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EARNINGS PRESENTATION Q4-FY25/FY25
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At a Glance 2 Established Brand with over 30 years of Industry Presence India’s most diversified CE Manufacturer Operating across Infra, Construction, Manufacturing, Logistics and Agri sectors World’s largest Pick & Carry Crane Manufacturer with Pan India and Global Presence in over 37 Countries Fastest Service and Product Support through a wide Network across 125+ Locations in India Highly Experienced and Professional Team Financial Discipline with focus on Accelerated Growth through Flexibility and Quick-Change Adaptation Customer Centric Organization with In-depth Market Intelligence having strong Customer base across sectors Strong Manufacturing, R&D Capabilities providing Customized Solutions for Specific Requirements Poised to capture Significant Growth Prospects in Indian Manufacturing & Infrastructure Sector Value for Money Equipment with Focus on Quality and Reliability
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• ACTION CONSTRUCTION EQUIPMENT LIMITED was established in 1995 by Mr. Vijay Agarwal, a technocrat, who has over 50+ years of industry experience and is led by a team of experienced professionals. • ACE is a reputed brand with a significant presence across diversified sectors like Construction, Infrastructure, Manufacturing, Logistics and Agriculture. • We are world’s largest Pick & Carry cranes manufacturer with over 63% market share in Mobile cranes segment in country and leading market share of 60% in Tower Cranes segment domestically. • Additionally, ACE also offers Crawler Cranes, Truck Mounted Cranes, Lorry Loaders, Backhoe Loaders/Loaders, Vibratory Rollers, Motor Graders, Forklifts, Access Platforms, Telehandlers, Tractors & Harvesters and other Construction Equipment. • The end-user Sector exposure of the company can be broadly classified as follows: Manufacturing & Logistics~45%, Infrastructure ~35%, Agriculture ~7% and Real Estate ~13%. • The company has one of the widest Sales and Service network, with over 125+ locations supported by 13 regional offices in India and also exports to over 37 countries across Middle East, Africa, Asia and Latin America. Company Overview 3 Market Leader in Mobile and Tower Cranes 63% + Market Share 16,404 22,008 29,909 34,274 1,622 2,621 4,803 6,061 9.89% 11.91% 16.06% 17.68% FY22 FY23 FY24 FY25 Consolidated Financial Highlights (INR Mn) Total Income* EBITDA EBITDA Margin (%) * Total income includes other income
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Cranes, Material Handling & Construction Equipment Agri Equipment Track Harvesters Product Portfolio 4 Pick & Carry Cranes Lorry Loaders Rough Terrain Cranes Crawler Cranes Truck Cranes Tower Cranes Tractors Backhoe Loaders Tele Handlers Vibratory Rollers Motor Graders Access Platforms Forklift Trucks Warehousing Equipment Piling Rigs
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5 180 Tons Crawler Crane Opportunities & New Products Range of Upgraded Crawler Cranes Equal Wheel Backhoe Loader 4X4X4
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6 Evolving Opportunities - Defence We received our single largest order from Ministry of Defence for 1,121 no.s of Rough Terrain Forklifts (Telehandlers) amounting to Rs. 420 Crores. This marks a pivotal step towards modernizing India’s Defence infrastructure & empowering indigenous manufacturing. We qualified for this contract by proving the capability of our equipment through comprehensive testing and demonstrating our company’s R&D prowess. This further bolsters our efforts towards the “Make in India” and “AatmaNirbhar Bharat” initiatives of the Government.
