INTLCONV - Intl. Conveyors

📊 NSE: INTLCONV 🏢 Miscellaneous 📅 Last Updated: 12/14/2025 8:24

💰 Financial Performance

Revenue Growth by Segment

Consolidated revenue grew 13.4% YoY to INR 151.9 Cr in FY25. Segment-wise, Conveyor Belts contributed INR 143.71 Cr, Wind Energy INR 1.45 Cr, and Trading Goods INR 6.31 Cr. Q4 FY25 revenue surged 110.3% YoY to INR 26.0 Cr.

Geographic Revenue Split

Not explicitly disclosed in percentages, but Canada is identified as a major international market where demand fell due to coal and potash price declines. Australia and Europe are targeted for geographic diversification.

Profitability Margins

PAT margin improved significantly to 60.4% in FY25 from 46.6% in FY24, largely driven by non-operating income. Operating Profit Margin stood at 16.50% in FY25 compared to 15.58% in FY24. PAT for FY25 was INR 91.7 Cr, up 47.0% YoY.

EBITDA Margin

EBITDA from operations was INR 21.5 Cr in FY25, a marginal increase of 0.8% from INR 21.3 Cr in FY24. The PBILDT margin improved from 14.98% in FY23 to 16.07% in FY24 due to lower raw material prices.

Capital Expenditure

Not disclosed in absolute INR Cr for planned expansion, though the company notes continuous investment in new product development and geographic expansion.

Credit Rating & Borrowing

The company utilizes fund-based limits (64% average utilization) and non-fund based limits (46%). Finance costs were INR 8.4 Cr in FY25 on current borrowings of INR 86.3 Cr, implying an interest rate of approximately 9.7%.

⚙️ Operational Drivers

Raw Materials

PVC resins and chemicals (used for PVC covered fire retardant belts). Raw material costs represented 45.8% of total revenue in FY25 (INR 69.52 Cr).

Capacity Expansion

Current installed capacity not disclosed in units; however, the company is widening its product profile with new products having superior characteristics to revive international sales.

Raw Material Costs

Raw material costs were INR 69.52 Cr in FY25. Margins improved in FY24 due to a dip in raw material prices, though the company remains exposed to future price volatility.

Manufacturing Efficiency

Inventory turnover ratio improved to 8.69 in FY25 from 6.78 in FY24, indicating higher manufacturing and sales efficiency.

📈 Strategic Growth

Expected Growth Rate

13.40%

Growth Strategy

Growth is targeted through geographic diversification into Australia and Europe, entry into new customer segments, and the development of customized conveyor solutions. The company aims for a turnover exceeding INR 250 Cr to trigger positive credit rating actions.

Products & Services

PVC covered fire retardant conveyor belts, wind energy generation, and trading of goods.

Brand Portfolio

International Conveyors Limited (ICL).

New Products/Services

New products with superior characteristics compared to standard PVC belts are being launched to revive international sales, expected to benefit the company from H2FY25.

Market Expansion

Targeting Australia and Europe to reduce geographic concentration and revive export orders.

Market Share & Ranking

Operates in a niche segment with few competitors in the domestic market.

🌍 External Factors

Industry Trends

The global mining industry is growing, increasing the need for specialized belting. Clients now demand highly customized solutions rather than off-the-shelf products.

Competitive Landscape

Few competitors in the domestic fire-retardant PVC conveyor belt market.

Competitive Moat

Moat is based on operating in a niche segment with few competitors and having a long-standing reputation with major mining clients.

Macro Economic Sensitivity

Highly sensitive to global mining industry trends and commodity prices (coal/potash). Treasury operations are sensitive to stock market volatility.

Consumer Behavior

Shift toward demanding real-time simulations, quicker design cycles, and highly customized layouts for conveyor systems.

Geopolitical Risks

Slowdown in global financial markets or the Indian economy could affect the financial position.

⚖️ Regulatory & Governance

Industry Regulations

Compliance with fire retardant standards and pollution norms for manufacturing PVC-based products.

Environmental Compliance

ESG risks are listed as Not Applicable (NA) in credit reports.

Taxation Policy Impact

Effective tax rate for FY25 was approximately 21.1% (INR 24.6 Cr total tax on INR 116.3 Cr PBT).

Legal Contingencies

The company faces scrutiny regarding inter-corporate loans and investments. Exposure to group companies (subsidiaries and affiliates) increased to INR 134.18 Cr (47% of tangible net worth) as of March 2024.

⚠️ Risk Analysis

Key Uncertainties

Treasury segment volatility is a major risk, as it contributes 78.04% of PBT (INR 78.61 Cr). Any stock market decline directly impacts the bottom line.