Sterling Tools Limited (STL) (BSE: 530759) (NSE: STERTOOLS), is one of India’s leading automotive fastener manufacturer and through its 100% owned subsidiary-Sterling Gtake E-Mobility Limited (SGEM); is a key EV component manufacturer. The Company announced its unaudited Standalone and Consolidated results for the quarter and nine months ended 31 st December 2024.
Key Consolidated Financial Highlights for Q3 FY25:
- Total income grew by 12.3% YoY to Rs. 262.7 crore in Q3 FY25 as against Rs. 234.0 crore in Q3 FY24.
- Adjusted EBITDA for the quarter increased by 13.0% YoY to Rs. 31.7 crore with Adjusted EBITDA margin at 12.1% in Q3 FY25.
- Profit after tax stood at Rs. 13.6 crore in Q3 FY25.
Key Consolidated Financial Highlights for 9M FY25:
- Total income grew by 24.5% YoY to Rs. 832.3 crore in 9M FY25 as against Rs. 668.3 crore in 9M FY24.
- Adjusted EBITDA increased by 25.8% YoY to Rs. 105.9 crore compared to Rs. 84.2 crore in 9M FY24.
- Adjusted EBITDA margin stood at 12.7% in 9M FY25.
- Profit after tax witnessed a growth of 26.5% YoY to Rs. 49.5 crore in 9M FY25 compared to Rs. 39.1 crore in 9M FY24.
- Profit after tax margin stood at 5.9% in 9M FY25.
Commenting on the Q3 & 9M FY25 performance, Atul Aggarwal, Managing Director of Sterling Tools Limited stated:
“During 9M FY25, our consolidated total income grew by 24.5% to Rs 832.3 crore on a YoY basis. The topline growth is mainly driven by SGEM which witnessed a revenue uptick of 56% to Rs 345.9 crore in 9M FY25 against corresponding period last year. The company registered an Adjusted EBITDA growth of 25.8% YoY to Rs 105.9 crore in 9M FY25. Our standalone business continues to exhibit steady performance with topline growth of 8.9% YoY in 9M FY25. The growth is attributable to a higher share of business with existing customers as well as addition of new customers.
We have a deep commitment to the EV industry and to localization. We believe there are several unserved product opportunities in the EV space that we can address. With this thought process, we have announced multiple strategic collaborations in last few quarters to address dynamically evolving needs of the EV industry. We have signed a MOU with MOTIVELINK Co., Ltd (Erstwhile Yongin Electronics Co. Ltd) to manufacture entire portfolio of magnetic components required for various applications in India’s EV and electronics manufacturing industry. Furthermore, the company through its subsidiary Sterling Tech-Mobility Limited (STML) has partnered with China’s Kunshan GLVAC Yuantong New Energy Technology Co. Ltd to manufacture HVDC Contactors and Relays in India. Recently, STML has also partnered with Zhejiang Meishuo Electric Technology Co. Ltd., China to locally manufacture Latching Relays for the energy sector, industrial grids, and other applications in India. These associations will drive import substitution and will align with the Atmanirbhar Bharat vision of Government of India and help in building a self-reliant ecosystem for the Electric Vehicles, Hybrid Electric Vehicles, Industrial and White Goods Industries.
Moving ahead, we shall continue with our focus towards exploring new growth frontiers and delivering sustainable performance through both organic as well as strategic initiatives.”
Source : Press Release
