- 12 May 2025
- ICICIdirect Research
GRINDWELL REPORTED MUTED Q4FY25 RESULTS
GRINDWELL - 1747 Change: -34.50 (-1.94 %)News: Grindwell reported muted Q4FY25 results. Consolidated revenues came in at Rs 709.5 crore, up 2.7% YoY and 1% QoQ. From a segmental perspective, Abrasives segment ( 51% revenue share) reported revenues of Rs 360 crore up 5.5% QoQ but declined 1.7% YoY. The only silver lining was 5.8% YoY growth ceramics division at Rs 292. Reported EBIDTA came in at 17.9% flat YoY and QoQ . In terms of segmental margins ceramics margins saw an improvement of 100 bps YoY and 150 bps QoQ whereas Ebit margins of abrasives segment came in at 13.4% down by 100 bps YoY. Consolidated PAT came in at Rs 92 crore flat YoY.
View: Even though Grindwell reported muted quarter and FY25, we believe with pick up in capex cycle, reduce competitive intensity and commissioning of new capex cycle will resurrect growth cycle for the company. Till then we believe stock will be in a range given the same has witnessed strong price correction over the last 3 quarters.
Impact: Neutral