Talbros Automotive Components Limited — PPTs, 26-05-2025: Investor Presentation

1. Financial Highlights:

Talbros Automotive reported consolidated revenue of Rs. 844.7 Cr, growing 7% YoY, with Q4 revenue up 2% to Rs. 210.9 Cr. EBITDA rose 16% to Rs. 147.3 Cr, improving margin to 18.9% from 17.1% last year. PAT increased 14% to Rs. 94.4 Cr, with PAT margin expanding to 11.2%. Total assets grew to Rs. 950.5 Cr, net cash increased to Rs. 14.8 Cr, and Debt/Equity improved to 0.13, reflecting a strong balance sheet and 19.6% RoCE.

2. Strategic Initiatives & Growth Drivers:

Talbros plans capex of Rs. 25-30 Cr annually, funded internally, to boost growth across gaskets, forgings, chassis, and rubber hoses. It targets 13% CAGR in gasket revenues to Rs. 700 Cr and 23% CAGR in forgings to Rs. 500 Cr by FY27. Increasing focus on exports and EV-related lightweight aluminum heat shields supports its future growth pipeline.

3. Business Developments:

New multi-year orders worth Rs. 475 Cr secured from domestic and overseas OEMs, including Rs. 75 Cr from EV platforms. Through its JV Marelli Talbros Chassis Systems, it has Rs. 1,000 Cr orders for suspension components for ICE and EV vehicles in EMEA and NAFTA. Execution of the Rs. 1,475 Cr order book signals strong OEM confidence.

4. Market Position & Competitive Advantage:

Talbros holds ~50% market share in gaskets, leading key two-wheeler, commercial, and agri sectors. It is a single-source supplier for five major customers and benefits from strategic JVs with global firms Magneti Marelli and Marugo Rubber, enhancing technology and global OEM access. Its broad product mix and diversified customer base fortify its competitive moat.

5. Investor Implications:

Strong order inflows, margin improvement, and disciplined capex aligned with high-growth segments like EVs and exports indicate positive growth potential. The solid balance sheet and healthy returns support sustainable profitability. Investors should watch execution risks related to new orders and scaling EV revenues as key near-term drivers.