Exicom Tele-Systems Limited — Q4 FY25 earnings call

Call held 24 May 2025

Management summary

Exicom Tele-Systems reported a mixed Q4 FY25, marked by a significant surge in Critical Power order book to over ₹1,500 crores and robust consolidated revenue growth of 35.2% QoQ. However, the domestic EV charger segment faced price pressure, and full-year standalone revenue and margins declined due to competitive intensity. The company is optimistic about new product launches and market share gains in FY26, despite delays in new plant commissioning and the initial drag from Tritium's start-up costs on consolidated profitability.

Highlights

  • Critical Power business secured its highest-ever order book of over ₹1,500 crores, executable over the next 3 years, representing an almost 8x increase from Q3 FY25's <₹200 crores.

  • Consolidated Q4 revenue increased to ₹265 crores from ₹196 crores in Q3 FY25, a QoQ growth of 35.2%, partly driven by Tritium's contribution of approximately ₹50 crores.

  • New product launches, including the Gen 2.0 DC charger and the Tri-Flex platform, received positive market appreciation and are expected to drive better market share for Exicom in FY26.

  • Strong export pipeline development for Critical Power across Africa, Southeast Asia, and the Middle East is underway, with initial orders received from Philippines and Myanmar.

  • Promoters infused ₹80 crores into the company, and the Board approved in-principle exploring further fund-raising to support long-term investments in Tritium.

Concerns

  • Domestic EV charger business revenue saw a de-growth of approximately 17% compared to Q3 FY25, with overall revenue slightly down due to price pressure despite higher volumes.

  • Standalone full-year revenue declined to ₹752 crores in FY25 from ₹866 crores in FY24, a YoY decrease of 13.16%, and gross margins compressed to 27% from 29.9% due to tightening competition.

  • The Tritium business, while contributing to revenue, is still in a start-up phase and its fixed costs are impacting consolidated EBITDA, with profitability expected to take time.

  • Commissioning of the new manufacturing plant has been delayed by 2-3 months to mid-September 2025 due to unforeseen geological changes and a road collapse.

Key financials

  1. Standalone Revenue ₹212 Cr +44.2%QoQ
  2. Consolidated Revenue ₹265 Cr +35.2%QoQ
  3. Standalone FY25 Revenue ₹752 Cr -13.2%YoY
  4. Standalone FY25 Gross Margin 27%

What they filed

Q1 FY27: revenue up 61.5%, net profit up 10.8% against the same quarter last year.

₹ Cr · quarterly
Line itemQ2 FY25Q3 FY25Q4 FY25Q1 FY26Q2 FY26Q3 FY26Q4 FY26Q1 FY27
Revenue153 197 266 205 282 +84%277 +41%388 +46%331 +61%
EBITDA-15 -31 -16 -39 -33 −120%-32 −3%0 +100%-22 +44%
Net profit-17 -49 -62 -83 -69 −306%-68 −39%-54 +13%-74 +11%
How to read this

₹ crore, as filed. The percentage beside a figure is the change against the same quarter a year earlier — never the quarter before, which would make every seasonal business look like it collapses and booms each year.

Segment breakdown

  • Domestic EV Charger Business
    ₹55 Cr Revenue (Q4 FY25)-17% QoQ Revenue Growth
  • Critical Power Business
    88% QoQ Revenue Growth
  • Consolidated Revenue by Geography
    63% India Share10% USA Share12% UK & Europe Share15% Australia, NZ, SEA Share

Order book

high confidence

Total value

₹1,500 Cr

as of 2025-03-31 quantified

650% QoQ

Execution

to be executed over next 3 years

Composition

  • Bharat Net project (project type)
  • Domestic Telcos/Tower Companies (client type)
  • Exports (geography)

Pipeline

other

A big part of the pipeline, about ₹1,000 crores, would be over next three years.

The Critical Power business achieved its highest-ever order book of over ₹1,500 crores, a significant increase from the previous quarter, with a substantial portion for the Bharat Net project.

