India · Delayed Price · Currency is INR HEG Limited Earnings Call Transcripts
Fiscal Year 2027
-
Q1 FY 2027 saw strong profitability and margin expansion, with revenue up 11% year-over-year and EBITDA margin rising to 29%. Capacity utilization remained above 90%, and the company is well-positioned for long-term growth amid global EAF expansion and robust demand, despite rising input costs and geopolitical uncertainties.
Fiscal Year 2026
-
Strong year-over-year growth in volume and revenue, with EBITDA margins improving to 19%. Despite a quarterly loss from unrealized FX and investment losses, underlying operations remain robust, and long-term demand is supported by global steel industry shifts.
-
Delivered strong nine-month financials with robust margin expansion and industry-leading utilization, supported by global EAF transition and capacity expansion plans. Maintains a debt-free balance sheet and expects continued demand growth despite ongoing pricing pressures.
-
A major restructuring will create two focused listed entities: one for graphite electrodes and another, HEG Greentech, for clean tech, battery materials, and renewables. HEG Greentech targets rapid growth in battery anodes, BESS, and renewables, supported by strong financials, R&D, and a seasoned management team.
-
Q2 FY2026 delivered strong revenue and profit growth driven by higher sales volumes and 90%+ utilization, despite flat prices and margin pressure from Chinese competition. Expansion and demerger plans are on track, with a bullish medium-term outlook as EAF demand rises.
-
Revenue and profits rose sharply year-over-year, driven by high utilization and cost leadership despite global steel headwinds. Capacity expansion and strategic investments position the company for EAF-driven demand growth, with stable margins and robust liquidity.
Fiscal Year 2025
-
Revenue and profits declined year-over-year due to weak global steel demand and MTM losses on investments, but EBITDA margins improved sequentially. Major industry capacity closures and new EAF projects are expected to support future demand and pricing. Management remains optimistic about long-term growth.
-
Q3 FY25 saw revenue decline but EBITDA and net profit rise sharply, with strong margins and high capacity utilization. The company remains debt-free, is progressing on its anode plant and demerger, and expects demand recovery as new EAF capacities come online. Pricing remains under pressure, but long-term outlook is positive.
-
Revenue and net profit declined year-over-year, but EBITDA improved and capacity utilization reached 80%, the highest globally. Margins remain under pressure due to weak demand and Chinese competition, but long-term prospects are positive with global decarbonization and new electric arc furnace capacities expected to boost demand from late FY25.
-
Revenue and profits declined sharply year-over-year due to weak global steel demand and margin pressure from Chinese exports. Despite this, capacity utilization remains industry-leading, and the company is well-positioned for future demand growth with expanded capacity and a strong balance sheet.