Pritika Engineer

- The Company plans to raise funds up to Rs. 49.5 crores to support expansion and diversification. - Fundraising includes increasing authorized capital from Rs. 20 crores to Rs. 25 crores. - The raised funds will be used for land acquisition (~Rs. 10 crores), building (~Rs. 5-7 crores), plant expansion (~Rs. 20-25 crores), and new business like railways (~Rs. 10 crores). - The Company intends to maintain its current debt range and avoid raising excessive new debt. - Overall, the fundraising will primarily support CAPEX and diversification into railways and defense segments. - No immediate plans to declare dividends as funds are being reinvested in growth. In summary, Pritika Engineering Components Limited is planning a significant equity infusion and carefully controlled debt levels to fuel capacity expansion and business diversification over the next 1-2 years.

- The Company is undertaking ongoing expansion and diversification, requiring capital investment. - Current capacity is around 2,200 tonnes/month; planned expansion will increase it to 3,500 tonnes/month. - CAPEX breakdown includes approx. Rs. 10 crores for land, Rs. 5-7 crores for building, Rs. 20-25 crores for expansion, and Rs. 10 crores for railways and new business segments. - Investments target new technology like Lost Foam casting with high customer and export demand. - Rs. 10-15 crores of CAPEX is planned over the next two years for railways and defense components. - The new plant started last year is under ramp-up; expected utilization to reach 75% by FY ’26. - The railway business has a long gestation of around 1.5-2 years before commercial supply can start, expected beyond FY ’26. - Funds are being raised (up to Rs. 49.5 crores) to support expansion and diversification plans.

- Target revenue for FY 2025: Rs. 110 crores. - Expected growth in FY 2026: Rs. 140 crores due to new components under development and trials. - Expansion plans to increase capacity from 2,200 tonnes/month to 3,500 tonnes/month. - Peak revenue potential post-expansion: Above Rs. 300 crores within three years. - Export revenue currently low (~Rs. 3 crores), targeted to reach Rs. 100 crores in 3 years (~30% of sales). - Capacity utilization for the new plant expected to reach 75% by FY 2026. - Growth driven by adding more components, increasing share of business with existing customers, and adding new customers. - Expansion into niche large castings and exports to increase margins and sales. - Railways and defense segment expected to contribute after a 1.5-2 year gestation period, likely beyond FY 2026.

- Revenue Target for FY 2025: Rs. 110 crores, with expected growth to Rs. 140 crores in FY 2026. - Profitability: Operating profit margin around 5% anticipated for FY 2025. - EBITDA Margin Guidance: Targeting EBITDA margins of approximately 14.5% ± 0.5% for FY 2025, with a 1% to 1.5% improvement expected due to new technologies. - Capacity Utilization: Expansion plans to increase capacity from 2,200 to 3,500 tonnes/month, enabling revenues exceeding Rs. 300 crores in 3 years. - Export Growth: Aim for exports to contribute about 30% of revenues (Rs. 100 crores out of Rs. 300 crores) over the next 3 years. - Long-Term Vision: Becoming the number one machine casting company pan-India with higher-margin large casting and export-driven growth. - Profit Growth: Net profit showed modest increase (1.8% YoY in Q1 FY 25) with operational efficiencies improving margins.

- Current order book is approximately Rs. 150 to Rs. 160 crores, representing capacity booking. - The order book consists of regular, ongoing orders with components that are either developed, under trial/testing, or in development. - Execution of orders is continuous, with supply on a month-on-month and year-on-year basis once components are approved. - For FY 2025, projected execution from the order book is around Rs. 100 to Rs. 110 crores in revenue. - Capacity utilization and order book execution are aligned, with no immediate capacity constraints up to Rs. 170-180 crores turnover. - New products under development and trial are expected to add to future order inflows and capacity utilization.