Swaraj Energies Q4 Results: Net profit surges 29.10% YoY; Board approves ₹220 crore investment

Diesel engine maker Swaraj Engines on Wednesday, April 16, reported a 29.10% year-on-year (YoY) increase in its net profit to ₹45.42 crore in the March quarter of the 2024-25 fiscal year (Q4FY25), compared to ₹35.18 crore in the corresponding period last year.

The company’s net profit surged 42.27% quarter-on-quarter (QoQ) from ₹31.95 crore in Q3FY25.

The Mahindra & Mahindra-owned company’s revenue from operations stood at ₹454.16 crore, jumping 29.41% YoY from ₹350.96 crore in the fourth quarter of the 2023-24 fiscal year (Q4FY24). The revenue increased by 31.45% sequentially from ₹345.50 crore in the third quarter of FY25.

Swaraj Energies board recommends interim dividend

The board of Swaraj Energies, in its meeting held on April 16, also recommended floating an interim dividend of 1045% or ₹104.5 per equity share for the financial year ended March 31, 2025.

“The Register of Members and Share Transfer Books of the Company will remain closed from Saturday, 28th June, 2025 to Friday, 4th July, 2025 (both days inclusive) for the purpose of determining the Members eligible to receive the dividend, if declared by the shareholders at the ensuing Annual General Meeting ("AGM") scheduled to be held on Tuesday, 15th July, 2025. The dividend, if declared at the AGM, will be paid/dispatched by the Company in permitted modes after Tuesday, 15th July, 2025 within the stipulated timelines,” the company said.

Swaraj Energies board approves ₹220 crore investment for capacity expansion

The Diesel engine maker said that its board of directors approved its plan to expand its engine capacity from 1.95 million to 2.40 million units per annum for an investment amount of ₹220 crore.

The capacity expansion, which will take 24 to 27 months and lead to the addition of 45,000 engines per annum, will be financed via internal cash generation or surplus funds available, Swaraj Energies said in a regulatory filing.

“Setting up new advanced technology assembly line with a production capacity of 2,40,000 engines per annum at the existing location. This capital expenditure is approved keeping in mind the future demand scenario. This initiative will also include the expansion of the machine shop to accommodate an additional annual volume of 45,000 engines,” the company said.

In addition to the capacity expansion, the ₹220 crore investment will also allow Swaraj Energies to manufacture a modern technology engine as per the specifications of its key customer, the filing stated.

Shares of Swaraj Energies closed in the green at ₹4,184.80 apiece, up 4.65% on the National Stock Exchange (NSE) on Wednesday.