Indo Farm Equipment Ltd

Financial Performance

• Revenue from operations: ₹104.93 crore; YoY growth 14.98%.
• EBITDA: ₹13.09 crore; YoY growth 10.84%.
• Tractor segment revenue: ₹52.08 crore; YoY growth 36.29%.
• Crane segment revenue: ₹52.86 crore; v/s ₹53.05 crore; almost flat YoY.

Guidance and Outlook

• FY27 revenue growth guidance: around 20-25%.
• Tractor revenue growth: around 25-30%.
• Crane revenue growth: around 15-20%.
• Standalone EBITDA margin guidance: 12.5-13%.

Projects and Capacity

• Bhud site: civil work in full swing; commercial production by November.
• Tower crane: prototype tested; production planned in current year.
• New plant crane capacity: 3,600; commercial production to begin November.
• Old plant partial production for tower cranes continues while new plant scales.

Q&A Highlights

• Q2 pass-through on crane costs expected as demand improves.
• Tower crane: first lot of 10 machines to be completed this quarter; October delivery.
• Machinery arrival: start receiving in October; installation in October.
• Crane dealer expansion: roadmap to appoint ~60 dealers; six months to a year after new plant starts.
• FY27 standalone EBITDA margin guidance: 12.5-13%.

Operations and Channel

• Dealer network: ~250 total; ≈225 tractors, ≈25 cranes.
• Tractor utilization: ~35-40%; crane machine-shop utilization 80-85%.
• Tractor capacity: ~12,000; not being increased now.
• New crane plant utilization: ~30% in year 1; ramp thereafter.

Meeting Details

• Date and time: August 12, 2026, 04:00 P.M. IST
• Type and mode: virtual earnings call with analysts/investors
• Organiser: Indo Farm Equipment Limited
• Purpose: discuss Q1 FY2027 unaudited results
• Availability: audio recording of the earnings call on website

Participants

• Key company participants: Company Secretary & Compliance Officer

Business Overview

• India-based manufacturer of pick-and-carry cranes (9–30 t) and tractors (16–110 HP).
• Manufactures at Baddi, Himachal Pradesh, under Indo Farm and Indo Power brands.
• Exports to 30+ countries; dealer network includes 225 tractor and 25 crane dealers.
• 100+ acres land bank and 65+ acres existing/upcoming facilities.

Operational Highlights

• Bhud Site, Baddi crane project: civil work in progress; commercial production expected this FY.
• Civil construction for main shed and PEB at Bhud Site progressing; production expected in current FY.
• Technology acquired from China; first Tower Crane prototype developed and validated.
• Production-ready status; testing complete; ready for commercial production in current FY.
• Wholly owned NBFC Barota to finance tractors and equipment; loan book about ₹135 Crores.
• Barota serves 5,000+ active customers; aims to diversify into other verticals.
• In-house manufacturing of core components (engines, hydraulics) improving quality and cost control.
• Industry outlook: tractors 6-7% CAGR; construction equipment 5-7% CAGR.

Financial Performance

• Q1FY27 revenue from operations ₹11,024.3 lakhs; YoY growth 14.5%.
• Q1FY27 EBITDA ₹1,551.35 lakhs; EBITDA margin 14.07%.
• Q1FY27 PAT ₹565.74 lakhs; PAT margin 5.13%.
• FY25-26 revenue ₹44,002.05 lakhs; EBITDA ₹6,461.82 lakhs; PAT ₹2,469.35 lakhs.
• FY25-26 total income ₹44,656.20 lakhs; EBITDA margin 14.69%; PAT margin 5.61%.

Capital Structure & Liquidity

• Barota NBFC loan book ~₹135 crores; 5,000+ active customers.
• Barota RBI-registered, non-deposit taking; wholly owned subsidiary.

Strategy & Outlook

• Strategic focus on capacity utilization to improve fixed-cost absorption and margins.
• New crane project supports construction equipment growth and market expansion.
• Capex aligned to domestic manufacturing; stronger in-house component production.
• Growth drivers: farm mechanization, infrastructure spending, subsidies, rural credit.
• R&D and partnerships driving product innovation and expansion into advanced equipment categories.

Governance & Leadership

• Barota NBFC established to finance equipment; governance expansion via subsidiary.
• Management emphasises in-house manufacturing for quality control and efficiency.

Issue overview

• IPO in equity shares; fully subscribed; main objects include crane expansion, debt repayment, NBFC investment, GCP.
• Net proceeds available for utilisation as disclosed; no revision to total proceeds reported.

Utilisation of proceeds

• Utilisation is as per Offer Document; no material deviations observed.
• Object 1: 25.40 crore utilised; 44.67 crore unutilised; ongoing due to land-related delays.
• Objects 2 and 3: Fully utilised in March 2025 quarter.
• Object 4 (GCP): 2.87 crore utilised; 0.12 crore unutilised.
• Unutilised funds parked in fixed deposits and IPO monitoring account; funds continue to be invested.

