SKF India Limited — Investor Meet, 04-07-2025: Analysts/Institutional Investor Meet/Con. Call Updates

SKF India has announced a board meeting on July 14th to discuss the demerger process, expected to conclude by Oct-Nov with listing by December. FY25 revenue stands at Rs. 5,000 Cr with 17.2% EBITDA and 11.5% PBT, ROCE at 29%, and ROE at 22%. The demerger will separate automotive and industrial businesses to enhance management focus, manufacturing efficiency, and tailored capital deployment. Automotive (65-70% OEM) is growing with EVs and regulations driving demand; Rs. 500-600 Cr CAPEX planned till 2030. Industrial (~Rs. 3,300 Cr) focuses on infrastructure, railways, and renewables, with Rs. 800-950 Cr CAPEX by 2028 including a new Pune plant. Automotive growth expected at 10-12% CAGR, industrial at 8-10% till 2028, with margins guided 16-19%. Localization and exports will rise in both segments. Management highlighted ongoing margin volatility due to transfer pricing adjustments but expects stability. Post-demerger, separate leadership and operations will drive focused growth and innovation in each entity.