Alicon Castalloy Ltd — Q4 FY26 earnings call
Summary generated by AI from the official transcript Alicon Castalloy Ltd filed with BSE on 16 May 2026. Every statement cites a verbatim quote from that document — open any citation to read it. This is a record of what management said, not a recommendation. How we check these summaries
The short read
Alicon Castalloy reported Q4 FY26 revenue of Rs 495 crore, up 16% year-on-year, its highest ever quarterly revenue, while EBITDA declined 3% year-on-year to Rs 46 crore on higher aluminum costs and one-time expenses. For the full year, total income rose about 4% to roughly Rs 1,784 crore with EBITDA up 3% to about Rs 203 crore, while profit after tax fell to Rs 24 crore from Rs 46 crore in FY25. Management discussed a revalidated executable order book of approximately Rs 7,600 crore over six years, capex plans of Rs 130-150 crore for FY27, and guided to modest revenue growth with a step-up in EBITDA margin for the coming year.
Numbers mentioned
Revenue: ₹495 crore (Q4 FY26)
p. 7
“For Q4 FY '26, Alicon Castalloy reported a total revenue of ₹495 crore, reflecting healthy growth of 16% year-on-year.”
Vimal Gupta, page 7 of the filed PDF · View the filing
Gross margin: 45% (Q4 FY26)
p. 7
“From a profitability standpoint, gross margin for the quarter stood at 45%, reflecting a reduction of 248 basis points on year-on-year basis.”
Vimal Gupta, page 7 of the filed PDF · View the filing
EBITDA: ₹46 crore (Q4 FY26)
p. 7
“EBITDA for quarter 4 of FY '26 was ₹46 crore, representing a year-on-year decrease of 3% due to the inflationary trend in cost heads and base effect of higher aluminum prices.”
Vimal Gupta, page 7 of the filed PDF · View the filing
Profit before tax: ₹10 crore (Q4 FY26)
p. 8
“Profit before tax before exceptional items for quarter 4 FY '26 stood at ₹10 crore as compared to ₹11 crore in quarter 3.”
Vimal Gupta, page 8 of the filed PDF · View the filing
Profit after tax: ₹8 crore (Q4 FY26)
p. 8
“Profit after tax for quarter 4 FY '26 stood at ₹8 crore compared to ₹9 crore in quarter 4 of FY '25.”
Vimal Gupta, page 8 of the filed PDF · View the filing
Total income: approximately ₹1,784 crore (FY26)
p. 8
“On a full year basis, Alicon Castalloy reported a consolidated total income of approximately ₹1,784 crore for FY '26, reflecting year-on-year growth of approximately 4% over FY '25.”
Vimal Gupta, page 8 of the filed PDF · View the filing
EBITDA: approximately ₹203 crore (FY26)
p. 8
“EBITDA for FY '26 stood at approximately ₹203 crore, registering a year-on-year increase of 3% over ₹190 crore reported in the previous financial year.”
Vimal Gupta, page 8 of the filed PDF · View the filing
Profit before tax: ₹55 crore (FY26)
p. 8
“Profit before tax of FY '26 stood at ₹55 crore as against ₹62 crore reported in FY '25 after absorbing the impact of ₹8 crore on account of new labour code and exceptional items, PAT was ₹24 crore in FY '26 as against ₹46 crore reported in FY '25.”
Vimal Gupta, page 8 of the filed PDF · View the filing
Dividend: ₹2 per share (FY26)
p. 8
“the Board of Directors has recommended a dividend of ₹2 per share for FY '26.”
Vimal Gupta, page 8 of the filed PDF · View the filing
Capital expenditure: approximately ₹135 crore (FY26)
p. 8
“Capital expenditure during FY '26 stood at approximately ₹135 crore with investment directed towards automation initiatives, enhancement of machining capabilities, capacity augmentation and readiness for upcoming customer programs.”
Vimal Gupta, page 8 of the filed PDF · View the filing
Executable order book: approximately ₹7,600 crore (FY25-26 to FY30-31)
p. 9
“Alicon executable order book stands at approximately ₹7,600 crore as on March 31st, representing not executable orders over a period of 6 years from FY '25-'26 to FY '30-'31.”
