SKF India Shares Jump 9% After Strong Q4FY25 Results and Dividend Announcement

SKF India shares surged nearly 9% on May 16, after the company announced strong Q4 FY25 results and a generous final dividend. The rally resulted from solid profitability, improved margins, and operational efficiency, boosting investor confidence.

Market Performance

On Friday, SKF India shares touched an intraday high of ₹4,685.90, reflecting renewed market optimism. Despite the uptick:

• The stock remains 36% below its 52-week high of ₹7,349 (June 2024).
• It has rebounded 32% from its 52-week low of ₹3,544 (February 2025).
• Monthly performance indicates a recovery trend:
  • March 2025: +4.3%
  • April 2025: +1%
  • May 2025 (so far): +18%

Despite recent gains, SKF India shares are still down 19% year-on-year.

Q4FY25 Financial Highlights

SKF India delivered a robust financial performance for the quarter ended March 2025.

Revenue

• ₹1,213.4 crore, up slightly from ₹1,203.4 crore in Q4FY24.

EBITDA

• ₹284 crore, a 33% YoY increase from ₹213 crore.
• Sequentially, EBITDA more than doubled from ₹121 crore in Q3FY25.

EBITDA Margins

• Gross margin expanded to 49%, compared to:
  • 41% in Q4FY24
  • 33% in Q3FY25

Net Profit

• Stood at ₹275.65 crore, a 20% YoY growth from ₹230 crore.

Expenses

• Total expenses reduced to ₹950.8 crore, down from ₹1,009.16 crore in the same quarter last year.

Dividend Declaration

In line with its shareholder-friendly approach, SKF India's board has recommended a final dividend of ₹14.5 per share, for the financial year concluding on 31 March 2025.

About SKF India

Founded in 1923, SKF India has evolved into a comprehensive engineering solutions provider. Key operational highlights:

• Works across five major platforms:
  • Bearings & Units
  • Seals
  • Lubrication Systems
  • Condition Monitoring
  • Maintenance Services
• Focuses on reducing friction, enhancing energy efficiency, and extending equipment life.
• Infrastructure includes:
  • 6 manufacturing units
  • 12 offices
  • 450+ distributors
  • 1,700+ employees

Its diverse presence underlines its role as a main player in the automotive and industrial sectors.

Summary

SKF India shares rallied behind a strong Q4 performance, improved margins, and a substantial dividend. While still trading below its peak, the recent uptrend shows promising signs of recovery. Backed by a solid legacy and operational scale, SKF India continues to make its mark in India's engineering and industrial landscape.