• Quarterly Sales Volume: 68,741 tonnes.

• Annual Sales Volume: 255,000 tonnes.

• Quarterly Revenue: INR 1,141 crore.

• Annual Revenue: INR 4,200 crore.

• Quarterly EBITDA: INR 399.52 crore.

• Annual EBITDA: INR 1,492 crore.

• Quarterly Profit Before Tax (PBT): INR 363 crore.

• Quarterly Profit After Tax (PAT): INR 285 crore.

• Annual Profit After Tax (PAT): INR 1,060 crore.

• Other Income for the Quarter: INR 92 crore.

• Current Production Capacity: 460,000 tonnes.

• Planned Capacity Expansion: 50,000 tonnes each in China and Ghana.

• CapEx for Maintenance and Projects: INR 120-130 crore.

• Antidumping Duty in the US: 9.6% including CVD.

• Brazil Antidumping Duty: Terminated.

• Warning! GuruFocus has detected 2 Warning Sign with BOM:532683.

Release Date: May 23, 2025

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points

• AIA Engineering Ltd (BOM:532683) achieved a sales volume of 255,000 tonnes for the fiscal year, slightly exceeding their target.

• Despite a 14% decline in top-line revenue, the company managed to limit profit degrowth to 6.5%, indicating robust margin maintenance.

• The company reported an EBITDA margin of approximately 34-35%, with core operations maintaining a margin of around 28% after excluding other income.

• Strategic expansion plans include new plants in China and Ghana, aimed at reducing shipping times and costs, enhancing supply chain efficiency.

• The company successfully terminated an antidumping duty in Brazil, reflecting positively on their pricing practices and competitive positioning.

Negative Points

• The US market faces challenges due to a 9.6% antidumping duty, which could impact future sales despite current stability.

• There is uncertainty in providing volume growth guidance for FY26 due to global volatility and market conditions.

• The company experienced a 14% decline in top-line revenue compared to the previous year.

• AIA Engineering Ltd lost some volume to competitors, including a significant customer, partly due to duty structure uncertainties.

• The company is cautious about the strategic investments in China and Ghana, acknowledging potential geopolitical risks and market acceptance challenges.

Q & A Highlights

Q: Can you provide details on the US antidumping duty and its impact on sales? A: The US antidumping duty is 9.16%, including CVD. Despite this, our business continues as customers are paying the extra duty. The US market accounts for less than 8-10% of our total volume, so the impact is not material. We are monitoring the situation and expect more clarity in the next two quarters. - Kunal Shah, Executive Director - Finance