ASK Automotive sets record quarter with 41% EBITDA growth in Q3 FY25

ASK Automotive Limited, India's leading manufacturer of brake shoes and Advanced Braking Systems for two-wheelers, announced strong financial results for the third quarter of fiscal year 2025, marking its fifth consecutive quarter of robust performance since going public.

The company reported a consolidated total income of Rs. 919 crore in Q3 FY25, representing a 21% year-over-year increase. EBITDA surged by 41% to Rs. 115 crore, achieving a record margin of 12.49%, while net profit grew by 32% to Rs. 66 crore compared to the same period last year.

All three product segments contributed to the strong performance. The Advanced Braking Systems division grew by 14%, while Aluminium Light Weighting Precision Solutions and Safety Control Cables segments recorded growth of 25% and 10% respectively. However, export revenue declined to Rs. 34 crore from Rs. 45 crore in the previous year.

"The impressive margin improvement of 180 basis points year-over-year reflects our focus on expanding value-added businesses, improving capacity utilization, and implementing cost efficiency measures," said Kuldip Singh Rathee, Chairman and Managing Director of ASK Automotive.

The company's new mega manufacturing facility in Karoli is ramping up production, contributing to improved economies of scale. Additionally, ASK Automotive commenced commercial production at its 18th manufacturing facility in Karnataka on January 14, 2025, and initiated trial production at a 9.9MWp solar power plant in Sirsa, Haryana.

For the nine-month period ending December 2024, the company reported equally strong results with total income of Rs. 2,760 crore, up 24% year-over-year, and PAT of Rs. 190 crore, representing a 51% increase. CRISIL recently upgraded the company's long-term credit rating from AA- to AA, reflecting its strengthened financial position.

Looking ahead, ASK Automotive expects to maintain its growth momentum, supported by continued expansion in the two-wheeler sector. The company maintains approximately 50% market share in the OEM segment for two-wheeler brake systems in India.