CG Power Q4 Results: Shares of Murugappa Group company falls 8% after margin miss

Shares of CG Power and Industrial Solutions, part of the Murugappa Group, tumbled as much as 8% after the company reported results for the January-March period, on Tuesday, May 6.

For the March quarter, CG Power reported a revenue of ₹2,753 crore, which is nearly 26% higher than the ₹2,192 revenue it reported during the same quarter last year.

CG Power’s net profit for the period also saw a 16% year-on-year rise to ₹272 crore as against ₹234 crore during the same quarter last year.

Earnings Before Interest, Tax, Depreciation and Amortisation (EBITDA) rose 22% to ₹347 crore, compared to ₹284 crore reported in the same quarter a year ago.

Meanwhile, margin contracted by 40 basis points from last year to 12.6%. Its industrial segment EBIT margin stood at 11% as against 13% last year.

The company said that margins were impacted due to investment in CG Semi and Axiro Semiconductor businesses (an impact of ₹22 crore).

CG Power: Q4 FY25 Review

Consolidated YoY

	Q4 FY25	Q4 FY24	% YoY	Q4 FY25e	%  vs est.
Revenue	2752.77	2191.72	26%	2,753	0%
Gross Profit %	29.8%	31.3%	-148
EBITDA	346.82	283.83	22%	374	-7%
EBITDA %	12.6%	13.0%	-35	13.59%	-99
Net Profit	272	234	16%	292	-7%

The topline is in-line with CNBC-TV18’s poll; however, EBITDA, Margin, and profit are lower than our estimates.

The company said that free cash flow generated for the quarter stood at ₹202 crore.

Order intake for the quarter stood at ₹3,650 crore, 20% growth year-on-year, and unexecuted order backlog as of March 31, 2025 was at ₹9,909 crore, 58% higher YoY.

Earlier in March this year, the company had declared an interim dividend of ₹199 crore (₹1.3 per share).

Following the Q4 earnings announcement, shares of CG Power and Industrial Solutions Ltd. were trading 7.57% lower at ₹587. The stock has declined over 20% so far in 2025.