Eimco Elecon India shares fall nearly 10% on weak Q3 FY25 results 

Eimco Elecon India Limited witnessed its shares drop almost 10% following the announcement of its unaudited financial results for Q3 FY25. The company reported significant declines in revenue and profitability, leading to investor concerns.

Key Financial Highlights (Q3 FY25):

• Revenue from Operations:
  ₹45.83 crore, a 31.2% QoQ decline from ₹66.62 crore in Q2 FY25 and a marginal drop compared to ₹48.26 crore in Q3 FY24.
• Total Income:
  ₹48.61 crore, down from ₹72.74 crore in Q2 FY25 and ₹52.34 crore in Q3 FY24.
• Net Profit (PAT):
  ₹6.19 crore, marking a sharp decline from ₹13.06 crore in Q2 FY25 and a YoY decrease from ₹7.54 crore in Q3 FY24.
• Expenses:
  Total expenses surged to ₹40.26 crore, compared to ₹35.53 crore in Q2 FY25 and ₹42.54 crore in Q3 FY24.
• Profit Before Tax (PBT):
  ₹8.35 crore, a substantial drop from ₹19.21 crore in Q2 FY25 but slightly higher than ₹9.80 crore in Q3 FY24.

Year-to-Date (April-December FY25) Performance:

• Revenue from Operations:
  ₹182.18 crore, reflecting a YoY growth of 27.2% from ₹143.19 crore.
• Net Profit:
  ₹34.02 crore, up from ₹25.57 crore during the same period last year, showcasing significant growth.

Operational Insights:

• Cost of Materials Consumed:
  Increased to ₹31.42 crore in Q3 FY25 from ₹26.29 crore in Q2 FY25.
• Depreciation:
  ₹2.17 crore in Q3 FY25, up from ₹1.86 crore in the previous quarter.

Stock Performance:

As of 1:52 PM, Eimco Elecon India’s shares were trading at ₹1,889.55, a 9.17% decline from the previous close of ₹2,080.25.

Conclusion:

Eimco Elecon India’s Q3 FY25 results reflect challenges in maintaining revenue and profit momentum. The sharp decline in QoQ financials has raised concerns among investors, resulting in the steep drop in share prices. The company’s focus on operational efficiencies will be crucial for future stability.