In Q1 FY25, Texmaco Rail & Engineering Limited reported a Revenue from Operations of ₹891.7 crores, marking a significant year-on-year increase of 35.8%. The company’s Profit After Tax (PAT) for the quarter surged to ₹40.2 crores, which represents a remarkable year-on-year growth of 176%.
During the same period, Texmaco manufactured 1,967 freight cars and maintained a robust order book valued at ₹7,459.7 crores, underscoring its strong market position and growth trajectory.
On July 25th, Texmaco disclosed that it has agreed to acquire the entire shareholding of Jindal Rail & Infrastructure Limited (“JRIL”) for a cash consideration of Rs. 615 crores, subject to certain closing adjustments.
The Enterprise Value of JRIL is Rs. 687 crores, and the transaction represents an FY 2024 EV/EBITDA multiple of 8.1x. Although definitive agreements have been executed, the transaction is subject to certain conditions precedent for closing, which are expected to be completed within 45 days of the announcement.
This acquisition marks a significant milestone in Texmaco’s journey to expand its strategic capabilities and market presence, positioning the Company for sustained growth and innovation in the railway manufacturing industry.
Commenting on the performance, Indrajit Mookerjee, Executive Director and Vice Chairman, said “We are thrilled to report record Q1 FY2025 results, with the highest-ever Q1 Revenue from Operations at ₹891.7 crores, a 35.8% year-on-year increase. EBITDA surged 62% to ₹97.1 crores, achieving a 10.9% margin, while PAT rose 176% to ₹40.2 crores, with a 4.5% margin. Our recent acquisition of Jindal Rail & Infrastructure Limited for ₹615 crores, expected to close soon, will significantly bolster our capabilities and market presence, driving sustained growth and innovation.”