GMM Pfaudler shares surged over 2% today after its wholly owned German subsidiary, Pfaudler Normag Systems GmbH, has signed a significant contract worth €33.2 million (approximately ₹330 crore) with a European-based customer. The deal involves the design, engineering, and supply of comprehensive acid recovery equipment and systems.
As of 9:22 am the shares were trading at Rs 1,185 on NSE
According to the exchange filing, the contract spans four years and includes a 30% upfront payment upon signing. The client, whose identity remains undisclosed due to confidentiality agreements, is a European manufacturer of light and medium weapons, ammunition, and tools catering to both defence and civilian sectors.
GMM Pfaudler stated the project is expected to contribute meaningfully to the company’s revenue over the execution period.
Financial backdrop
The announcement comes shortly after GMM Pfaudler reported a consolidated net loss of ₹27 crore in Q4 FY25, compared to a net profit of ₹27.6 crore in Q4 FY24. This figure excludes one-time closure costs of ₹47.7 crore related to severance, inventory write-offs, asset impairments, and other exceptional expenses.
Despite the loss, revenue from operations rose 8.9% YoY to ₹806.6 crore. However, EBITDA declined 57.5% to ₹83.3 crore, and margins contracted to 10.3% from 12.1% in the same period last year.