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Sectoral Growth Drivers Source: ICEMA, IBEF, Mordor Intelligence, Indian Companies.in, The Hindu , ToI other published /public domain • India manufacturing sector has potential to reach US$ 1 Tn by 2025-26 • Implemented PLI in 14 sectors with an outlay of ₹1.97 lakh crore to enhance domestic manufacturing & import substitution with potential to have additional production of ₹ 3 lakh crore in next 5 years. • Industrial Capex cycle has revived owing to other initiatives such as National Manufacturing Mission, ‘Vocal for Local’ and ‘China +1 Strategy aiming to position India as a global manufacturing hub. Manufacturing The GoI has budgeted T otal Capital Spending of ₹11.2Tn in FY26 vs. ₹10.2Tn in FY25 (RE). This implies 10.1% YoY growth in FY26. Major outlay is for Roads at ₹2.78Tn and Railways at ₹2.55Tn. 7 • Allocated ₹77,526 crore for Pradhan Mantri Awas Yojana-PMAY (Urban-₹19,794 crore & Rural- ₹54,232 crore) for FY26. • Real estate sector in India is expected to expand to $5.8Tn, contributing 15.5% to the country’s GDP by 2047. • ₹15,000 crore allocated for SWAMIH Fund 2.0 (Special Window for Affordable and Mid-Income Housing) to expedite completion of an additional 1 lakh housing units in stalled projects, 50,000 homes were completed till FY 24 and rest 40,000 expected by the end of 2026. Housing • The Government announced investment of ₹75,000 crore, for 100 critical transport infrastructure projects, for last and first mile connectivity for ports, coal, steel, fertilizer , and food grains sectors. • The Union Budget 2025-26 introduced an Urban Challenge Fund of ₹1 lakh crore aimed to developed “Cities as Growth Hubs” through creative redevelopment and better water & sanitation infra. • Power sector reforms with an increase in intra-state transmission capacity by states Urban Infra • The railway capital allocation is maintained at ₹2.52 lakh crore for FY26. However, physical targets have been linked to production of 17,500 general coaches, 200 Vande Bharat and 100 Amrit Bharat trains. • Implementation of three major economic railway corridor under PM Gati Shakti initiative. • Metro projects allocation increased to ₹31,200 crore for FY26 to boost expansion of metro networks across cities. • The government is set to introduce ‘National Rail Plan’ to enable integration of rail network with other modes of transport for development of a comprehensive multi-modal transportation system. Railways • In FY26, India set target to construct 10,000 km of National Highways with 5800 km high speed corridor. Union government approved eight national high-speed corridor projects totalling 936 km with an investment of ₹50,655 crore. • The roads sector is likely to account for 18% capital expenditure over FY 2019-25 and Roads worth $200 Bn to be built in next 2 years. • NHAI is coming up with 23 new highways including network of expressways and economic corridors by March 2025. Roads
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Sectoral Growth Drivers Source: ICEMA, IBEF, Mordor Intelligence, Indian Companies.in, The Hindu , ToI other published /public domain 8 • 100 multimodal cargo terminals will be developed by FY26 to attract investments of a ~₹6,000 crore & handle over 1 million tonnes of cargo per terminal, enhance India's multimodal logistics capabilities. • The Indian logistics valued at $228.4 Bn in 2024 and is projected to reach $428.7 Bn by 2033. • The government's focus on deeper penetration into smaller towns is expected to enhance connectivity in goods movement, boost economic activity for better logistics and support MSMEs for improved supply chain. Logistics • The Sagarmala Programme has identified 839 projects worth approximately ₹5.79 lakh crore for implementation by 2035. • The Ministry aims to complete projects worth ₹2 lakh crore in FY26 under Sagarmala Programme. • Over 310 projects worth ₹26,000 crore are focused on improving infrastructure and benefiting coastal communities, including fishermen • India has plans to invest US$ 82 billion in port projects by 2035. Ports • The Ministry of Agriculture & Farmers Welfare