Vimal Gupta, page 9 of the filed PDF · View the filing
Domestic CV industry volume growth: approximately 19.5% (Q4 FY26)
p. 6
“Domestic CV industry volumes during the fourth quarter grew by approximately 19.5% year-on-year, and Alicon remains well positioned to participate in this growth given our strong relationship across the leading OEMs.”
Sumit Bhatnagar, page 6 of the filed PDF · View the filing
Renewable power share: over 50%
p. 5
“it is important to highlight that over 50% of overall power requirement is now being met through renewable resources, primarily solar energy.”
Sumit Bhatnagar, page 5 of the filed PDF · View the filing
Aluminium price impact: ₹30 crore to ₹35 crore (Q4 FY26 vs Q3 FY26)
p. 11
“So approximately, we are seeing that ₹30 crore, ₹35 crore when we compare with the quarter 3.”
Vimal Gupta, page 11 of the filed PDF · View the filing
One-time costs: approximately ₹15 crore (Q4 FY26)
p. 11
“So approximately ₹15 crore additional cost, those were not there when we compare in the quarter 3 or maybe earlier quarters that has come and we have considered in quarter 4.”
Vimal Gupta, page 11 of the filed PDF · View the filing
One-time expenses: approximately ₹25-26 crore (FY26)
p. 17
“So, we have observed approximately one-time expenses during the full year is around ₹25- ₹26 crore.”
Vimal Gupta, page 17 of the filed PDF · View the filing
Two-wheeler segment share of business: near about 42% (FY26)
p. 18
“So, it was near about 42%, followed by passenger at 34%, roughly 17% to 18% was commercial.”
Rajiv Gupta, page 18 of the filed PDF · View the filing
Deemed export share: around 20% (FY26)
p. 18
“And if I read this in terms of the market, yes, if I consider even the deemed export indirectly what we share to the global region, it is somewhere around 20%.”
Rajiv Gupta, page 18 of the filed PDF · View the filing
New parts and customers added: 14 parts with 7 customers (FY26)
p. 21
“So, last year, we have added around 14 parts with seven customers.”
Rajiv Gupta, page 21 of the filed PDF · View the filing
Peak yearly sales from FY26 new orders: around ₹140 crore
p. 21
“So, these parts will fetch near about the sale of around ₹140 crore at the peak, yearly sales of ₹140 crore at the peak.”
Rajiv Gupta, page 21 of the filed PDF · View the filing
What management said it would do
A record of statements made on the call, in the words management used. Parakho does not forecast, endorse or assess them, and their presence here is not a view on whether they will happen.
Revenue growth — 8% to 10% · FY27
stated firmly by Sumit Bhatnagar
p. 10
“Definitely, we are looking for a modest growth of around 8% to 10% without taking care of the aluminium volatility, it is neutral because we do not know to what extent aluminium will grow because that would further add up to the top line.”
Sumit Bhatnagar, page 10 of the filed PDF · View the filing
EBITDA margin — 1.5% increase, approximately 12.5% to 13% · FY27
stated conditionally by Vimal Gupta
p. 22
“So 1.5%, maybe 12.5% to 13% we can say for the year.”
Vimal Gupta, page 22 of the filed PDF · View the filing
Capital expenditure — ₹130 crore to ₹140 crore or ₹150 crore · FY27
stated firmly by Sumit Bhatnagar
p. 13
“So, if you ask about the numbers, I think give and take, we are looking for a capital expenditure of anywhere between ₹130 crore to ₹140 crore or ₹I50 crore.”
Sumit Bhatnagar, page 13 of the filed PDF · View the filing
New manufacturing facility — minimum one new site · FY2026-27
stated firmly by Sumit Bhatnagar
p. 10
“You will see FY 2026-27, definitely minimum one new manufacturing factory site coming for Alicon.”
Sumit Bhatnagar, page 10 of the filed PDF · View the filing
Labour cost at Binola plant — approximately 35% · effective 1st April '26
stated firmly by Sumit Bhatnagar
p. 5
“the recent notification by Government of Haryana regarding an increase in minimum wages effective 1st April '26 is expected to increase the labour cost at our North India factory, Binola by approximately 35%.”
Sumit Bhatnagar, page 5 of the filed PDF · View the filing
Margin pressure — FY2027
stated conditionally by Sumit Bhatnagar
p. 4
“Consequently, these factors could exert some pressure on the margins, as we move into FY 2027.”
