Steel Sector Company Reports 17.4 Per Cent Q4 Revenue Growth, Declares Rs 0.43 Per Share Dividend, Maintains Strong Margins and Expands Bokaro Facility To Boost Steel Output Under PLI Scheme

Despite a 1-year return of -8.84 per cent, the stock has delivered a 3-year return of 105.98 per cent.

BMW Industries Limited, a key player in the steel processing sector, has reported robust financial results for the fiscal year ending March 31, 2025. In the fourth quarter (Q4 FY25), the company recorded a total income of Rs 16,152 lakhs, representing a 17.4 per cent increase over the same quarter in the previous year. The EBITDA for the quarter stood at Rs 3,776 lakhs, translating to an EBITDA margin of 23.4 per cent. Profit after tax (PAT) came in at Rs 1,762 lakhs, with a PAT margin of 10.9 per cent, reflecting the company’s operational efficiency and consistent performance.

The board has proposed a dividend of Rs 0.43 per share, subject to shareholder approval. As of March 2025, BMWIL’s net debt was reported at Rs 12,077 lakhs. The net debt to EBITDA ratio stood at 0.77, indicating a stable and manageable debt profile in relation to its earnings.

Commenting on the results, Mr. Ram Gopal Bansal, Chairman, BMW Industries Limited said: “We are pleased to inform you that BMW Industries Ltd. has maintained steady progress in FY25. The Company reported a Total Income of Rs 63,869 lakhs in FY25. Profit After Tax for the year stood at Rs 7,505 lakhs, with a margin of 11.8 per cent, reflecting robust growth of 17.7 per cent compared to the previous fiscal.

We are also delighted to announce that the Board has recommended a final dividend of 43 paise per share, subject to shareholder approval. Two key developments stand out this year, marking a critical juncture in the Company’s growth journey. The Company has renewed several contracts with long-standing customer. These contracts extend through FY29 and stand as a testament to the enduring trust placed in us by one of India’s most distinguished industrial institutions. This engagement further consolidates our position as a reliable and value-accretive partner in the steel value chain.

Concurrently, the Company has begun investments towards a Greenfield downstream steel processing complex in Bokaro, Jharkhand, focused on the ‘Coated/Plated Steel’ category. With an investment of ₹803 crore, the strategically located facility is set to commence Phase 1 operations towards the end of FY26. We are also honoured to be qualified under the PLI Scheme 1.1 of the Honourable Ministry of Steel, Government of India, for this downstream investment. BMW Industries stands at an inflection point in its journey. Historically anchored in the value-added conversion business, the Company is now transitioning towards a diversified model, blending established processing strengths with proprietary downstream processing. This shift represents not just a broadening of our revenue streams, but a structural transformation in the way we operate and create value.

We are extremely energised by the future, as the Company leverages its capabilities. While this transition may be gradual, it sets the foundation for long-term sustainable growth. We remain committed to disciplined execution, prudent capital allocation, and delivering long-term value for our stakeholders.”

BMW Industries Limited, incorporated in 1981, is a Small-Cap company and a leading steel processor in India. It operates manufacturing units across West Bengal and Jharkhand, producing a wide range of steel products including HRPO coils, CR coils, GP coils, GC sheets, MS and GI pipes, and TMT rebars. The company runs one of the country’s largest independent cold rolling and galvanizing facilities and is currently expanding its capacity with a new downstream steel complex in Bokaro, Jharkhand. The upcoming facility will manufacture cold rolled, galvanized, and color-coated coils and sheets, leveraging its strategic location for port access and raw material procurement.

BMWIL has strong ties with Large-Cap steel majors such as Tata Steel and SAIL and is a beneficiary of the government’s Production Linked Incentive (PLI) Scheme for specialty steel.

As of May 16, 2025, the stock trades at Rs 56.13, with a 52-week high of Rs 77.29 and a 52-week low of Rs 40.71. Despite a 1-year return of -8.84 per cent, the stock has delivered a 3-year return of 105.98 per cent, qualifying it as a multibagger over the medium term. The stock trades at a PE ratio of 16.01, with a market capitalization of Rs 1,263 crore. Key public shareholders include Merrit Fintrade Pvt Ltd (3.85 per cent) and Tirupati Commosales Private Limited (3.33 per cent).

Disclaimer: The article is for informational purposes only and not investment advice.