Beekay Steel sees revenue rise, profit fall despite expansion optimism

Beekay Steel Industries Limited reported a 7.58% increase in revenues to INR 1076.35 Cr for FY 2024-25. However, net profit declined by 32% to INR 90.74 Cr from INR 132.97 Cr in the previous fiscal year. The company's EBITDA also saw a 13.15% decrease to INR 161.14 Cr compared to INR 185.54 Cr in FY 2023-24. Despite these declines, the company maintained a positive bottom-line, strengthening its net worth by 8% to INR 1018 Cr and improving its debt-equity ratio from 0.26 to 0.29.

The company is currently undertaking its largest capacity expansion, with Phase 2 estimated to cost INR 725 Cr over the next five years. This expansion is expected to boost annual revenues to INR 2600 Cr with EBITDA margins of 8-10%. Operational highlights for FY 2024-25 include an increase in rolling mill production volume to 6,63,197 Metric tons, sponge iron production of 65,606 Metric tons, and power generation of 1,28,95,400 Kwh.

The board has recommended a dividend of INR 1/- per equity share for FY 2024-25. The company will hold its 44th annual general meeting on September 22, 2025, to approve the financial statements and dividend declaration.