Sumit Bhatnagar, page 4 of the filed PDF · View the filing
Daimler order peak sales — ₹80 crore to ₹90 crore yearly sales · second half of next year
stated as an aspiration by Rajiv Gupta
p. 17
“So, on a peak sale, this would be somewhere around ₹80 crore to ₹90 crore yearly sales.”
Rajiv Gupta, page 17 of the filed PDF · View the filing
New orders three to four year revenue — ₹500 crore to ₹600 crore · three to four years
stated as an aspiration by Rajiv Gupta
p. 21
“And if I talk about over a period of, say, three years to four years, this will fetch us near about ₹500 crore to ₹600 crore.”
Rajiv Gupta, page 21 of the filed PDF · View the filing
Year-on-year revenue increase from order book — approximately ₹3,500 crore
stated conditionally by Vimal Gupta
p. 19
“No, no. On year-on-year basis, maybe ₹3,500 crore.”
Vimal Gupta, page 19 of the filed PDF · View the filing
Q&A highlights
Management's answers to analyst questions, in Parakho's words rather than a transcript. Each row names who answered and carries the verbatim quote it was drawn from.
Management guided to modest 8-10% growth for FY27 excluding aluminium volatility, with a new manufacturing site planned and a focus on rebuilding foundations before a bigger leap.
Answered by Sumit Bhatnagar
Asked by Raghunandhan NL: How does management see medium and long-term growth potential, and FY27 revenue target given the large order book?
p. 10
“So, this is a year for Alicon to Refocus, Reset and Rebuild.”
Sumit Bhatnagar, page 10 of the filed PDF · View the filing
Management attributed the increase to an aluminium price jump and approximately Rs 15 crore of one-time provisions and costs.
Answered by Vimal Gupta
Asked by Raghunandhan NL: Were there one-off items driving higher other expenses in Q4?
p. 11
“So approximately ₹15 crore additional cost, those were not there when we compare in the quarter 3 or maybe earlier quarters that has come and we have considered in quarter 4.”
Vimal Gupta, page 11 of the filed PDF · View the filing
Management cited an 18-month delay in the JLR program caused by the customer and weaker export market lifting due to tariffs, while domestic recovery efforts are now underway.
Answered by Sumit Bhatnagar
Asked by Riddhesh Gandhi: What went wrong over the last couple of years given peers reported strong Q4 numbers?
p. 13
“there has been 18 months delay in the development, which primarily happened from the customer side, but now this has been sorted.”
Sumit Bhatnagar, page 13 of the filed PDF · View the filing
Management said they do not anticipate further write-offs following recent audits.
Answered by Sumit Bhatnagar
Asked by Riddhesh Gandhi: Are there further write-offs needed to clean up the balance sheet?
p. 15
“But I can only tell you that we are not looking for any further write-offs in this year.”
Sumit Bhatnagar, page 15 of the filed PDF · View the filing
Management explained roughly half of capex is maintenance-related and new capex is for projects like JLR and European customers, with returns expected to show in FY27.
Answered by Sumit Bhatnagar
Asked by Preet Pitani: Despite significant capex over the last five years, why is asset utilization only 78% and margins at the bottom end?
p. 16
“So, you can be rest assured that all the capital investments what we are doing right now is going to have a good rate of return.”
Sumit Bhatnagar, page 16 of the filed PDF · View the filing
Management confirmed the order is being executed with 18 parts, 60% PPAP complete, and peak annual sales estimated at Rs 80-90 crore.
Answered by Rajiv Gupta
Asked by Preet Pitani: Has the Daimler order started, and how large is it?
p. 17
“This order is executed now. I mean, there are ideally 18 parts out of that, 60% PPAP is through and parts have streamlined.”
Rajiv Gupta, page 17 of the filed PDF · View the filing
Management said market share has not been lost and has improved in two-wheelers, though PV growth isn't reflected company-wide due to limited model coverage.
Answered by Sumit Bhatnagar
Asked by Preet Pitani: Is the company losing domestic market share given only 4% overall growth versus 10-12% domestic segment growth?
p. 17
“So, we have not lost any market share. I think in fact, if you look at our two-wheeler segment, we have done better than last year.”
Sumit Bhatnagar, page 17 of the filed PDF · View the filing
Management gave a breakdown showing two-wheeler at about 42%, passenger vehicle 34%, commercial around 17-18%, and non-auto 5-6%.