Source: Prepared remarks

Capital allocation

high confidence
  • Capex Capex disclosed
    This is about a two to three month delay from our previous estimated timeline and some of those reasons are pointed in the next slide. Some of the delay in execution was due to unforeseen geological changes. That was the main reason. Hyderabad is known for having very dense rock formations and we encountered a lot of that towards the mature stages of development. Also, there was a road that collapsed into our area due to heavy rainfall, and there was a lot of time spent with the government to remake that, but then we decided to do it ourselves finally, and this took a lot of time as well. So, mainly the geological reasons caused some delay. But in the grand scheme of things, it's still a project which is going exactly as per the aspiration of what a new generation factory should look like. We are working in a lot of detail to have the right balance of automation and the manpower to achieve the desired efficiency from this factory in the long run. And we will be happy to share considerable progress in the next quarter call for this facility. But the revised timeline of go live for this is September of '25 and we will do whatever best in our ability to continuously try and compress this timeline.
  • M&A Tritium Group of Companies Acquisition · Integrated

    expand geographically in the EV charger business

    Investments taking longer to convert to sales, impacting consolidated EBITDA due to fixed costs; expected to take time to become profitable.

    We acquired Tritium Group of Companies across U.S., Australia and Europe in September of '24 in a bid to expand geographically in the EV charger business. Strategic investments have happened, strategies in place. However, these investments are taking a longer time to convert to sales. But I remain very firm and positive on the outlook. Tritium launched its new distributed charging platform by the name Tri-Flex in April '25 at ACT Expo in California, USA. This is one of the largest electric mobility trade shows where the product got a lot of appreciation from peers and most importantly, our prospective customers. This product was the center of the product strategy during the acquisition phase. And we are happy now it has manifested itself into a sellable product, which has bought back the Tritium's product range to current compared to the past product range, which were on the verge of becoming obsolete.
  • Liquidity Liquidity disclosed Promoters infused ₹80 crores in Q3 FY25. Board approved in-principle to explore raising funds to support Tritium investments.
    We are looking at the promoter put in already about Rs. 80 crores in the last quarter itself and infused it into the company. And we also gone ahead and taken, in fact, the shareholders have approved an increase in authorized capital by Rs. 25 crores to now Rs. 155 crores. And yesterday, in the Board meeting, we have taken an approval, in-principle approval, to look at exploring raising of funds, which will help us ease out the investments that we are doing for our long-term in terms of tritium.

Guidance & targets

Revenue

  • Standalone Revenue Growth Revenue · FY26 · High confidence 50%
    So, we have released the guidance yesterday in our press release. So, there is a 50% growth in revenue on a standalone basis and a multi-fold growth in EBITDA on a standalone basis.

    — Anant Nahata

  • Consolidated Revenue Growth Revenue · FY26 · High confidence 100%
    So, we have released the guidance yesterday in our press release. So, there is a 50% growth in revenue on a standalone basis, and 100% revenue growth on a consolidated basis.

    — Anant Nahata

Profitability

  • Standalone EBITDA Growth Profitability · FY26 · Medium confidence multi-fold
    So, we have released the guidance yesterday in our press release. So, there is a 50% growth in revenue on a standalone basis and a multi-fold growth in EBITDA on a standalone basis.

    — Anant Nahata

Market Share

  • Domestic EV Charger Market Share Market Share · FY26 · Medium confidence better market share than its peers
    That's our strong hope that Exicom will have a better market share than its peers in FY '26.

    — Anant Nahata

Revenue Mix

  • Critical Power vs EV Charger Revenue Ratio Revenue Mix · FY26 · High confidence 70% Critical Power, 30% EV Charger
    I think the correct ratio would be 70 critical power, 30 EV charger business, at least for this financial year.

    — Anant Nahata

What to watch in Q1 FY26

New Manufacturing Plant Commissioning

Q2 FY26
Current Delayed to mid-September 2025
Target Go-live by September 2025

Why it matters

Timely commissioning is crucial for scaling production and meeting future demand, especially for the growing order book.

But the revised timeline of go live for this is September of '25 and we will do whatever best in our ability to continuously try and compress this timeline.