allocated ₹1.37 lakh crore in FY26 budget. • The Indian agricultural tractor market is projected to reach USD 7.92 billion in 2025 and grow to USD 10.95 billion by 2030, reflecting a CAGR of 6.7% during the forecast period • The agricultural machinery market in India, encompassing tractors and other equipment is expected to reach ₹1.66 trillion by FY29, growing at a CAGR of approximately 6.69% Agriculture • Supportive government policies to build Logistics Parks and Free Trade Warehousing Zones (FTWZs) aims to reduce logistics costs and improve competitiveness. • The warehousing market in India valued at $60.42 Bn in 2024 and is projected to grow at a CAGR of 10.5% from 2025 to 2034, reaching USD 163.98 billion by 2034 • Indian warehousing and logistics sector is expected to attract ~$10 Bn investments over the next 4-5 years. Warehousing • Defense sector allocated ₹ 6,81,210 lakh crore in union budget 2025-26 reflecting a notable increase from last year’s ₹ 6.21 lakh crore. • ₹1.48 lakh crore is planned to be spent on Capital Acquisition (modernization budget) of Armed Forces and remaining ₹3.1 lakhs crore on Research & Development and infrastructural. This capital allocation has increased by 4.65% compared to previous fiscal year , • Emphasis on Domestic Procurement with ₹1.12 lakh crore (75% of the modernization budget) and private Sector Share ₹27,886 crore (25% of domestic procurement) Defense
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FINANCIAL OVERVIEW Q4-FY25/FY25 9
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Q4-FY25/FY25 Financial & Operational Highlights 10 *Total Income includes Other Income Q4-FY25/FY25 Operational Highlights INR 34,274 Mn Total Income* 14.6% YoY INR 6,061 Mn EBITDA 26.2% YoY 17.68% EBITDA Margin 162 Bps YoY INR 4,092 Mn PAT 24.7% YoY 11.94% PAT Margin 97 Bps YoY INR 34.37/Share Diluted EPS 24.7% YoY INR 9,694 Mn Total Income* 13.1% YoY INR 1,721 Mn EBITDA 14.3% YoY 17.75% EBITDA Margin 17 Bps YoY INR 1,186 Mn PAT 20.4% YoY 12.23% PAT Margin 73 Bps YoY INR 9.96/Share Diluted EPS 20.4% YoY FY25 Financial Highlights (Consolidated) Q4-FY25 Financial Highlights (Consolidated) Highest ever Quarterly & Yearly Revenue and Profits in the history of the Company. Sustained growth trajectory in Q4-FY25: • Total Income grew by 13.1% on YoY basis and 7.1% on QoQ basis. • Margin Growth: EBIDTA expands by 17 bps, PBT increased by 105 bps, PAT grew by 73 bps on YoY basis. • The sustained margin profile was led by better realisations, favourable product mix along with efficient cost control measures. • Received our single largest order of Rs. 420 crores from MoD for supplying 1,121 Rough Terrain Forklifts (Telehandlers) to the Indian Army. On a yearly basis: Cranes, Material Handling & Construction equipment Volumes grew by 14.75% YoY , Revenue grew by 15.70% YoY. Going forward, anticipate a subdued start to current FY due to ongoing geopolitical issues, tariff related conflicts, CEV-5 (BS-5) emission norms with cost implications and the seasonal monsoon impact. At the current juncture, 14-15% revenue growth expected for FY 26.
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Segment wise - Quarterly Sales Volume 550 1,016 563 Q4-FY24 Q3-FY25 Q4-FY25 Agri Equipment 3,558 3,539 4,007 Q4-FY24 Q3-FY25 Q4-FY25 Cranes, Material Handling & Construction Equipment
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Segment wise - Yearly Sales Volume 3,667 2,946 2,794 FY-23 FY-24 FY-25 Agri Equipment* 8,643 11,643 13,360 FY-23 FY-24 FY-25 Cranes, Material Handling & Construction Equipment *We discontinued Rotavators manufacturing in H2-FY 24
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Particulars (INR Mn) Q4-FY25 Q4-FY24 Y-o-Y Q3-FY25 Q-o-Q Total Income* 9,694 8,568 13.1% 9,053 7.1% Total Expenses 7,973 7,062 12.9% 7,402 7.7% EBITDA 1,721 1,506 14.3% 1,651 4.2% EBITDA Margins (%) 17.75% 17.58% 17 Bps 18.24% -49 Bps Depreciation 73 67 9.0% 72 1.4% Finance Cost 39 107 -63.6% 84 -53.6% PBT 1,609 1,332 20.8% 1,495 7.6% Tax 423 347 21.9% 378 11.9% Profit after Tax 1,186 985 20.4% 1,117 6.2% PAT Margins (%) 12.23% 11.50% 73 Bps 12.34% -11 Bps EPS (Diluted INR) 9.96 8.27 20.4% 9.38 6.2% Quarterly Consolidated Financial Performance 13 *Total Income includes Other Income
