LUMAXINDNSEQ4 & FY 2024-25May 29, 2025

Lumax Industries Limited

5,619words

72turns

7analyst exchanges

6executives

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Management on call

Deepak Jain

CHAIRMAN AND MANAGING

Anmol Jain

JOINT MANAGING DIRECTOR – LUMAX INDUSTRIES LIMITED

Raju Ketkale

CHIEF EXECUTIVE OFFICER – LUMAX INDUSTRIES LIMITED

Sanjay Mehta

GROUP CHIEF FINANCIAL

Ravi Teltia

CHIEF FINANCIAL OFFICER – LUMAX INDUSTRIES LIMITED

Naval Khanna

CORPORATE HEAD, TAXATION

Key numbers — 40 extracted

7.3%

e in the previous year, the industry delivered a healthy performance. Domestic auto sales grew by 7.3%, while exports rose by an impressive 19%, driven by a continued policy support and strong shift

19%

ered a healthy performance. Domestic auto sales grew by 7.3%, while exports rose by an impressive 19%, driven by a continued policy support and strong shift towards green mobility. The segment-wise

4.3 million

s follows: the Passenger Vehicle segment in the domestic PV sales reached an all-time high of the 4.3 million units. Growth was led by utility vehicles, which contributed to 65% of the total PV sales. It was

65%

all-time high of the 4.3 million units. Growth was led by utility vehicles, which contributed to 65% of the total PV sales. It was also supported by feature-rich models and launches, which were targ

rs,

ted by feature-rich models and launches, which were targeting younger consumers. In the 2-wheelers, the sales reached 19.6 million units, driven by rural demand and a strong second half performance.

19.6 million

dels and launches, which were targeting younger consumers. In the 2-wheelers, the sales reached 19.6 million units, driven by rural demand and a strong second half performance. Electric 2-wheelers gained tr

and and a strong second half performance. Electric 2-wheelers gained traction and now account for 6% of the total segment sales. Export growth of 21% was supported by demand recovery in African and

21%

ic 2-wheelers gained traction and now account for 6% of the total segment sales. Export growth of 21% was supported by demand recovery in African and Latin American markets. In 3-wheelers, the segm

INR923 crore

ustries reported its highest ever revenue in both Q4 and FY '25. In the Q4 FY '25, the revenue of INR923 crores was with growth of 24% year-on-year. For the financial year '25, revenue of INR3,400 crores was

24%

revenue in both Q4 and FY '25. In the Q4 FY '25, the revenue of INR923 crores was with growth of 24% year-on-year. For the financial year '25, revenue of INR3,400 crores was a year-on-year growth of

INR3,400 crore

enue of INR923 crores was with growth of 24% year-on-year. For the financial year '25, revenue of INR3,400 crores was a year-on-year growth of 29%. This performance reflects our continued outperformance relativ

29%

year-on-year. For the financial year '25, revenue of INR3,400 crores was a year-on-year growth of 29%. This performance reflects our continued outperformance relative to the broader industry and is

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Guidance — 20 items

Deepak Jain

opening

“The key growth drivers are the higher LED content across new product launches, expanding partnerships with OEMs and some new project wins for marquee passenger and two-wheeler models.”

Ravi Teltia

opening

“Further, 88% of our current order book is dedicated to LED lighting, underscoring our confidence in expanding this segment and capturing a larger market share going forward.”

Ravi Teltia

“In terms of the second question you had about tooling, so this year was one of the highest tooling top line we generated, so next year, we will see somewhere around range of INR240 crores to INR260-odd crores from tooling business.”

Saurabh Jain

“And for FY '27, do you have any revenue guidance?”

Anmol Jain

“I think the long-term plan is to consistently grow at a 15% CAGR over the next few years.”

Anmol Jain

“I think going forward in FY '26, we continue a similar between a 20% to 25% growth rate forecast for FY '26.”

Anmol Jain

“From the order book, we will be also gaining a lot of our wallet share, specifically on the taillamp business of Maruti Suzuki.”

