Avalon Technologies Limited — PPTs, 05-02-2025: Investor Presentation

**Financial Highlights:**

For Q3 FY25, Avalon Technologies reported a revenue of ₹281 Cr, reflecting a significant 31.1% year-on-year growth. Gross margin improved to 37.3%, up 48 basis points (bps) from the previous year. EBITDA soared by 109.5% to ₹35 Cr, with an EBITDA margin of 12.3%, indicating a rise of 462 bps YoY. Profit After Tax (PAT) also saw remarkable growth, climbing 264.9% to ₹24 Cr, with a PAT margin of 8.2%, up 521 bps YoY.

**Strategic Initiatives and Growth Drivers:**

Avalon's order book reached ₹1,594 Cr, up 25% YoY, driven by strong demand in the industrial, automotive, and aerospace sectors. The company's strategic plans include expansion within the US and India, leveraging a hybrid manufacturing model to enhance operational efficiency.

**Business Developments:**

Recent operational updates highlighted the initiation of a new export-focused plant, signaling a commitment to growing international markets while advancing plans for further capacity enhancements within domestic operations.

**Market Position and Competitive Advantage:**

Avalon holds a robust position in the EMS sector with a diversified customer base. Its unique manufacturing footprint, including facilities in the US and India, positions it well within the evolving landscape driven by the "China+1" strategy and increasing global demand for electronic manufacturing services.

**Investor Implications:**

With strong financial results and strategic growth initiatives, Avalon presents a positive outlook for investors. The company's focus on high-growth sectors like clean energy and automotive enhances its potential for sustainable growth, making it a stock to watch closely.