Pricol Ltd (NSE:PRICOLLTD)
₹ 586.7 -2.6 (-0.44%) Market Cap: 71.51 Bil Enterprise Value: 74.03 Bil PE Ratio: 28.52 PB Ratio: 5.69 GF Score: 85/100

Q2 2025 Pricol Ltd Earnings Call Transcript

Nov 07, 2024 / 10:30AM GMT
Release Date Price: ₹477.15 (+0.16%)

Key Points

Positve
  • Pricol Ltd (BOM:540293) reported a revenue growth of 15.54% year-over-year for Q2 FY25, outperforming the market.
  • The company achieved an EBITDA growth of 24.7% for the same period, indicating strong operational performance.
  • Pricol Ltd (BOM:540293) has maintained a healthy EBITDA margin of 13.4% for Q2 FY25.
  • The company is debt-free at a consolidated level, with comfortable cash reserves as of September 30, 2024.
  • Pricol Ltd (BOM:540293) is exploring inorganic opportunities in the railway and defense segments, which could provide higher margins and growth impetus.
Negative
  • The company's working capital trade receivables have increased, attributed to higher sales and reduced factoring.
  • Exports have been significantly muted, particularly due to geopolitical factors, impacting the company's revenue mix.
  • The domestic automotive industry demand remains muted, with Q3 expected to be a weak quarter.
  • There has been a softening in gross margins due to product mix changes and wage increases.
  • The proportion of exports in revenue decreased from 9% last year to 6.5% this year, affecting overall margins.
Operator

Good day and welcome to the Q2 and H1 FY25 conference call of Pricol Limited.

As a reminder, all participant lines will be in the listen-only mode and there will be an opportunity for you to ask questions after the presentation concludes.

Should you need assistance during this conference call? Please signal an operator by pressing star then zero on your touchtone phone.

Please note that this conference is being recorded at this time. I would like to hand over the conference to Mrs. Purvangi Jain from Valorem Advisors. Thank you and over to you.

Purvangi Jain
Valorem Advisors - Investor Relations

Good evening, everyone and a warm welcome to you all. My name is Purvangi Jain from Valorem Advisors. We represent the Investor Relations of Pricol Limited on behalf of the company, I would like to thank you all for participating in the company joining school for the second quarter and the first half of the financial year 2025.

Before we begin, let me mention a short cautionary statement. Some of the statements made in today's

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