Anmol Jain

“On the headlamp, the company already enjoys a very strong wallet share at Maruti Suzuki, which will be maintained, but we've been able to get a lot of the taillamp future businesses and thereby improving our wallet share from our competition.”

Anmol Jain

“The guidance for FY '26 would be continuing in a similar time of approximately between INR180 crores to INR220 crores.”

Anmol Jain

“We do not have any specific capex guidance for FY '27, but considering the massive growth, which we are building in FY '26, we do believe that the asset turnover ratios also should improve compared to FY '25 in FY '27.”

Risks & concerns — 5 flagged

And how do you see, that is also the reason for some pressure on the margins?

— Saurabh Jain

Number two, I think, yes, there is a bit of a pressure on the margins because of higher LED concentration, specifically on the raw material consumption because the material margin on an LED lamp is lower, but then there are several other factors, as Ravi pointed out, where we do expect margins to become better going forward in FY '26.

— Anmol Jain

It's very difficult to give you the market share based on LED and non-LED.

— Anmol Jain

So, Apurva ji, the capacity, again, would be a very a difficult combination of various factors.

— Anmol Jain

The company, as Lumax Industries, we have no concern directly, but are still concerns come in as on Q1 as however it plays out if certain suppliers stopped that production.

— Deepak Jain

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Q&A — 7 exchanges

So, I wanted to have a particular question on HMSI side. So, if I look at sequential revenue that we've got from HMSI, there is a significant jump. So, could you explain what kind of has led to this jump? Is it due to mainly volumes or mainly change in some realization due to move from conventional to LED? So, I just wanted to understand the sequential jump in HMSI revenues.

Ravi Teltia

So basically, we have won the new models from Honda Motor 2-wheeler, that is a model called K0NH and K1KG. So, these 2 models have contributed, which are being manufactured at our Bangalore plant. So that's why we see that this value increase there in Honda 2-wheeler compared to last year. So specifically, just to add, this is Anmol Jain. So, if you look at the quarter performance of HMSI, they grew sequentially 5% and, on a year, -on-year basis for the quarter 3% compared to our growth of almost 55%. That is largely because of improved wallet share as, there has been introduction of new model

Congratulations, sir, for a wonderful set of numbers. I have a couple of questions. So first to begin with the bookkeeping. So, if you keep the tooling business aside, what would be our EBITDA margins for the quarter and full year? And how much tooling revenue are we projecting for FY '26 and '27?

Ravi Teltia

So, if we see our manufacturing EBITDA for the quarter 4 is at 9.8% and on a full year basis, we are at 8.7%. In terms of the second question you had about tooling, so this year was one of the highest tooling top line we generated, so next year, we will see somewhere around range of INR240 crores to INR260-odd crores from tooling business. Okay. So, 9.8% and 8.7% is without tooling business, right? Yes. Correct. Okay. And sir, which are the facilities which are still about to ramp-up this year, which can see significant ramp-up this year? And what kind of growth are we looking at for FY '26 an

Sir, I have 2 questions. You are mentioning in the opening remarks that they are growing faster than the industry. So, could you give us some color whether this is market share that we're taking from other players or is it the industry itself, which is growing?

Anmol Jain

So clearly, I think it's the combination of both. But if I, again, look at the growth of the company compared to the customer growth, clearly, you will see certain OEMs, it is actually the wallet share, which is improving significantly in terms of FY '25. Again, if I look at the growth specifically on Maruti Suzuki, I would say that has been fairly in line with the customer's own growth. But as I mentioned earlier, in FY '26, we see that radically changing where we expect a significant growth perhaps of even close to 35% or upwards in Maruti Suzuki, whereas their growth is likely to be perhaps

Sir, firstly, , on the front lighting and the rear lighting, could you just explain as to how the pricing works and what is the delta between these 2 in terms of the pricing realization?