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Particulars (INR Mn) FY-25 FY-24 Y-o-Y Total Income* 34,274 29,909 14.6% Total Expenses 28,213 25,106 12.4% EBITDA 6,061 4,803 26.2% EBITDA Margins (%) 17.68% 16.06% 162 Bps Depreciation 283 232 22.0% Finance Cost 287 232 23.7% PBT 5,491 4,339 26.5% Tax 1399 1,057 32.4% Profit after Tax 4,092 3,282 24.7% PAT Margins (%) 11.94% 10.97% 97 Bps EPS (Diluted INR) 34.37 27.56 24.7% YTD Consolidated Financial Performance 14 *Total Income includes Other Income
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Particulars (INR Mn) FY-22 FY-23 FY-24 FY-25 Total Income* 16,404 22,008 29,909 34,274 Total Expenses 14,782 19,387 25,106 28,213 EBITDA 1,622 2,621 4,803 6,061 EBITDA Margins (%) 9.89% 11.91% 16.06% 17.68% Depreciation 154 180 232 283 Finance Cost 95 103 232 287 PBT 1,373 2,338 4,339 5,491 Tax 323 608 1,057 1399 Profit after Tax 1,050 1,730 3,282 4,092 PAT Margins (%) 6.40% 7.86% 10.97% 11.94% Other Comprehensive Income (3) 0 (2) 0 Total Comprehensive Income 1,047 1,730 3,280 4,092 EPS (Diluted INR) 9.02 14.41 27.56 34.37 Historical Consolidated Financial Performance 15 * Total Income includes Other Income
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Historical Consolidated Balance Sheet Equities & Liabilities (INR Mn) FY-23 FY-24 FY-25 (A) Share Capital 238 238 238 (B) Other Equity 8,948 12,060 15,909 Non Controlling Interest 16 17 17 Total - Shareholder Funds 9,202 12,315 16,164 Non Current Liabilities (A) Financial Liabilities (i) Borrowings - - - (ii) Lease Liabilities 7 2 13 (B) Provisions 27 32 38 (C) Deferred tax liabilities (Net) 133 97 78 Total - Non – Current Liabilities 167 131 129 Current Liabilities Financial Liabilities (i) Borrowings 62 39 148 (ii) Trade Payables 5,009 6,880 8,086 (iii) Other Financial Liabilities 231 414 318 (iv) Lease Liabilities 6 4 4 (D) Other current liabilities 1,296 1,801 2,044 (E) Provisions 25 38 47 (F) Current tax liabilities (Net) - 70 169 Total – Current Liabilities 6,629 9,246 10,816 Total Equity and Liabilities 15,997 21,692 27,109 Assets (INR Mn) FY-23 FY-24 FY-25 (A) Property plant & Equipment 4,723 5,595 6,967 (B) Capital Work in Progress 244 436 277 (C) Right-of-Use Assets 12 5 16 (D) Investment properties 115 164 150 (E) Intangible assets 25 31 26 (F) Intangible assets under development - - 9 (G) Financial assets (i) Investments 1,367 2,245 5,426 (ii) Other financial assets 348 110 97 (H) Other non-current assets 41 368 904 (I) Deferred tax assets - 6 6 (J) Non- Current tax assets (Net) 7 4 5 Total - Non – Current Assets 6,882 8,964 13,883 Current Assets (A) Inventories 4,185 5,534 5,151 (B) Financial assets (i) Investments 2,119 3,696 3,756 (ii) Trade receivables 1,693 1,643 2,647 (iii) Cash and cash equivalents 215 482 488 (iv) Bank balances other than (iii) above 275 622 66 (v) Loans 7 8 9 (vi) Other current financial assets 78 94 117 (C) Other Current Assets 543 649 942 9,115 12,728 13,176 Assets held for sale - - 50 Total current assets 9,115 12,728 13,226 Total Assets 15,997 21,692 27,109 16
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Key Consolidated Financial Highlights 17 16,404 22,008 29,909 34,274 FY22 FY23 FY24 FY25 Total Income* (INR Mn) 38 26 18 - FY22 FY23 FY24 FY25 Working Capital Days -0.20 -0.43 -0.55 -0.59 FY22 FY23 FY24 FY25 Net Debt to Equity (x) 23.40% 27.60% 42.90% 40.59% FY22 FY23 FY24 FY25 Return on Capital Employed 1,050 1,730 3,282 4,092 6.40% 7.86% 10.97% 11.94% FY22 FY23 FY24 FY25 PAT and PAT Margins (INR Mn) 1,622 2,621 4,803 6,061 9.89% 11.91% 16.06% 17.68% FY22 FY23 FY24 FY25 EBITDA and EBITDA Margins (INR Mn) * Total income includes other income
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Capital Market Data Promoter 65% FIIs 12% DIIs 2% Public 21% Price Data (As on 31st March, 2025) Face Value (INR) 2.0 Market Price (INR) 1,257.65 52 Week H/L (INR) 1,693.1/917.1 Market Cap (INR Mn) 1,49,765.0 Equity Share Outstanding (Mn) 119.1 1 Year Avg. Daily Trading Volume ('000) 441.7 Shareholding pattern (As on 31st March, 2025) 18 -40% -30% -20% -10% 0% 10% 20% Apr 24 May 24 Jun 24 Jul 24 Aug 24 Sep 24 Oct 24 Nov 24 Dec 24 Jan 25 Feb 25 Mar 25 Stock Market Performance (as on 31st March, 2025) ACE Sensex
