ACE Reports Best-Ever Q2 Results for FY25

Key Highlights:

• ACE achieved its best July-September quarter in FY25, with a 14.5% rise in revenue.
• Operational revenue reached Rs. 754.34 crores, with an EBITDA margin of 18.04%.
• The Cranes and Construction Equipment segment earned Rs. 693.07 crores, with a 9% rise in unit sales.
• The Agri Equipment Division brought in Rs. 61.27 crores, supported by favorable water levels and credit access.
• ACE's outlook remains strong, driven by government infrastructure investments.

Action Construction Equipment (ACE) has announced strong financial results for the second quarter of FY25, marking its best July-September quarter performance. The company reported a 14.5% increase in revenue compared to last year, showing a high rise in profitability.

Operational Revenue Reaches Rs. 754.34 Crores

ACE’s operational revenue rose to Rs. 754.34 crores, an increase of 12.2% year-over-year. EBITDA margins expanded by 268 basis points to 18.04%, with EBITDA climbing to Rs. 142.19 crores—a 34.47% rise from last year's Rs. 105.74 crores.

Strong Performance in Cranes, Material Handling & Construction Equipment

The core business segment of Cranes, Material Handling, and Construction Equipment achieved revenue of Rs. 693.07 crores, marking a 13.11% increase from Q2 FY24. The company sold 2,863 units, up by 9% from the previous year.

Growth in the Agri Equipment Division

The Agri Equipment division generated revenue of Rs. 61.27 crores, with a margin of 3.85%. ACE anticipates higher demand in this sector due to positive factors like good water reservoir levels and better access to consumer credit.

Comments from Management

Sorab Agarwal, ACE's Executive Director, credited the growth to the company’s strategic approach and brand strength. He highlighted the team’s ability to balance growth with sound financial management, supporting capacity expansions with advanced technology.

First Half FY25 Results

For the first half of FY25, ACE reported a 12.5% growth in revenue, reaching Rs. 1,488 crores. The company’s EBITDA grew by 31.72% to Rs. 267.7 crores, and PAT rose by 26.32% to Rs. 178 crores.

Positive Industry Outlook with Government Support

ACE is optimistic about the future, supported by the government’s focus on infrastructure. The Union Budget allocated Rs. 11.11 lakh crores for capital expenditure. As a result, it will boost the demand for construction equipment. Investments in roads and railways also position ACE to benefit from India’s infrastructure push.

Also Read: Action Construction Equipment (ACE) Predicts Strong Revenue Growth Despite Election and Monsoon Challenges

CMV360 Says

ACE’s exceptional Q2 results underscore its growth potential and strong market position. With a favorable outlook for infrastructure and agriculture, ACE appears well-prepared to maintain its momentum. The company's strategic expansion and alignment with government initiatives make it a vital player in India’s path to becoming a developed economy by 2047.