Deepak Jain

See, front lighting and rear lighting pricing, I think it's a very different basically business both together. I think what you can probably look at it is basically in a headlamp, you're actually at round about in the 4-wheeler space, you are probably around in a range of the LED of about INR8,000 to INR12,000 and on taillamp, it's about close to INR3,000. However, I must qualify the statement, because the new taillamps, what you are becoming, they're actually becoming much more longer, much more sleeker. The front headlamps mostly driven by the EV adoption has got projector lamps LEDs. So, th

Yes, sir, congratulations on great numbers, especially on the top line. Sir, can you just guide us what kind of margin improvement can we see and what are the levers for that?

Deepak Jain

Thank you, Apurva bhai. I think we have been saying that we would like to at least achieve a double digit. However, let's be realistic because of more LED adoption, hyper competitive market situation and of course, certain basically headwinds in the industry, I think we remain to be cautiously optimistic. On the margin outlook, I think we have performed better on the Q4. We expect this run rate to continue in basically the next fiscal year. So, you can probably see this. And of course, with basically more product launches and again, a healthy kind of outlook in terms of the revenue. We expect

I just wanted to understand what would your import content currently in case of LED light? And is there any scope for indigenization or localization?

Ravi Teltia

So basically, as we explained in our last communication also, so LED typically has 4 items. One is the LED module which is primarily being imported and will continue to be imported in the coming years also. The second is a Bare PCB, wherein I mentioned some PCBs that we have already localized, and the remaining ones will get localized in the due course of time. The third thing is related to SMT, which is in India also and for us, we already have our SMT plant, so it's more of a localized. And the last thing is related to connector. So, connectors are primarily now being imported. But in coming

Thank you. I take this opportunity to thank everyone for joining into this call. We will keep the investor community posted on a regular basis for updates on the company. I hope you've been able to address all your queries. And for any other further information, please do get in touch with us or our Investor Relation Adviser, which is Strategic Growth Advisers. Thank you once again for your patience and your continued support to the company.

Management

Speaking time

Anmol Jain

Saurabh Jain

Ravi Teltia

Moderator

Deepak Jain

Apurva Mehta

Akshat Hariya

Mihir Vyas

Ravi Shah

Rohan Mehta

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Opening remarks

Deepak Jain

Thank you very much. Good afternoon, everyone. I hope you and your families are doing well. I'm joined today by Mr. Anmol Jain, the Joint Managing Director of the company; Mr. Raju Ketkale, the CEO; Mr. Sanjay Mehta, Lumax Group CFO; Mr. Ravi Teltia, the CFO of the company; and Mr. Naval Khanna, Corporate Head, Taxation. Our Q4 and FY '25 earnings presentation has also been uploaded to the stock exchange and the company website. I trust you've had a chance to review it. Let me begin by highlighting the key developments in the automotive industry for the fiscal year 24-25, which provides important context for our own performance. Despite a high base in the previous year, the industry delivered a healthy performance. Domestic auto sales grew by 7.3%, while exports rose by an impressive 19%, driven by a continued policy support and strong shift towards green mobility. The segment-wise highlights are as follows: the Passenger Vehicle segment in the domestic PV sales reached an all-time hig

Ravi Teltia

Thank you, sir. Good afternoon, everyone. I'll take you through the operational and financial performance. On the financial front, as highlighted by our CMD, we have demonstrated all-time high revenue of INR923 crores in quarter 4 and INR3,400 crores in financial year '24- 25 with Y-o-Y growth of 24% in quarter 4 and 29% in full year '24- 25. On EBITDA front, our EBITDA stood at INR85 crores and INR289 crores for Q4 and FY '25, respectively, growing by 20%. We witnessed a margin of 9.2% for the quarter marking the highest quarterly margin performance of the fiscal year. The improvement reflects our disciplined cost management, enhanced operational efficiency and consumer premium product offering. Turning on to our bottom line, consolidated profit after tax for Q4 FY '25 stood at INR44 crores, up from INR36 crores in Q4 FY '24, reflecting a growth of 22%. PAT margin for Q4 FY '25 stood at 4.8%. For the full year FY '25, consolidated PAT reached INR140 crores representing a robust 26% ye

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