Technocraft Industries Faces Tariff Headwinds in US Market, Domestic Formwork Business Remains Strong
Technocraft Industries reported stable Q1 results despite US tariff increases affecting its scaffolding business, with US sales declining 35% quarter-on-quarter. The scaffolding segment faces a 23% tariff, potentially rising to 34%. The formwork business (Mach One) showed robust growth, with expected revenue of INR 900 crores this fiscal year. The company is diversifying geographically to mitigate US market risks, exploring opportunities in Saudi Arabia, South America, and Japan. The textile division faces potential 50% tariffs on US exports. Management remains cautious about providing guidance for the scaffolding business due to evolving tariff situations.
Technocraft Industries released its Q4 financial results, showing significant growth across key metrics. Net profit increased by 20.20% to ₹660.00 crore, while revenue grew by 18.00% to ₹7,000.00 crore. EBITDA rose by 30.80% to ₹1,100.00 crore, with the EBITDA margin expanding to 15.71%. The company also announced a dividend of ₹20 per equity share.