Risks & concerns

  • Competitive Intensity and Price Pressure in EV Charger Business

    medium

    High competitive intensity and price pressure led to a revenue de-growth of ~17% QoQ in domestic EV chargers, impacting overall margins.

    Management acknowledged

  • Tritium Business Profitability Timeline

    medium

    Tritium is in a start-up phase with fixed costs impacting consolidated EBITDA, and it will take time for the business to become profitable.

    Management acknowledged

  • Delay in New Manufacturing Plant Commissioning

    low

    The new plant's go-live date is delayed by 2-3 months to mid-September 2025 due to unforeseen geological issues and road damage.

    Management acknowledged

  • Government Policy and Election-related Delays

    low

    A gap in government push for EV due to elections and policy transitions (FAME II ending, new PM E-DRIVE policy implementation) impacted the market in H1 FY25.

    Management acknowledged

Q&A highlights

3 direct, 1 evasive
Confidence in FY26 guidance for standalone and consolidated revenue growth Direct
Obviously, we have released the guidance that is based on what we feel we can achieve, based on the market momentum, the order book we have, and the work we are undergoing. So, we feel fairly confident.

Analyst sought clarification on the ambitious FY26 guidance, and management reiterated confidence based on current market conditions and order book.

Asked by Harshid Goyal

Impact of US green energy policy changes (Trump) on exports and competition's effect on margins Partial
Regarding exports, we are not exporting to U.S. from India. Through Tritium, whose factories in U.S., they do supply in U.S. And the EV charging market will be there, right? Yes, politically there may be statements, one way or the other. But electrification is a global phenomenon. It cannot be stopped.

Analyst raised concerns about political shifts impacting green energy and margin pressure, to which management clarified their US market strategy via Tritium and ongoing cost optimization.

Asked by Harshid Goyal

Change in strategy regarding participation in government contracts due to margin pressure Direct
Well, I may have miscommunicated slightly. You know, my message was that we want to make sure we are able to use all our resources to do viable business, right? And if we have enough viable business and in that case there is no reason to take unviable business, right? So, we keep, it's not that we don't bid in government contracts at all.

Analyst questioned a potential shift in strategy regarding government contracts, and management clarified their selective approach based on viability and aggressive business terms.

Asked by Harshid Goyal

Order pipeline for FY26 and execution timeline for the ₹1,500 crore Critical Power order book Partial
But out of the Rs. 1,500 crore order book, it's a mix of one large, you know, couple of large orders that we have for the Bharat Net project and then multiple customers, domestic, telcos, tower companies, exports, etc. So, from particularly Bharat Net project that has to be executed over three years. But even this year will have a very healthy, so part of the Rs. 1,500 crore pipeline we have to, all has to be executed this year. And a big part of the pipeline which is about, I think, Rs. 1,000 crores would be over next three years.

Analyst sought clarity on the composition and execution timeline of the large Critical Power order book, revealing a mix of projects and staggered execution.

Asked by Sriram

When the company expects to turn profitable on a consolidated basis, given the 100% revenue/EBITDA increase guidance and recent losses Evasive
So the best I can do, at least at this time, for all the shareholders is go by that guidance where there is very strong standalone guidance. And even for consolidated, it's a strong guidance. Whether it is positive or not, I don't know. That will be an honest attempt of the company. But I know we are building a company which will be one of the global leaders in the area we operate. I am absolutely convinced about that part at least.

Analyst pressed for a timeline on consolidated profitability, but management provided a qualitative response, emphasizing long-term vision over specific short-term profit targets for consolidated entity.

Asked by Sahil Patani

Future revenue mix between Critical Power and EV Charger segments, given FY25 split of 65% Critical Power, 35% EV Direct
I think the correct ratio would be 70 critical power, 30 EV charger business, at least for this financial year. That's what was there last financial year as well. I think one quarter may just have some different numbers.

Analyst inquired about the strategic revenue mix, and management provided a clear target ratio for FY26, indicating a slight shift towards Critical Power.

Asked by Sahil Patani

Details on advanced talks for global tenders, specifically their stage of progress Partial
As I mentioned in my business update section, so while the strategies are taking longer to manifest at Tritium, we do have very good conversations going on for fairly large contracts at this point. Since we are under NDAs and it's not prudent because we have not won these things, it's not prudent to disclose more, but these are opportunities which we are very excited by and we will be giving our shareholders update in next quarterly presentation or the one after that.