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Disclaimer Certain statements in this document may be forward-looking statements. Such forward-looking statements are subject to certain risks and uncertainties like regulatory changes, local political or economic developments, and many other factors that could cause our actual results to differ materially from those contemplated by the relevant forward-looking statements. Gravita India will not be in any way responsible for any action taken based on such statements and undertakes no obligation to publicly update these forward-looking statements to reflect subsequent events or circumstances. Disclaimer Action Construction Equipment Limited No representation or warranty, express or implied, is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Such information and opinions are in all events not current after the date of this presentation. Certain statements made in this presentation may not be based on historical information or facts and may be "forward looking statements" based on the currently held beliefs and assumptions of the management of Action Construction Equipment Limited, which are expressed in good faith and in their opinion reasonable, including those relating to the Company’s general business plans and strategy, its future financial condition and growth prospects and future developments in its industry and its competitive and regulatory environment. Forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, financial condition, performance or achievements of the Company or industry results to differ materially from the results, financial condition, performance or achievements expressed or implied by such forward-looking statements, including future changes or developments in the Company’s business, its competitive environment and political, economic, legal and social conditions. Further, past performance is not necessarily indicative of future results. Given these risks, uncertainties and other factors, viewers of this presentation are cautioned not to place undue reliance on these forward-looking statements. The Company disclaims any obligation to update these forward-looking statements to reflect future events or developments. This presentation is for general information purposes only, without regard to any specific objectives, financial situations or informational needs of any particular person. This presentation does not constitute an offer or invitation to purchase or subscribe for any securities in any jurisdiction, including the United States. No part of it should form the basis of or be relied upon in connection with any investment decision or any contract or commitment to purchase or subscribe for any securities. None of our securities may be offered or sold in the United States, without registration under the U.S. Securities Act of 1933, as amended, or pursuant to an exemption from registration there from. This presentation is confidential and may not be copied or disseminated, in whole or in part, and in any manner. Valorem Advisors Disclaimer: Valorem Advisors is an Independent Investor Relations Management Service company. This Presentation has been prepared by Valorem Advisors based on information and data which the Company considers reliable, but Valorem Advisors and the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Presentation is expressly excluded. Valorem Advisors also hereby certifies that the directors or employees of Valorem Advisors do not own any stock in personal or company capacity of the Company under review. For further details, please feel free to contact our Investor Relations Representatives: Mr. Anuj Sonpal Valorem Advisors Tel: +91-22-49039500 Email: ace@valoremadvisors.com 19
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ACE- Lifting India’s Growth Action Construction Equipment Ltd. Dudhola Link Road, Dudhola Palwal (Haryana)-121102 INDIA Board : 01275-280111, 280220 Web : www.ace-cranes.com