1 EV Programs1 awarded across 32 customers as at the end of Q3 FY25
Notes
1. Include only BEV and PHEV programs currently in serial production as well as in the orderbook; numbers in brackets to be read as (# of programs in fully ramped up production + # of programs in ramp-up + # of programs not yet in production) 9 We have won another program for differential assembly for electric passenger vehicles for the Indian market Differential Assembly For Electric Passenger Vehicles Existing Customer Indian OEM of PVs, CVs, OHVs, and EVs ₹ 3,000 mn addition in our orderbook Q2 FY27 Start of Production 10 Our Strategic Priorities Electrification Global Market Significance Diversification Technology 11 Our net order book1 stands at ₹232 billion (7.3x FY24 revenue) 231 bn Orderbook at the end of Q2 FY25 6 bn Orders consumed from matured and ramp-up programs during Q3 FY25 7 bn Orders added for programs won in Q3 FY25 232 bn Orderbook at the end of Q3 FY25 EV Rs. 176 Billion (76%) Non-EV Rs. 56 Billion (24%) # of Programs # of Customers 56% 20 10 PV 10% 13 11 10% 9 9 8
Notes
1. Net order book means the aggregate revenue from awarded programs which are either yet to start production or are yet to fully ramp up, in the next 10 years, after adjusting for the negative impact of all programs that are expected to reach end of life or be phased out. We have also applied a discount to accommodate any unforeseen delays or changes in program launches that may happen in the future. 12 Our Strategic Priorities Electrification Global Market Significance Diversification Technology 13 Diversified Product Revenue Mix – By Powertrain Battery EV increasing as 36% of our revenue continues to be our dominant and secular theme Our pure ICE dependence continues to reduce steadily going from 18% in FY22 to 9% in 9M FY25 FY22 FY23 FY24 9M FY25 25% 26% 31% 18% 26% 21% 38% 15% 29% 24% 37% 10% 36% 20% 35% 9% Battery EV Micro-hybrid / Hybrid Power source Neutral ICE Dependent 14 Diversified Revenue Mix By Geography 5% 1% 26% 40% By Product 5% 1% 1% 3% 10% 24% FY24 FY24 28% 6% 0.4% 23
Notes
1. 2. Revenue includes net gain from foreign exchange PAT margin percentage calculated from PAT including non-controlling interest 21 9M FY25 Financials 1 Revenue (Rs. mn) EBITDA (Rs. mn) EBITDA Margin (%) PAT (Rs. mn) 2 PAT Margin (%) BEV YoY: 17% 22,995 26,861 YoY: 13% YoY: 15% 6,540 7,403 6,606 7,630 YoY: 19% 3,686 4,371 YoY: 23% 4,666 3,801 6,133 9,291 9M FY24 9M FY25 o BEV Revenue grew by 52% and constitutes 36% of total revenue o Total Revenue grew by 17% while light vehicle sales in our top-3 markets (North America, India, and Europe) grew by 2% 28.4% 27.6% 28.7% 28.4% 16.1% 16.2% 16.6% 17.3% 9M FY24 9M FY25 9M FY24 (adj) 9M FY25 (adj) 9M FY24 9M FY25 9M FY24 (adj) 9M FY25 (adj) o Lower input cost and operating leverage had a positive impact on the EBITDA margin whereas change in product mix has pulled it down with a net margin impact of ~0.3% o Adjustment to EBITDA for 9MFY25 is on account of ESOP cost ₹226 mn (₹67 mn in 9MFY24) o Adjusted PAT margin is higher by 0.7% mainly du
Notes
1. 2. Revenue includes net gain from foreign exchange PAT margin percentage calculated from PAT including non-controlling interest 22 Key Ratios VA/Employee cost 6.4 6.2 5.7 5.8 5.2 RoCE (%) RoE (%) 36.1% 32.4% 30.4% 31.0% 34.6% 36.3% 26.6% 28.5% 19.7% 17.6% Mar-21 Mar-22 Mar-23 Mar-24 Dec-24 Mar-21 Mar-22 Mar-23 Mar-24 Dec-24 Mar-21 Mar-22 Mar-23 Mar-24 Dec-24 Net Debt to EBITDA 0.76 (0.01) (0.12) (0.08) Working Capital Turnover Fixed Asset Turnover 3.9 3.9 4.2 4.6 5.1 5.0 4.7 3.9 3.6 3.8 (2.66) Mar-21 Mar-22 Mar-23 Mar-24 Dec-24 Mar-21 Mar-22 Mar-23 Mar-24 Dec-24 Mar-21 Mar-22 Mar-23 Mar-24 Dec-24