Century Enka Ltd (BOM:500280)
₹ 749.95 37.15 (5.21%) Market Cap: 16.39 Bil Enterprise Value: 14.15 Bil PE Ratio: 30.61 PB Ratio: 1.20 GF Score: 75/100

Q1 2025 Century Enka Ltd Earnings Call Transcript

Aug 07, 2024 / 10:30AM GMT
Release Date Price: ₹704.65 (+6.03%)

Key Points

Positve
  • Operating revenue grew by almost 23% year-on-year to INR528 crores.
  • EBITDA for the quarter increased by around 91% year-on-year to INR41 crores.
  • Profit after tax rose by 77% year-on-year to INR24 crores.
  • Demand for tyre cord fabric is experiencing an uptick, driven by increased demand in the two-wheeler segments and growth in tyre exports.
  • Efforts focused on cost optimization have led to improved margins.
Negative
  • Margins are expected to remain under pressure due to lower prices in the Chinese market.
  • Increased raw material costs arising from supply chain issues were passed on to customers.
  • Power and fuel costs, although reduced, still pose a challenge due to seasonality impacts.
  • Geopolitical risks and international freight costs remain uncontrollable factors that could affect future performance.
  • The company does not provide forward-looking statements, making it difficult to predict future performance.
Operator

Ladies and gentlemen, good day, and welcome to the Century Enka Limited's Q1 FY24 (sic â FY25) earnings conference call hosted by PhillipCapital India Private Limited. (Operator Instructions)

Please note that this conference is recorded. This conference call may contain forward-looking statements about the company, which are based on the beliefs, opinions and expectations of the company as on the date of this call. These statements are not the guarantees of future performance and involve risks and uncertainties that are difficult to predict.

I now hand the conference over to Mr. Vikram Suryavanshi from PhillipCapital India. Thank you, and over to you, sir.

Vikram Suryavanshi
PhillipCapital - Analyst

Thank you, Rahul. Good evening, and very warm welcome to everyone. Thank you for being on the call of Century Enka Limited. We're happy to have the management with us here today for question-and-answer session with the investment community. Management is represented by Mr. Suresh Sodani, Managing Director; and Mr. Krishnagopal Ladsaria, Chief

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