Answered by Rajiv Gupta
Asked by Preet Pitani: What is the segment-wise revenue bifurcation for FY26?
p. 18
“So, it was near about 42%, followed by passenger at 34%, roughly 17% to 18% was commercial.”
Rajiv Gupta, page 18 of the filed PDF · View the filing
Management indicated an incremental year-on-year revenue addition of approximately ₹3,500 crore based on the current order book.
Answered by Vimal Gupta
Asked by Preet Pitani: How should the order book of ₹7,600 crore translate into annual revenue over six years?
p. 19
“No, no. On year-on-year basis, maybe ₹3,500 crore.”
Vimal Gupta, page 19 of the filed PDF · View the filing
Management confirmed JLR is included but declined to disclose the specific amount due to contractual confidentiality.
Answered by Sumit Bhatnagar
Asked by Nishita: Does the order book of ₹7,600 crore include the JLR order, and what is its value?
p. 22
“I think, I should pitch in, I think we cannot reveal customer-specific number.”
Sumit Bhatnagar, page 22 of the filed PDF · View the filing
Management said the capex will be funded through internal accruals.
Answered by Vimal Gupta
Asked by Preet Pitani: How is the planned capex being funded given limited cash on the balance sheet?
p. 22
“At this moment, we have planned in our cash flow planning that it will be funded through the internal accruals.”
Vimal Gupta, page 22 of the filed PDF · View the filing
Management attributed this to vendor financing arrangements negotiated with certain customers.
Answered by Vimal Gupta
Asked by Preet Pitani: Why have creditor days risen from 99-100 to 135 days?
p. 23
“It depends on customer to customer, because some customers we have negotiated, we have given them a very good platform for the vendor financing.”
Vimal Gupta, page 23 of the filed PDF · View the filing
Risks flagged
Volatile macroeconomic conditions and Middle East tensions affecting energy prices and freight
p. 4
“the escalation of tensions in the Middle East contributed to increased uncertainty resulting in volatility in energy prices, persistent inflationary pressures and some disruptions in freight movement and supply chain.”
Sumit Bhatnagar, page 4 of the filed PDF · View the filing
Rising input costs across aluminium, steel, copper and other materials
p. 4
“prices of commodities such as steel, copper and other input materials witnessed meaningful increase.”
Sumit Bhatnagar, page 4 of the filed PDF · View the filing
Margin pressure expected in FY2027 from cost pass-through lags
p. 4
“Consequently, these factors could exert some pressure on the margins, as we move into FY 2027.”
Sumit Bhatnagar, page 4 of the filed PDF · View the filing
Energy availability and fuel supply constraints
p. 4
“Energy availability also emerged as an important area of focus during the quarter, and we use a variety of fuels, including LSHS, CBFS, PNG and LPG, mainly in process of melting, die heating and heat treatment.”
Sumit Bhatnagar, page 4 of the filed PDF · View the filing
Increase in labour costs from revised minimum wage codes
p. 5
“the recent notification by Government of Haryana regarding an increase in minimum wages effective 1st April '26 is expected to increase the labour cost at our North India factory, Binola by approximately 35%.”
Sumit Bhatnagar, page 5 of the filed PDF · View the filing
Softer demand and customer-specific issues in export markets
p. 7
“On the international side, customer-specific issues and relatively softer demand conditions in select export markets continued to weigh on volumes.”
Vimal Gupta, page 7 of the filed PDF · View the filing
Delay in JLR program launch impacting growth
p. 14
“This is something which has really put a big dent to our growth journey or our efforts.”
Sumit Bhatnagar, page 14 of the filed PDF · View the filing
Tariffs affecting lifting of material from European and U.S. markets
p. 14
“we did not get enough lifting of the material from the European and the U.S. markets for various reasons, including the tariff.”
Sumit Bhatnagar, page 14 of the filed PDF · View the filing
Ongoing market volatility limiting ability to commit to precise targets
p. 15
“Still we are in a state where the market is volatile, we still have not completely got over from the energy prices and the various escalations, which have happened.”
Sumit Bhatnagar, page 15 of the filed PDF · View the filing
Generated by claude-sonnet-5. Source: the transcript as filed with BSE. We link to the exchange's copy; we do not host transcripts. Parakho is a data and screening tool, not an investment adviser — nothing here is a recommendation to buy, sell or hold.