Neetu Yoshi Ltd Q3 FY26 Earnings Analysis

- FY 2026-27 revenue target around ₹210-230 crore, with capacity utilization expected to grow towards 100%. - FY 2027-28 revenue expected between ₹330-340 crore. - Further target of ₹380 crore revenue in FY 28 mentioned, with a focus on achieving 25% PAT margins. - Continued addition of new product lines including bogie manufacturing (targeting 500 bogies/month), track components, coach components, bridges, and springs. - Expansion driven by internal accruals for next 3 years, with major CAPEX for wagon manufacturing planned beyond 3 years, potentially adding substantial revenue. - Management confident of exceeding revenue targets through aggressive diversification within railway ecosystem and other segments. - Order book as of Nov 2025 stood at ₹140 crore with continuous inflow of new orders (₹16 crore + ₹14.40 crore + ₹0.70 crore orders noted on a single day). - Expansion of molding capacity from 8,000 to up to 16,000 metric tons per annum planned, limited by melting capacity.

- FY'27 revenue expected around Rs. 210 crores; FY'28 around Rs. 330-340 crores. - Targeted PAT margin is consistently 25%. - Current expansion via internal accruals; wagon manufacturing plant planned in 3 years to boost revenue substantially. - New bogie manufacturing plant expected to contribute Rs. 240 crores revenue at ~60% utilization initially. - Company aims to be a system provider for Indian Railways across locomotives, bogies, tracks, coaches, bridges, and structures. - Revenue target for FY'26 is Rs. 220-230 crores. - Medium-term (3-5 years) growth expected with wagon manufacturing addition, though specific numbers not disclosed. - Focus on 25% PAT margin across new product lines and expansions. - Anticipated expansion of molding and melting capacities to increase volumes. - Confident attainment of growth and margin targets per management commentary.

- Adding one more molding line (high-pressure molding) at the old facility, doubling molding capacity to ~16,000 metric tons per annum; melting capacity to be added later in stages. - New bogie manufacturing plant in Haridwar, targeted to commence production by April 2026 with a capacity of 500 bogies per month; initial utilization expected at 60%. - Expansion into new segments including track components, coach components, bridges, and structures with land acquisitions adjacent to existing facility (~12,500 sq. meters total) for bigger components. - Wagon manufacturing plant planned for about 3 years down the line, with CAPEX to be raised through equity market after establishing performance over three years; current expansions funded internally. - Applications underway for various product approvals (RDSO) to enable new product lines (springs, bridges). - Continuous capacity enhancement and addition of new products with strong focus on internal accrual funding for expansions until wagon manufacturing phase.

- Neetu Yoshi Limited currently plans to fund all near-term expansion, including capacity additions, through internal accruals without raising additional funds. - The company went for IPO listing not for immediate capital needs but to establish market confidence for larger future fundraising. - Major fundraising is planned about three years down the line, specifically for setting up a wagon manufacturing plant. - At that time, they intend to consider raising funds (debt or equity) to meet the bulk capital requirements for wagon manufacturing. - Presently, no incremental CAPEX funding through debt or equity is planned; expansions like adding molding lines are funded internally. - The company emphasizes organic growth and internal funding until the wagon manufacturing project initiation.

- Current order book stands at more than Rs. 140 crore. - On the day of the call, the company received: - One order of approximately Rs. 16 crore (including GST) - One order of approximately Rs. 14.4 crore for LTs and stud casting - Another order of around Rs. 70 lakh - The company regularly receives new orders and intends to share the complete order list with the exchange for transparency. - Management is working towards providing monthly updates on the order book to improve transparency.