Karbonsteel Engineering Ltd (544511) — concall transcript | 31 March 2026

Karbonsteel Engineering reported FY25 revenue of 300 crores, up from 273 crores in FY24, with a 10.86% EBITDA margin maintained despite inflationary pressures. The company exited its Khopoli facility, consolidated operations at Umargam, and expanded capacity to 54,000 tons by October 2025. One-time costs, including a 1.65 crore bad debt write-off and 2.4 crore rental charges, impacted PAT at 10.51 crores. Management expects normalized PAT margins of 12-13% in FY26, driven by automation and full utilization of expanded capacity. Solar expansion will cover 100% of power needs, reducing energy costs by over 50%. The order book stands at 350 crores as of May, with 150 crores in pipeline expected by September-October. Key growth drivers include custom heavy fabrication, data center projects, and infrastructure work. Challenges include LPG supply disruptions, labor migration, and cost pass-through limitations. The company emphasizes high-precision, complex projects for top-tier clients, differentiating from PEB manufacturers.