Shivalik Bimetal Controls Ltd

- There is no mention of any current or planned fundraising through debt or equity in the transcript. - The company plans a capex of INR 20 crore for setting up a new assembly facility in Pune for automotive bus bars and connectors. - This capex will be managed through internal accruals and approvals, not through external fundraising. - The focus is on measured investments funded internally to support forward integration and growth initiatives. - No indications of raising additional funds via equity or debt were discussed during the earnings call.

- Shivalik Bimetal Controls Limited plans a capital expenditure of ₹20 crore for setting up a new assembly facility in Pune focused on automotive bus bars and connectors. - This facility is designed to support forward integration into high-value assemblies for e-mobility and energy storage applications. - The new Pune plant will commence phased capacity addition from Q1 FY27, targeting revenue of ₹70-75 crore in FY27, scaling up to ₹250-300 crore over the next 3 years. - The ₹20 crore capex primarily covers assembly line setup; major costly equipment for welding and other processes is already in place. - Future expansions depend on potential opportunities, with consideration for adding another facility if needed. - The capex will be funded through internal accruals. - The strategy aims to broaden customer solutions, improve quality of earnings, and strengthen competitive positioning.

- Expected overall revenue growth around 12-15% for FY27-FY28, improving from ~9% in previous year despite tariff-related challenges. - Volume growth guidance of about 4-5% for the year, with 3% volume growth recorded in first 9 months. - Shunt business expected to see stronger volume growth, around 13-19% over next few years due to new commercial orders from customers including Vishay and Japanese firms. - New assembly business (busbar and PCB assembly) planned to contribute Rs. 70-75 crore revenue in FY27, scaling up to Rs. 250-300 crore by FY29. - US market expected to regain traction post tariff reductions, aiding growth especially in thermostatic bimetal and shunt segments. - Growth will be driven by a blend of volume increase and price/realization growth, e.g., 5% volume growth correlating with 12-15% value growth.

- The company expects steady growth with improving quality of earnings as it moves up the value chain, particularly through forward integration like the Pune assembly plant initiative. - For FY27, revenue growth guidance is around 10-12%, with expectations to maintain or improve this post-tariff disruptions. - Shunt business baseline growth is anticipated between 13-19%, driven by new customers and product developments. - EBITDA margins are expected to remain stable in the 23-25% range despite forward integration of lower-margin assembly products; potential margin improvements exist from operating leverage. - Assembly business (busbar and PCB) is forecasted to contribute ₹70-75 crore in FY27, growing to ₹250-300 crore by FY29, supporting top-line and margin expansion. - Opportunities in US market expected to drive volume and realization growth, with volume growth around 5% and realization growth of 12-15%. - Overall, the focus is on sustainable profit growth through better mix, cost discipline, and higher-value components.

- Shivalik has several ongoing orders related to automotive busbar and PCB assembly businesses. - The Pune facility is being set up to cater to 4-5 major projects already in hand, with initial business starting March FY27. - Expected orderbook contribution from new assembly business: - FY27: ~70-75 crore INR - FY28: ~150-200 crore INR - FY29: ~250-300 crore INR - These are confirmed projects with components designed and developed, not just plans. - The company is seeing new orders in shunt and thermostatic bimetal segments, with a rebound expected in US exports post tariff resolutions. - Growth indications from customers point to steady volume increases and additional higher-value order inflows.