Gala Precision Engineering Limited — PPTs, 05-08-2025: Investor Presentation

Here is the summary of the attached document:

**1. Financial Highlights:**

Q1-FY26 revenue was INR 63.1 Cr (+18.6% YoY, -16.2% QoQ). EBITDA (INR 9.6 Cr, 15.21% margin) and PAT (INR 6.5 Cr, 10.30% margin) declined QoQ/YoY, impacted by forex loss and higher expenses. Post-IPO, borrowings significantly reduced, and net worth surged to INR 256.3 Cr by FY25.

**2. Strategic Initiatives & Growth Drivers:**

The company is expanding capacity with a new Vallam (Chennai) plant and Wada upgrades. CAPEX (INR 37 Cr Chennai, INR 11.1 Cr Wada) funded by IPO proceeds supports this expansion and debt reduction. Future strategies focus on strengthening core capabilities and broadening offerings.

**3. Business Developments:**

Chennai plant's commercial production began July 2025, with dispatches expected August 2025. The SFS business grew 64% QoQ. Wada also commenced industrial SFS sales. Exports contributed 35% of Q1-FY26 revenue, serving over 175 customers.

**4. Market Position & Competitive Advantage:**

Gala Precision holds a dominant 70% domestic market share in Renewal DSS. As a leading precision component manufacturer, it offers 750+ SKUs. Its competitive edge stems from state-of-the-art facilities and strong in-house tool design and development capabilities.

**5. Investor Implications:**

Strategic capacity expansion, effective IPO fund utilization for debt reduction and CAPEX, and a dominant DSS market share signal positive long-term growth potential. Investors should monitor Q1 profitability trends, impacted by external factors, while anticipating increased revenue contribution from the new Chennai plant.