Steel Strips Wheels Ltd Q3 FY25 Results & Concall Highlights: Revenue, Margins & Order Book
Published 7 Aug 2026 | Auto Components | Market Cap: ₹5.0K Cr
Tractor segment: Anticipated continued growth with significant potential for expanded market share (Page 3). The company anticipates record EBITDA accretion in the next financial year driven by alloy wheels, exports, and aluminum knuckles segments.
From Steel Strips Wheels Ltd's Q3 FY25 earnings-call transcript · updated 23 Aug 2026.
Price
₹295
Market Cap
₹5.0K Cr
P/E Ratio
22.5
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Steel Strips Wheels Ltd — Quarterly revenue & net profit
Reported quarterly figures (₹ Cr). Latest: revenue ₹1.3K Cr, net profit ₹49 Cr.
Full financials →📊 Revenue & Sales Performance
- →Tractor segment: Anticipated continued growth with significant potential for expanded market share (Page 3).
- →Export revenue: Projected to reach INR550-600 crores for FY '25 with improving geopolitical conditions driving demand increase, especially from Q4 (Page 3, 14).
- →Alloy wheels: Expected 5-6% industry volume growth for FY '25; company aims to outpace this with 7-8% growth and expand capacity to 5-10 million wheels over next 5 years (Pages 6, 10).
- →Aluminum knuckles: Nascent but high-potential segment targeting INR1,000 crores market size over next 3-4 years with 0.45 million units phase 1 capacity expanding to 1 million units; revenue forecast INR14-15 crores in FY '24, INR80 crores in FY '26, and INR105-115 crores in FY '27 (Pages 5, 8, 20, 21).
- →Steel wheels: Steady growth alongside alloy wheels; currently a major revenue driver (Page 10).
- →Overall EBITDA and margins: Expected improvement with new product lines and capacity utilization rising (Pages 7, 13).
📈 Profitability & Margins
- →The company anticipates record EBITDA accretion in the next financial year driven by alloy wheels, exports, and aluminum knuckles segments.
- →EBITDA per wheel increased to INR262 and is expected to improve further with higher-value products like alloy and OTR wheels.
- →Knuckles business revenue visibility: INR80 crores in FY '26, increasing to INR105-115 crores in FY '27 with double-digit margins.
- →Export revenue expected to grow 40-50% next year supported by a firm order book.
- →Alloy wheel volume is poised to grow with 75-80% capacity utilization expected next year and a 7-8% alloy penetration growth forecasted.
- →EBITDA margins improved to ~11.3% in recent quarters with cost optimization efforts ongoing.
- →Significant capex planned (~INR150-160 crores for FY '25-'27) funded from internal accruals without additional debt thereby supporting growth.
- →Earnings growth driven by expansion in high-margin products, increasing market share, and capacity utilization.
🏗️ Capital Expenditure Plans
- →Capex guidance of INR150-160 crores planned for FY '25-'26 and '26-'27, funded entirely from internal accruals, no new borrowings expected.
- →Investments include expansion in alloy wheels capacity from 5 million to 10 million units over 5 years.
- →Knuckles capacity expansion from 0.5 million to 2.5 million units targeted with a 2 million plant capex expected soon (execution 9-11 months).
- →Jamshedpur plant expansion to increase steel wheel capacity from ~150,000 to 200,000 units/month, adding ~100 bps margin.
- →Tractor capacity moving from 70,000 to 100,000 units/month underway.
- →Capex related to aluminum knuckles, first phase (~0.45 million units) with ROCE >20%, breakeven ~55-60% utilization.
- →Strategic discussions underway for futuristic metal technologies; at a preliminary stage.
- →Customer-driven capex signals expected by February for knuckles plant.
💰 Fundraising & Capital Structure
- →No new borrowings planned: Management stated that the capex of INR150-160 crores for FY '25-'27 will be fully funded through internal accruals with no need for new debt.
- →Current debt status: Total debt is around INR962 crores, with INR406 crores long-term and the rest short-term.
- →Debt repayment: Regular repayments of INR100-110 crores annually are scheduled, with opportunities explored for prepayments whenever possible.
- →No new additions to debt: Management confirmed that there will be no new additions to working capital or term loans.
- →Equity fundraising: There was no mention or indication of any equity fundraising plans during the call.
📋 Order Book & Pipeline
- →Current export order book is around INR175 crores to INR180 crores.
- →For Q4, expected export orders of INR155 crores to INR160 crores are considered doable.
- →Knuckle business: 7 RFQs are under discussion involving electric and ICE platforms, with steel to aluminum knuckle migration underway.
- →Mass production of knuckles started in November; expected revenue INR14-15 crores in the current year, INR80 crores in FY '25-'26, and INR105-115 crores in FY '26-'27 at 65% utilization.
- →Capex guidance for knuckle plant of INR200 crores expected by February, with execution taking 11-12 months.
- →Discussions ongoing with OEMs like Stellantis and VW Group for 17 projects, with one already awarded for next financial year delivery.
- →Alloy wheel and exports have firm order books supporting 40-50% growth next year.
Key Metrics
Frequently Asked Questions
What were Steel Strips Wheels Ltd Q3 FY25 results?
Tractor segment: Anticipated continued growth with significant potential for expanded market share (Page 3). The company anticipates record EBITDA accretion in the next financial year driven by alloy wheels, exports, and aluminum knuckles segments.
What is Steel Strips Wheels Ltd share price analysis?
Steel Strips Wheels Ltd currently shows a neutral. The stock trades at a P/E of 22.5 with a market cap of ₹5,032 Cr. Investors should review the full earnings analysis for detailed insights.
Is Steel Strips Wheels Ltd planning capital expenditure?
Capex guidance of INR150-160 crores planned for FY '25-'26 and '26-'27, funded entirely from internal accruals, no new borrowings expected.
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This analysis is AI-generated based on publicly available earnings data and concall transcripts. This is not investment advice. Please consult a SEBI-registered advisor before making investment decisions.