Tube Investments of India Ltd. Reports Strong Q3 FY25 Performance with Revenue Growth and Interim Dividend

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Chennai, February 3, 2025 – Tube Investments of India Limited (NSE: TIINDIA, BSE: 540762) has announced its financial results for the third quarter (Q3 FY25) ended December 31, 2024, showcasing steady growth in revenue and profitability. The company’s board has also declared an interim dividend of ₹2 per share for FY25.

Key Financial Highlights (Standalone)

(₹ in Crores)
MetricQ3 FY25Q3 FY24YoY Change
Revenue1,9101,898+0.6%
Profit Before Tax (PBT)212210+0.95%
Return on Invested Capital (ROIC)43%54%-
Free Cash Flow70--
  • Revenue increased marginally to ₹1,910 Cr from ₹1,898 Cr in the previous year’s quarter.
  • Profit before tax (PBT) stood at ₹212 Cr, showing a slight increase from ₹210 Cr.
  • ROIC was reported at 43%, lower than the 54% recorded in Q3 FY24.
  • Free cash flow for the quarter stood at ₹70 Cr.

Segment-Wise Performance (Standalone)

(₹ in Crores)
SegmentRevenue (Q3 FY25)Revenue (Q3 FY24)Profit Before Tax (PBT) Q3 FY25PBT Q3 FY24
Engineering1,2121,229156153
Metal Formed Products4003924047
Mobility142147(0.82)(8)
Others2522191114
  • Engineering revenue slightly declined to ₹1,212 Cr, while PBT increased to ₹156 Cr.
  • Metal Formed Products grew marginally to ₹400 Cr, but profitability fell from ₹47 Cr to ₹40 Cr.
  • Mobility segment narrowed its loss to ₹0.82 Cr, an improvement from ₹8 Cr in Q3 FY24.
  • Others saw notable revenue growth to ₹252 Cr, though PBT fell to ₹11 Cr.

Key Financial Highlights (Consolidated)

(₹ in Crores)
MetricQ3 FY25Q3 FY24YoY Change
Revenue4,8124,197+14.7%
Profit Before Tax (PBT)427395+8.1%
  • Consolidated revenue surged 14.7% YoY to ₹4,812 Cr, led by growth across businesses.
  • Consolidated PBT grew 8.1% to ₹427 Cr.

Subsidiary Performance

CG Power & Industrial Solutions Ltd.

  • Revenue: ₹2,516 Cr (vs. ₹1,979 Cr YoY)
  • Profit Before Tax (PBT): ₹335 Cr (vs. ₹264 Cr YoY)

Shanthi Gears Ltd.

  • Revenue: ₹158 Cr (vs. ₹126 Cr YoY)
  • Profit Before Tax (PBT): ₹35 Cr (vs. ₹24 Cr YoY).

Corporate Announcements

Interim Dividend Declaration

  • Declared ₹2 per share for FY25.
  • Record Date: February 7, 2025
  • Payment Date: On or before February 28, 2025.

Capital Investment in Fine Blanking Business

  • ₹170 Cr investment in a greenfield facility in Western India and expansion in Southern India.
  • Funding Source: Internal accruals.
  • Completion Timeline: FY26.

Acquisitions and Investments

  • Acquired 67% stake in Kcaltech System India Pvt Ltd for ₹62 Cr (deal closed on January 31, 2025).
  • Invested ₹50 Cr in Series A Preference Shares of 3xper Innoventure Ltd.
  • Invested ₹18 Cr in TI Medical Pvt Ltd along with other investors.

Management Commentary

Mukesh Ahuja, Managing Director, Tube Investments of India, stated:
"Our diversified business segments have contributed to steady growth despite market challenges. We continue to focus on expanding our fine blanking capabilities and strategic acquisitions, reinforcing our leadership in key sectors."

Outlook

  • Expansion: Ongoing investment in fine blanking and semiconductor businesses.
  • Growth Drivers: Strong subsidiary performance (CG Power & Shanthi Gears) and mobility segment improvements.
  • Challenges: Lower ROIC and cost pressures in select segments.

Conclusion

Tube Investments of India Ltd. delivered stable financial results in Q3 FY25, supported by robust subsidiary performance and strategic acquisitions. While revenue and PBT showed moderate growth, the company’s ₹170 Cr capex plan and acquisitions signal strong long-term ambitions.
 
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