Analyst sought more specifics on potential large global contracts, but management cited NDAs, indicating ongoing but undisclosed progress, making it a key item for future updates.

Asked by Jigar Shah

3 min read 7 chapters

Detailed narrative

Q4 FY25 Financial Performance and Full-Year Overview

Exicom Tele-Systems reported a standalone Q4 FY25 revenue of ₹212 crores, a 44.2% increase from ₹147 crores in Q3 FY25, primarily due to a surge in Critical Power revenue. Consolidated Q4 revenue also grew 35.2% QoQ to ₹265 crores from ₹196 crores, with the Tritium acquisition contributing approximately ₹50 crores. However, the full-year standalone revenue for FY25 stood at ₹752 crores, a 13.16% decline from ₹866 crores in FY24, and standalone gross margins compressed to 27% from 29.9% in FY24, attributed to intense market competition.

Critical Power Business: Record Order Book and Export Traction

The Critical Power business demonstrated strong performance, growing 88% QoQ, despite a 33% de-growth compared to Q4 FY24. The company achieved its highest-ever order book for Critical Power, exceeding ₹1,500 crores, which is nearly 8x higher than the <₹200 crores reported at the end of Q3 FY25. This substantial order book, executable over the next three years, includes significant projects like Bharat Net. Exicom is also building a robust export pipeline across Africa, Southeast Asia, and the Middle East, having signed a frame agreement with a large telco in Africa and receiving initial orders from the Philippines and Myanmar.

EV Charger Business: Price Pressure and New Product Launches

The domestic EV charger business revenue in Q4 FY25 was similar to Q4 FY24 but experienced a 17% de-growth compared to Q3 FY25. Despite delivering higher volumes in Q4, revenue was impacted by significant price pressure and competitive intensity. To counter this, Exicom launched new products, including the Gen 2.0 DC charger and the portable SPIN Free charger (Tri-Flex), which are built with 100% Indian IP. These new offerings, along with a focus on product quality and service, are expected to drive better market share for Exicom in FY26.

Tritium Acquisition: Global Expansion and Product Innovation

The acquisition of Tritium Group of Companies in September 2024 is central to Exicom's global EV charger strategy, contributing approximately ₹50 crores to Q4 consolidated revenue. Tritium launched its new Tri-Flex distributed charging platform in April 2025, receiving positive feedback from prospective customers. While the investments are taking longer to translate into sales and are currently impacting consolidated EBITDA due to fixed costs, the company is in advanced negotiations for significant value contracts with network operators in the U.S. and Europe, with updates expected in the coming quarters.

New Plant Commissioning Delays and Mitigation

The commissioning of the new manufacturing plant, initially planned for June, has been delayed by two to three months, with a revised go-live target of mid-September 2025. The delays were primarily caused by unforeseen geological challenges at the Hyderabad site and a road collapse due to heavy rainfall. Management assured that current facilities are adequate to meet Q1 and Q2 targets, and efforts are underway to compress the revised timeline, aiming for optimal automation and efficiency in the new facility.

Capital Infusion and Future Funding Plans

To support its growth and strategic investments, particularly in Tritium, promoters infused ₹80 crores into the company during the last quarter. Additionally, shareholders approved an increase in authorized capital to ₹155 crores. The Board has also granted in-principle approval to explore further fund-raising initiatives, signaling a proactive approach to ensure adequate capital for long-term growth and strategic objectives.

Market Outlook and Cost Optimization Efforts

The EV market experienced a slowdown in H1 FY25 due to policy transitions (FAME II ending) and anticipation of new models, but an uptick was observed in Q3 and Q4. The Critical Power business is influenced by the CAPEX cycles of telecom infrastructure and government projects like Bharat Net. Acknowledging the high competitive intensity and margin pressure experienced in Q4, Exicom is implementing sharp cost optimization measures across products, people, and processes, expecting these efforts to yield positive results from Q1 and Q2 FY26.

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