Governance and compliance

• All requisite statutory approvals (listing) obtained from BSE and NSE.
• No material adverse events or disputes reported that affect viability.
• Monitoring Agency certifies true and fair view; no audit performed by MA.

General Corporate Purpose (GCP)

• GCP allocated: Rs 2.99 crore; Rs 2.87 crore utilised; Rs 0.12 crore unutilised.
• Board approval for GCP allocation is not explicitly stated in the report.

Financial Highlights

• Standalone Q1 FY27 Total Income: 10,583.93 lakhs.
• Standalone Q1 FY27 Revenue from Operations: 10,493.21 lakhs.
• Standalone Q1 FY27 PBT: 705.92 lakhs.
• Standalone Q1 FY27 PAT: 505.76 lakhs.
• Standalone Q1 FY27 Basic EPS: 1.05; Diluted EPS: 1.05.
• Consolidated Q1 FY27 Total Income: 11,129.35 lakhs.
• Consolidated Q1 FY27 Revenue from Operations: 11,024.30 lakhs.
• Consolidated Q1 FY27 PBT: 783.81 lakhs.
• Consolidated Q1 FY27 PAT: 565.74 lakhs.
• Consolidated Q1 FY27 Basic EPS: 1.18; Diluted EPS: 1.18.

Governance & AGM

• Board approved unaudited standalone and consolidated results for quarter ended June 30, 2026.
• Internal Auditor appointed: Mr. Saravjit Singh, FY2026-27 to FY2028-29.
• 26th AGM notice approved; annual report to be submitted to stock exchanges.
• Statutory auditors issued unmodified Limited Review opinions on standalone and consolidated results.

IPO Proceeds & Utilisation

• IPO: 2,540.00 lakh utilized for crane expansion.
• IPO: 5,000.00 lakh utilized for debt repayment.
• IPO: 4,500.00 lakh utilized for Barota Finance.
• IPO: 286.90 lakh utilized for general corporate purposes.
• IPO: Unutilized amount as of 30 Jun 2026: 4,467.00 lakh.

Meeting Details

• Date and time: Wednesday, August 12, 2026 at 04:00 PM IST.
• Mode: virtual group meeting for investors and analysts.
• Event: earnings conference call.

Participants

• Key company participants: not specified in filing.

Purpose

• Discuss company financial performance for quarter ended June 30, 2026.

Dematerialisation processing and record updates

• Dematerialisation requests processed; confirmations issued to depositories and listings updated at exchanges.
• Mutilated dematerialisation certificates were cancelled after verification.
• Depository name substituted as registered owner in the records.
• Register of Members updated accordingly.

FY26 results

• Q4 FY26 revenue rose 2.73% YoY to ₹128.58 crore.
• Q4 FY26 EBITDA rose 0.57% YoY to ₹17.47 crore.
• FY26 turnover rose 14.39% YoY to ₹419.54 crore.
• FY26 EBITDA rose 6.98% YoY to ₹53.50 crore.
• Tractor revenue rose 42.85% YoY to ₹201.45 crore in FY26.
• Crane revenue fell about 3% YoY to ₹218.09 crore in FY26.

FY27 outlook

• Management expects FY27 revenue growth of 20–25%.
• Tractor revenue is expected to grow 25–30% in FY27.
• Existing crane plant revenue is expected to grow 15–20% in FY27.
• FY27 operating EBITDA margin is expected around 12.5%.
• Tractor steady-state EBIT margin was guided at around 10%.
• Other costs are expected to hover around 11–12% of revenue.

Capacity and projects

• Tractor dealer network increased by 23 dealers to 225-plus.
• Crane dealer network is 25-plus dealers.
• Bhud pick-and-carry crane project may start commercial production in Q2 FY27.
• Tower crane trials are complete; commercial production is planned to begin in Q2.
• Tower crane capacity is initially 240–250 machines annually.
• Total capex for pick-and-carry and tower crane projects is about ₹70-plus crore.
• About ₹25 crore capex has already been spent.

Q&A Highlights

• Analysts asked about tractor volumes; management said FY26 tractor sales were 3,006 units.
• Analysts asked about crane volumes; management said FY26 crane sales were 1,003 units.
• Analysts asked about crane de-growth; management cited emission norm transition from Term III to Term V.
• Analysts asked about crane margins; management said higher engine-upgrade costs and steel inflation hurt realizations.
• Analysts asked about tower crane orders; management said a small single-digit order book exists from North India.
• Analysts asked about tower crane margins; management said margins will start low and improve over time.
• Analysts asked about working capital; management said inventory should normalize below 200 days by FY28–29.
• Analysts asked about exports; management said FY26 exports were ₹21 crore and a German trial order was received.

Meeting Details

• Board meeting scheduled for Thursday, May 21, 2026.

Key Agenda Items

• Consider, approve, and take on record audited standalone and consolidated financial results.
• Results cover the quarter and financial year ended March 31, 2026.

Other Notes

• Trading window was closed from April 1, 2026, and reopens 48 hours after results declaration.