Uni Abex Alloy - Uni Abex Alloy

📊 BSE: 504605 🏢 Iron & Steel Products 📅 Last Updated: 11/13/2025 15:25

💰 Financial Performance

Revenue Growth by Segment

Total income grew by 8.65% YoY, reaching INR 200.07 Cr in FY 2025 compared to INR 184.14 Cr in FY 2024. Segment-specific growth percentages for decanters versus reformer tubes were not disclosed.

Geographic Revenue Split

Not disclosed in available documents, though the company highlights an expanding international footprint with recent participation in industry events in Tulsa, Oklahoma, USA.

Profitability Margins

Operating Profit Margin declined to 25% in FY 2025 from 28% in FY 2024. Net Profit Margin also decreased to 17% from 20% in the previous year. Return on Net Worth dropped to 24% from 31% YoY.

EBITDA Margin

EBITDA Margin was 25.47% in FY 2025, with absolute EBITDA at INR 50.97 Cr, representing a 4.54% decrease from INR 53.39 Cr in FY 2024.

Capital Expenditure

The Company has approved a significant capital outlay of INR 85 Cr to strengthen production and operational capabilities, which represents approximately 42% of its current annual revenue.

Credit Rating & Borrowing

The company has not issued debt instruments or invited fixed deposits, so no credit ratings were obtained. However, the Debt-Equity ratio improved to 0.08 in FY 2025 from 0.15 in FY 2024, indicating very low leverage.

⚙️ Operational Drivers

Raw Materials

Key raw materials include non-ferrous metals such as Nickel and Aluminium, along with composite-clad, precious, and refractory materials. Specific percentage of total cost for each was not disclosed.

Import Sources

Not specifically disclosed, though the company mentions exposure to foreign exchange risks for material imports, suggesting international sourcing.

Key Suppliers

Not disclosed; however, the company utilizes a strategy of sourcing from multiple suppliers to ensure supply continuity and cost-effective procurement.

Capacity Expansion

Current installed capacity is not specified in MT, but the company has committed INR 85 Cr for expanding production and operational capabilities to drive long-term growth.

Raw Material Costs

Raw material price volatility is identified as a key risk. To mitigate this, the company sources from multiple vendors and focuses on cost optimization and process improvement.

Manufacturing Efficiency

Inventory Turnover Ratio improved to 2.26 in FY 2025 from 1.96 in FY 2024. Interest Coverage Ratio remains high at 65.86, though it decreased from 84.93 YoY.

Logistics & Distribution

Not disclosed as a specific percentage of revenue.

📈 Strategic Growth

Expected Growth Rate

5.36%

Growth Strategy

Growth will be achieved through a INR 85 Cr capital investment in production facilities, expanding the international footprint (e.g., USA market), and focusing on high-performance alloys for emerging sectors like semiconductors, aerospace, and renewable energy.

Products & Services

Premium alloy steel castings including decanters, reformer tubes, radiant tubes, retort tubes, air injection tubes, tube support castings, tube sheets, and header assemblies.

Brand Portfolio

Uni Abex, Neterwala Group.

New Products/Services

Focus on next-generation alloys for aircraft technology and high-temperature applications; specific revenue contribution percentages for new launches were not disclosed.

Market Expansion

Expanding international footprint with a focus on the North American market, evidenced by sponsorship and exhibition at CRU Nitrogen + Syngas USA 2025 in Tulsa.

Market Share & Ranking

Recognized as a leading manufacturer of centrifugal castings in India; specific market share percentage not disclosed.

Strategic Alliances

Part of the Neterwala Group; no specific new JVs were mentioned in the documents.

🌍 External Factors

Industry Trends

The global high-performance alloy market is projected to grow from USD 10.99 billion in 2024 to USD 18.52 billion by 2034. Trends include additive manufacturing, high-temperature alloys, and sustainable manufacturing practices.

Competitive Landscape

Competes in the global centrifugal casting market (USD 1.5 billion size) against manufacturers serving automotive, aerospace, and industrial machinery sectors.

Competitive Moat

Durable advantages include a 50-year legacy, specialized expertise in heat/wear/corrosion-resistant alloys, and leadership in centrifugal castings for critical applications like reformer tubes.

Macro Economic Sensitivity

Sensitive to India's GDP growth (6.5% in FY 2025) and global aircraft technology advancements. Tax relief in the Union Budget 2025-26 is expected to boost domestic consumption.

Consumer Behavior

Shift toward environmentally conscious manufacturing and demand for next-generation, high-durability aircraft components.

Geopolitical Risks

Monitors global tariff environments and benefits from the 'China+1' strategy and 'Make in India' campaign which boost manufacturing confidence.

⚖️ Regulatory & Governance

Industry Regulations

Compliance with SEBI (LODR) Regulations 2015 and SEBI (Depositories and Participants) Regulations 2018. Adherence to industry-approved welding procedures and high-performance alloy standards.

Environmental Compliance

Facing increased pressure from tightening regulations regarding emissions and waste management, which may lead to higher operational costs.

Taxation Policy Impact

Benefits from tax relief measures in the Union Budget 2025-26; specific effective tax rate not disclosed.

Legal Contingencies

The company reported no instances of non-compliance and no penalties or strictures imposed by stock exchanges or SEBI during the last three years.

⚠️ Risk Analysis

Key Uncertainties

Unexpected shifts in the economic environment and volatility in raw material prices are the primary business risks.

Geographic Concentration Risk

95.40% of equity capital is dematerialized, but geographic revenue concentration is not specified; however, there is a noted push toward the US market.