Shankara Building Products Limited — PPTs, 03-02-2025: Investor Presentation

**Financial Highlights:** Shankara Building Products reported a 22% year-over-year growth in Q3 revenue, reaching ₹1,437 Crore, and an 18% growth for the first nine months of FY25. The consolidated EBITDA margin for Q3 stood at 2.84%, slightly below the YoY margin. Steel sales continued to lead, with a record 2.15 Lakh tonnes in Q3 and ₹1,284 Crore in sales, emphasizing a robust volume performance, particularly in the non-steel segment.

**Strategic Initiatives and Growth Drivers:** The company aims for a steel volume of 0.8 million tonnes in FY25, focusing on enhancing its marketplace offerings in non-steel products such as plumbing and electricals. Shankara is transitioning existing stores to hybrid formats to capture broader market share.

**Business Developments:** Shankara is expanding its footprint in southern India and beyond, with key launches including Quartz sinks under the Fotia brand. Additionally, a scheduled shareholders meeting will address the upcoming demerger, separating the retail and manufacturing segments.

**Market Position and Competitive Advantage:** Shankara maintains strong partnerships across various sectors, bolstered by an extensive distribution network catering to both retail and non-retail segments, particularly in growing markets like West and Central India.

**Investor Implications:** The solid revenue growth, strategic emphasis on non-steel categories, and operational efficiency initiatives suggest a positive outlook for potential investors, underpinned by the expected benefits from the upcoming demerger.